| 1. |
- Golubeva, Olga, 1965-
(författare)
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Foreign Investment Decision-Making in Transition Economies
- 2001
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Doktorsavhandling (övrigt vetenskapligt/konstnärligt)abstract
- The purpose of this project is to describe and explain the foreign investment decision process in the uncertain and turbulent environment of transition economy. By getting an in-depth understanding of how decision-making works in the environment of transition economy, the study intends to contribute to the development of business administration theory in the area of foreign investment decision-making, particularly its application in the turbulent and uncertain world.Theoretical ‘blocks’, elaborated on the basis of literature study, include the following concepts: the framework of transition economy; initial motivation (or reasons) of companies to make foreign direct investments (FDI); investigation of the investment climate and information collection methods; project evaluation and investment decision criteria; risk assessment factors and risk reduction measures.Transition economy is defined in the study as ‘a non-planned, non-market economy’ where the new emerging market institutions coexist with the bureaucracy and hierarchy inherited from the old administrative system. Investment projects, therefore, should probably be seen as being under institutional influence from both the local (i.e. transition economy) and the Western investor’s home country environments. The empirical data presented in the paper also shows that it is necessary to establish the relevant economic, legal, political and social institutions in order to attract FDI. The study further includes the analysis of the main components and features of transition economies and their influence on FDI decision-making.One of the results of the study is that FDI decision-making in transition economies is largely consistent with different theoretical approaches suggested in the literature. On the other hand, the empirical support obtained for different theoretical approaches is often questionable and opened to alternative interpretations. The presented project suggests that theoretical perspectives do not preclude each other, but rather have a complimentary character.The study attempts to contribute to the mainstream FDI theories through a firm-level approach based on the case studies. Two in-depth case studies are presented in the paper: Ericsson’s direct investments in Russia and Vattenfall’s investments in the Baltic countries. A formal questionnaire based on the parameters of theoretical ‘blocks’ was created and 25 top executives from Ericsson and Vattenfall who participated in FDI decision-making were surveyed. The empirical investigation took place during the period 1997 - 1998 with partial updating of the cases during the year 2000. The study shows that where companies confront stable environments, investment decision routines and procedures will be less necessary and important than where market uncertainty is high. The strong appreciation of the local business partners for properly done investment calculations increases the importance of capital budgeting in transition economies more than in developed market economies.Besides, traditional investment appraisal methods provide managers with an ‘objective’ or ‘materialistic’ feedback for the decision-making in the rapidly changing uncertain environment. On the other hand, the study emphasises the importance of strategy over financial techniques and argues that FDI decisions in transition economies should be based on methods consistent with the company’s long-term objectives. In case of permanent changes, new approaches as well as better co-ordination of traditional techniques with strategic, political, historical, geographical and cultural issues are required.Ericsson’ s direct investments in Russia are presented in the paper in connection with other factors: the company’s historical involvement in Russia, marketing strategy, human resource development, privatisation and restructuring of the telecommunication sector in Russia, etc. Nordic Electric Power Co-operation (Nordel), the EU’ s decision in 1996 to create an internal electricity market in Europe, Baltic ring study, future plans to privatise the energy companies in the Baltic countries, etc., are the framework to present the second case.An application of project evaluation and risk assessment techniques for broader and more complicated environments shows that investment decision-making is probably as much, if not more, a social, political and cultural technology as an economic one. The study argues then that the rational choice decision-making model often co-exists with alternative models elaborated in social science - limited rationality, political and garbage can.According to the empirical data, the investment decisions are largely based on intuition, business experience and judgement, personal contacts with representatives from the local country, and these investment criteria are inevitable and acceptable in a situation of total chaos and permanent change. The right chosen partner, for example, is one of the major criteria for the success of the investment project in a transition economy. One of the outcomes of this study is that the revitalised form of investment decision-making will differ rather markedly from much of what has gone before: less emphasis on the quantitative aspects of capital budgeting, more on the qualitative aspects of companies and investment environment.The project also argues that determinants, approaches and criteria of investment activity in transition economies are largely consistent with patterns observed in other parts of the world. A few specific environmental conditions of transition economies, however, are shown in the study to affect the pattern of FDI decision-making. The level of turbulence is still different compared to the developed market economies due to uncertainties and unpredictibilities associated with environment of transition economies. Other major differences are the large power distance with authoritarian leadership, strong hierarchy and bureaucracy as well as the vital role of personal contacts in transition economies. It is not clear, however, if these features of transition economies should be seen as inherited from the past communist system or as an alternative way to organise the economic actors through networks, a way that is natural and appropriate for the majority of Asian societies.
