THE MODERATING EFFECT OF AGGLOMERATION ADVANTAGES ON THE RELATIONSHIP BETWEEN INVESTMENT BY MULTINATIONAL COMPANIES AND REGIONAL DEVELOPMENT

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DOI:

https://doi.org/10.54805/RCE.2527-1180.v5.n2.122
Abstract views: 117 / PDF downloads: 81

Keywords:

Multinational companies, clusters, Regional development

Abstract

This article aims to analyze the relationship between the activities of multinational companies and regional development, considering the moderating effect of clusters in this relational dynamic. Based on data from 73 subsidiaries of foreign multinational companies in the manufacturing sector operating in 34 municipalities, we sought to test the relationships between the existence of activities of multinational companies and the level of regional development. In addition, we tested the moderating effects of regional clusters. The results show that in Santa Catarina, foreign multinational companies are in industrial concentrations, characterizing the formation of clusters, and the municipalities with the highest industrial concentration presented a better result of IDHM and GDP when compared to the municipalities with less industrial concentration. On the other hand, the impact of the activities of subsidiaries of multinational companies on the IDHM and GDP showed a divergent behavior. The moderating effect of clusters had a positive influence on the relationship between imports and regional development. For exports, the influence was positive for GDP and negative for IDHM.

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Published

2022-12-23

How to Cite

Amal, M., Ropelato Floriani, J. ., & Grellmann, G. (2022). THE MODERATING EFFECT OF AGGLOMERATION ADVANTAGES ON THE RELATIONSHIP BETWEEN INVESTMENT BY MULTINATIONAL COMPANIES AND REGIONAL DEVELOPMENT . Revista Catarinense De Economia, 5(2), 156–171. https://doi.org/10.54805/RCE.2527-1180.v5.n2.122

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