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Foreign Presence, Cultural Distance and Technology Gap as Indicators of Globalization in the Czech Republic

The result's identifiers

  • Result code in IS VaVaI

    <a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F46747885%3A24310%2F16%3A00000994" target="_blank" >RIV/46747885:24310/16:00000994 - isvavai.cz</a>

  • Result on the web

  • DOI - Digital Object Identifier

Alternative languages

  • Result language

    angličtina

  • Original language name

    Foreign Presence, Cultural Distance and Technology Gap as Indicators of Globalization in the Czech Republic

  • Original language description

    The aim of this paper is to evaluate the impact of all foreign direct investment into Pardubice region in the Czech Republic. These analysed multinational companies gained the institutional support in the form of investment incentives. Based on the comparative analysis of data from the companies` annual reports and Czech statistical office and CzechInvest in 1999-2013, foreign presence is calculated. The foreign presence is together with the technology gap considered as key determinant of spillover effects`creation. The calculated values illustrate low degree of foreign presence – till 8 %, more precisely low potential for the creation of spillover effects. This conclusion confirms the technology gap probed by the Shift-share analysis. It means the decomposition of the technology level of region on the technology, sectors and combination of both these effects. The result is corresponding with the localization of manufactures or manufactures` fragmentation with low added value to the analyzed region. In addition to that, the paper quantifies cultural distance between source countries of the investment and the Czech Republic. The calculation of cultural distance is based on Hofstede´s cultural dimensions by Kogut-Singh index and Euclidean index. In examined time period, investors from total 10 countries invested in Pardubice region and 36 % of them came from Germany. Differences between Germany and Czech Republic in cultural dimensions prove previous studies about their relation to the development of foreign direct investment. Significantly highest cultural distance between Czech Republic and considered countries was found out with Denmark, followed by Netherlands and Great Britain.

  • Czech name

  • Czech description

Classification

  • Type

    D - Article in proceedings

  • CEP classification

    AH - Economics

  • OECD FORD branch

Result continuities

  • Project

  • Continuities

    S - Specificky vyzkum na vysokych skolach

Others

  • Publication year

    2016

  • Confidentiality

    S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Data specific for result type

  • Article name in the collection

    16th International Scientific Conference Globalization and Its Socio-Economics Consequences

  • ISBN

    978-80-8154-191-9

  • ISSN

  • e-ISSN

  • Number of pages

    8

  • Pages from-to

    337-344

  • Publisher name

    University of Zilina

  • Place of publication

    Zilina

  • Event location

    Rajecke Teplice

  • Event date

    Jan 1, 2016

  • Type of event by nationality

    WRD - Celosvětová akce

  • UT code for WoS article