ABSTRACT

As well as the trade policies and investment environments, various investment incentives offered by individual EU member governments are said to be a very important factor influencing the investment decisions of firms from non-EU member countries (including Korean firms) within the EU who see this as an alternative to exporting. The results of a survey conducted by the OECD (1989: 3), revealed that MNE-specific incentives have played an important role in influencing the location of FDI in particular countries, although they have not, in general, been a major determinant of the general decision to invest in the EU.