An Issue-Area Approach to the Analysis of MNE-Government Relations

Abstract

This article presents an issue-area approach to the analysis of relations between multinational enterprises and governments. The concept of issue-areas is drawn from a body of political science literature that has been neglected in the literature of international business. The central theme of the analysis is that business-government relations vary systematically across issue-areas in their interactions and outcomes. An issue-area typology from the political science literature is applied to MNE-government relations concerning inbound foreign direct investment in the United States. The article adopts a heuristic approach, as is appropriate in this first stage in the development of an issue-area theory of MNE-government relations.