ABSTRACT
Interest surrounding the impact of globalizing corporate activities and deepening economic integration on the performance of local firms has developed over the last decade. The interest has led to a new and rapidly expanding body of literature on the subject. As a result, the literature has generated new insights into why some firms export abroad and others do not, why some firms fail to survive under intense pressure from globalization whilst others do, and why some choose to invest abroad rather than export. Another strand of literature seeks to answer the question whether the presence of multinational enterprises and exporting activities have a positive impact on domestic firms. In short, the new literature sheds light on the key drivers of globalization and the impact of the phenomenon on local firms’ performance.
