A critical assessment of Dunning's eclectic paradigm of international business
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| Submitted: Sun Dec 15 2002
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A critical assessment of Dunning's eclectic paradigm of international business John Dunning's eclectic theory developed in 1977 mainly attempts to explain economic issues involved in various countries, especially for the questions of international business and international production. He began his work by analyzing two different types of business activities. One is related with the domestic productions that have a purpose for the foreign markets and the other is related with foreign direct investment. Dunning indicated that the two activities have the same nature and he attempted to explain them both. The questions Dunning trying to answer are that why the enterprises decide to invest and produce in foreign countries then how to achieve this aim and where to be chosen as the locations. The result of Dunning's research is that there are three different types of advantages can be included to answer the questions. The advantages include ownership, location and...

