TY  - JOUR
TI  - The Role of Regional Heterogeneity and Interdependence in the FDI Distribution in Russian Food Industry
T2  - HSE Economic Journal 
IS  - HSE Economic Journal 
KW  - foreign direct investment
KW  - food industry companies
KW  - Russian regions
KW  - hierarchical binary-choice model
KW  - spatial lags
KW  - factor of agglomeration
KW  - market potential
KW  - transport infrastructure
AB  - Food industry plays a key role in each country. That is why the process of globalization makes the problem of ensuring safe production vary important, especially while attracting foreign capital. In this article the two mechanisms of the FDI distribution in Russian food industry companies are discussed. Special econometric tools for this analysis are also proposed. We investigate regional characteristics and the spatial lags (like factor of agglomeration, market potential and others) as determinants of the process. To test the influence of these determinants on the probability to have more than 10% of foreign capital in a company we estimate the hierarchicalbinary-choice models on a sample of Russian food industry companies (from RUSLANA database, on 2009). According to the results, the hierarchical diffusion of foreign investors is motivated by the seeking of local market and by seeking of the efficiency through lower transportation costs and better investment environment. The local resources in innovations are not significant on this level. When the investors develop new regions they take into account almost all the investigated regional characteristics. The logical complexification of a model allows not only to display the regional heterogeneity but also to determine the regions where the effect of some factors is irregular or more tangible. The development of transport infrastructure of the region and its spatial lag should be pointed out as one of the most substantial effects on the probability to have the FDI.
AU  - Anna Gladysheva
AU  - Tatyana Ratnikova
UR  - https://ej.hse.ru/en/2014-18-2/132238235.html
PY  - 2014
SP  - 285-327
VL  - 18