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| 2. |
- Golubeva, Olga, 1965-
(författare)
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Business climate in Russia : Swedish investors' perspective
- 2015
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Ingår i: Baltic Worlds. - Stockholm. - 2000-2955 .- 2001-7308. ; VIII:3-4, s. 76-86
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Tidskriftsartikel (refereegranskat)abstract
- The article addresses the issue of the business climate in Russia from the Swedish investors' perspective and relates its to a general theoretical debate in the field. Statistical tests suggests that the majority of variables relating to the business climate has deteriorated between 2012 and 2014. The findings support several mainstream theories regarding the business climate but also demonstrate some contradictions that would require further investigation. These include the reaction of Swedish business to the escalation of political tensions between Russia and the West and the factor of corruption, which is not viewed as serious enough to fully discourage foreign investors from staying in Russia.
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| 3. |
- Golubeva, Olga, 1965-
(författare)
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Strategy under Uncertainty : Empirical Evidence from Swedish Companies Operating in Russia
- 2016
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Ingår i: International Journal of Business and Management. - : Canadian Center of Science and Education. - 1833-3850 .- 1833-8119. ; 11:5, s. 44-56
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Tidskriftsartikel (refereegranskat)abstract
- AbstractThe objective of this paper is to describe and explain company strategies under uncertainty. The study attempts to examine closer interaction between research on strategic management and internationalization theory. Recent escalation of conflict between Russia and the EU/USA in combination with economic recession increased the level of uncertainty. The article explores how this deterioration is reflected in a strategy of Swedish companies operating in Russia. This study builds on the empirical data from a survey conducted in 2015 among 73 Swedish firms. The findings of the study contribute to knowledge regarding diversity in commitments shown by different companies at one particular point of time under the same circumstances. The study reveals a domination of expansion strategy chosen by Swedish firms during the current escalation of uncertainty in Russia. A growing strategy under uncertainty has seldom been reported and analyzed by scholars. The study demonstrated that uncertainty is not only a threat to companies operating on the market, but can lead to expanding strategies attempting to exploit the opportunities that uncertainty might offer. Appraising the risk concept, the study provides implications for companies’ managers on the importance of a commitment decision to face the deterioration caused by the uncertainty. Empirical data from this study also suggest that uncertainty is handled by companies better than one might expect. The article questions whether companies and managers are really risk-averse in their behaviour.
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| 4. |
- Golubeva, Olga, 1965-
(författare)
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Problems of investment risk in transition economies
- 1995
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Ingår i: Risk Behaviour and Risk Management. - Stockholm : School of Business, Stockholm University. - 9197249327 ; , s. 107-108
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Konferensbidrag (övrigt vetenskapligt/konstnärligt)abstract
- The extent of foreign investments in the emerging markets of Central and Eastern Europe will be dependent on the nature and efficiency of the transformation from turbulence to stability, from "neither market nor planned economies" to predictable ones. Project designs like the gradual transfer of investment money or profit repatriation guarantees are more important considerations than detailed calculations. An important investment criteria might be whether a project create strong alliances with important power centers that will safeguard the interest of the project under changing conditions.
