ABSTRACT
Indian automotive firms Pradhan and Singh (2009) find a favourable effect of greenfield-OFDI on the domestic in-house R&D intensity, comparatively more so of the developed-region OFDI.
2.2 Empirical evidence
While the estimated effect of OFDI on exports from the home country has been predominantly positive, the firm-level studies reviewed below, point to more mixed patterns. Pradhan (2007)’s Tobit estimates indicate in general that the OFDI stock to net worth ratio increases the export intensity of Indian manufacturing companies. Narayanan and Bhat (2010) find a strong positive effect of OFDI (dummy) on the export intensity of IT firms in India.
