Skip to Main Content
HBS Home
  • About
  • Academic Programs
  • Alumni
  • Faculty & Research
  • Baker Library
  • Giving
  • Harvard Business Review
  • Initiatives
  • News
  • Recruit
  • Map / Directions
Faculty & Research
  • Faculty
  • Research
  • Featured Topics
  • Academic Units
  • …→
  • Harvard Business School→
  • Faculty & Research→
Publications
Publications
  • 2014
  • Chapter
  • Multidisciplinary Insights from New AIB Fellows

Business History and the Impact of MNEs on Host Economies

By: Geoffrey Jones
  • Format:Print
ShareBar

Abstract

Business history has long been recognized as providing an important dimension in international business studies. Much of this historical work has focused on mapping historical growth patterns of multinationals and exploring the determinants of their growth. However, there is also growing literature on the long-term impact of multinational investment in host economies, and this chapter reviews this research. The focus is primarily on developing country host economies and more broadly on the global distribution of wealth and poverty. This chapter suggests three major arguments. First, it is necessary to take a long-time horizon when assessing impact on host economies. Second, it is necessary to incorporate societal and cultural impacts alongside more traditional measures of economic impact. Third, there is weak historical evidence that multinationals have had a substantial positive impact over the long run on the development of host developing countries. A hypothesis is suggested that, given adequate domestic growth-supporting institutions and human capital development, developing countries achieve more sustained development from excluding foreign-owned multinationals rather than hosting them.

Keywords

Multinational; International Business; Business History; Culture; Globalization; History; Africa; Asia; Europe; Latin America; North and Central America

Citation

Jones, Geoffrey. "Business History and the Impact of MNEs on Host Economies." In Multidisciplinary Insights from New AIB Fellows. Vol. 16, edited by Jean J. Boddewyn, 177–198. Research in Global Strategic Management. Bingley, UK: Emerald Group Publishing, 2014.
  • Find it at Harvard
  • Purchase

About The Author

Geoffrey G. Jones

General Management
→More Publications

More from the Author

    • July 2022
    • Faculty Research

    Nestlé, Shared Value and KitKat Diplomacy

    By: Geoffrey G. Jones and Sabine Pitteloud
    • July 2022
    • Faculty Research

    Vicky Tsai and Tatcha: Confronting Stereotypes

    By: Geoffrey Jones and Veronica Tong
    • June 2022
    • Faculty Research

    Rupert Murdoch: The Last Tycoon

    By: Geoffrey G. Jones and Mona Rahmani
More from the Author
  • Nestlé, Shared Value and KitKat Diplomacy By: Geoffrey G. Jones and Sabine Pitteloud
  • Vicky Tsai and Tatcha: Confronting Stereotypes By: Geoffrey Jones and Veronica Tong
  • Rupert Murdoch: The Last Tycoon By: Geoffrey G. Jones and Mona Rahmani
ǁ
Campus Map
Harvard Business School
Soldiers Field
Boston, MA 02163
→Map & Directions
→More Contact Information
  • Make a Gift
  • Site Map
  • Jobs
  • Harvard University
  • Trademarks
  • Policies
  • Accessibility
  • Digital Accessibility
Copyright © President & Fellows of Harvard College