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| 5. |
- Golubeva, Olga, 1965-
(författare)
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Strategy under uncertainty : empirical evidence from Swedish companies operating in Russia
- 2015
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Ingår i: Conference Proceedings “GSOM Emerging Markets International Conference: Business and Government Perspectives, 15-17 October, 2015, Graduate School of Management, St. Petersburg University, Russia”. - St. Petersburg : GSOM St. Petersburg, Russia. - 9785992400915 ; , s. 168-181
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Konferensbidrag (övrigt vetenskapligt/konstnärligt)abstract
- The objective of this paper is to describe and explain company strategies under uncertainty. It attempts to examine more closely the interaction of research on strategic management with internationalization theory and the dimension of uncertainty. This study builds on the empirical data from a survey conducted in 2015 among 73 Swedish companies operating in Russia. The findings support several concepts of strategic management and internationalization theory, but also reveal some phenomena that would require further investigation. These include a domination of expansion strategy chosen by Swedish firms during the current escalation of uncertainty in Russia.
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| 6. |
- Golubeva, Olga, 1965-
(författare)
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Determinants of Swedish Foreign Direct Investments (FDI) : How Important is Profitability?
- 2016
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Ingår i: Economics and Finance Review. - 2047-0401. ; 4:10, s. 1-19
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Tidskriftsartikel (refereegranskat)abstract
- Numerous studies have been undertaken regarding FDI, its determinants and impact on beneficiary countries, but very few papers directly examined profitability and its importance for the FDI. The study addresses this gap by including return on capital into determinants of Swedish FDI alongside the variables that are traditionally assumed to have an impact on FDI. Regression analysis suggests that the predictive role of profitability is significantly superior to that of other variables, explaining 85% of the variation of FDI stock. Market size, geographical location and economic freedom in the beneficiary country are other variables that have statistical support for their roles. Conversely, the study refutes the significance of several variables which are commonly believed to be important determinants of FDI. The findings of the article will have certain implications for company managers, policy-makers and academicians. The study also indicates that the reforms aimed at improving investment climate in beneficiary countries may not be efficient if we fail to understand the connection between the business environment and the profitability of a particular project.
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| 7. |
- Golubeva, Olga, 1965-
(författare)
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Forskning som utgår från näringslivets aktuella frågor
- 2016
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Ingår i: Södertörns högskola öppnar världar. - Huddinge : Södertörns Högskola. - 9789187843518 ; , s. 140-141
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Bokkapitel (populärvet., debatt m.m.)abstract
- Olga Golubeva, filosofi doktor i företagsekonomi har en fot kvar i den företagsvärld hon nu studerar. Hon menar att forskning och praktik går att förena och är positiv om hennes resultat kan vara till nytta för näringslivet,
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| 8. |
- Golubeva, Olga, 1965-
(författare)
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Is It Possible To Govern Foreign Investments? : Balancing Between Klondike And Poltava
- 2016
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Ingår i: Journal of Business Case Studies (JBCS). - USA : Clute Institute. - 1555-3353 .- 2157-8826. ; 12:2, s. 83-98
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Tidskriftsartikel (refereegranskat)abstract
- FDI (foreign direct investment) of Swedbank in Ukraine is an example of unsuccessful investment in transition economies. The Case Study is presented in relation with Swedbank’s internationalization strategy and rapidly changing investment environment in transition economies and globally. Learning objectives include helping students to develop analytical skills in order to understand how political, economic, financial and social factors effect internalization strategy through FDI. The Case Study should help students to understand the importance of an appropriate long-term strategy of a firm entering transition economies, understand the investment environment of a foreign country and choose the best course of action for a distressed firm considering alternative scenarios. Lessons learned from the Case Study can be beneficial for students studying international business, but also for future decision-makers that would be acting in complex environments under rapidly changing situations. The author developed the Case from secondary sources: Swedbank’s annual reports and press-releases, information published by multilateral organizations and government agencies, research from investment banking houses and reputable news agencies. This Case is written solely for educational purposes and is not intended to analyze successful or unsuccessful internalization strategy through FDI in transition economies.
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