Bilateral FDI entry mode choice and its firm, market and country-institutional determinants: a case of financial services and electronic manufacturing sectors in the UK and Taiwan

There is a sufficient lack of empirical research that examines foreign direct investment bilaterally, and even less research that examines the determinants of foreign investment entry mode choice between developed and developing nations. The importance of country-institutional factors in determining entry mode selection has stirred interest in recent years, and this paper aims to add institutional factors and expand on that research. Using data collected from the financial services and electronic manufacturing industries, this paper concludes that the addition of country-institutional factors enhances the role of other firm-and market-specific factors that contribute to entry mode choice.