Handbook of the International Political Economy of the Corporation
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Handbook of the International Political Economy of the Corporation

Edited by Andreas Nölke and Christian May

Over the past few decades, corporations have been neglected in studies of international political economy (IPE). Seeking to demystify them, what they are, how they behave and their goals and constraints, this Handbook introduces the corporation as a unit of analysis for students of IPE. Providing critical discussion of their global and domestic power, and highlighting the ways in which corporations interact with each other and with their socio-political environment, this Handbook presents a thorough and up-to-date overview of the main debates around the role of corporations in the global political economy.
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Chapter 18: Host state bargaining with multinationals

Caner Bakir and Judith Woods


The relations between multinational corporations (MNCs) and host countries are not as simple as is often suggested. Instead of dictating the terms of their engagement in host countries, MNCs find themselves in bargaining situations with host countries. This chapter demonstrates the different ways in which such bargaining takes place and how this affects the strategies and outcomes of both host states and MNCs. For this purpose, the authors critically review the relevant approaches on bargaining models and argue that the relationship between MNCs and host countries can only insufficiently be analysed with the help of such models, but it is necessary to take into account the interdependent macro- and micro-level contexts and complementarities arising from structural and institutional properties.

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