Wesleyan University The Honors College
Foreign Direct Investment and Export
Performance in Thailand
by
Sutida Tambunlertchai
Class of 2009
A thesis submitted to the
faculty of Wesleyan University
in partial fulfillment of the requirements for the
Degree of Bachelor of Arts
with Departmental Honors in the Mathematics-Economics Program
Middletown, Connecticut April, 2009
Abstract
This research project aims to further shed light on the influences of FDI on
firm-level export es in Thailand. The goals of this paper are to identify the
factors, particularly those related to FDI, that determine firms’ export orientation,
and to make policy mendations with regard to facilitating MNCs export
spillovers. Findings from this research indicate that firms’ decisions to export are
heavily influenced by the governments’ export promotion policies and the presence
of foreign direct investors. Secondary findings further suggest that the intensity
of a firm’s exports is increasing in the percentage of foreign ownership in the
domestic firms.
Acknowledgments
I would like to thank my advisor, Professor Christiaan Hogendorn, for the
kindness, the support, and the guidance he has shown, not only throughout the
process of conducting this research, but also throughout my past 4 years at Wes-
leyan.
I would also like to thank my family for being a great source of encourage-
ment and advice. I especially thank my father and my two older sisters—Suchanan
and Kanittha—for their patience in answering my impossible questions and also
for their many hours spent on proofreading menting on my work.
Thank you.
Contents
1 Introduction 1
The Scope of Study . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Structure of this Research Paper . . . . . . . . . . . . . . . . . . . 8
2 Motives and Effects of Foreign Direct Investment 9
Definitions and Types of Foreign Direct Investment . . . . . . . . 10
Types of FDI . . . . . . . . . . . . . .
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