Greenfield Investment, Mergers & Acquisitions and Economic growth in Developing Countries of Asia: Moderating role of Corruption
DOI:
https://doi.org/10.47067/ramss.v9i1.640Keywords:
Greenfield, Merger & Acquisition, FDI, Corruption, AsiaAbstract
This research investigates the impact of Greenfield investments and mergers and acquisitions on economic growth in the developing Asian countries, between the years 2003 and 2021. For the estimation, panel data techniques such as random effects, fixed effects, and robust least squares are used. The findings show that Greenfield investments have positive effect on the economic growth while mergers and acquisition investment are associated with negative effect on economic growth. Likewise, control of corruption: has been found to have a positive effect on economic growth in developing Asian countries. Hence, the outcome demonstrates the importance of reducing corruption as it has been revealed to improve the economic growth. Therefore, reducing corruption and promoting good governance are necessary in these developing Asian countries. Based on the outcomes, the study suggests that these countries may realize long-term economic growth in a rapidly changing global market by encouraging Greenfield investment, minimizing the corruption.
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