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Research abstract: This paper uses an essay format to set out the major issues of attracting FDI in times of digital business transformation. It departs from identifying the changing nature of international production patterns and altering profiles of MNEs due to fourth industrial revolution and discusses the implication of thereof on FDI policy designing and implementing. It diagnoses the likely evolution of such policy aiming at attracting digital FDI and outlines the related challenges. It draws on the case of Poland and argues that humbler, yet quality-oriented and selective approach the policymakers might need to adopt, should focus on providing the right conducive business environment among others by pursuing the smart industrial policy and by leveraging the clusters advantages.Managerial abstract: The changing nature of international production and altering profiles of MNEs due to fourth industrial revolution impact how the FDI policy is designed and implemented. By drawing on the case of Poland it can be argued that humbler, yet quality-oriented and selective approach the policy-makers might need to adopt, should focus on providing the right conducive business environment. This implies pursuing the smart industrial policy and leveraging the clusters advantages. At the same time, it would be crucial to support local companies as partners for such MNEs – i.e. to empower domestic firms and embed foreign firms. Facilitating further cluster developments might prove critical in embedding footloose MNEs and equip local entities to cope with new challenges of digital transformations.
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Papers that cite the same references — the relational fallback while embeddings are still backfilling.
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