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Dealing with Liability of Foreignness: The Case of Philips in Australia, 1945-1980

van der Eng, Pierre


How do multinational enterprises (MNE) respond to the ‘liability of foreignness’ (LoF) they experience in foreign markets? The case study in this paper demonstrates that firms develop dynamic, interactive strategies to minimise the LoF risks they perceive. The Australian subsidiary of Dutch MNE Philips Electronics experienced a significant LoF during 1939-1943, when it came close to being nationalised. In response, Philips Australia set out to build ‘FDI legitimacy’ after 1945 in order to...[Show more]

CollectionsANU Research Publications
Date published: 2017
Type: Working/Technical Paper
Source: CEH Discussion Papers
Access Rights: Open Access


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