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Financing MNC Subsidiaries in Central America

Vihang R. Errunza
Journal of International Business Studies
Vol. 10, No. 2 (Autumn, 1979), pp. 88-93
Stable URL: http://www.jstor.org/stable/154711
Page Count: 6
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Financing MNC Subsidiaries in Central America
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Abstract

This article studies the historical financial sources for MNC activity in Costa Rica, Honduras, and Nicaragua. The evidence suggests that country environment factors have dominated the sourcing policies of MNCs. The most important factors include perceived exchange risk and domestic credit conditions.

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