The influence of govermental management, customers and suppliers relationship to foreign direct investment companies’ performance in Binh Duong province: A qualitative study

Abstract

Binh Duong province is becoming one of the most attractive locations for Foreign Direct Investment (FDI) firms of different origins, yet few studies have been conducted to investigate the several aspects related to FDI firms in Binh Duong. This research aims to evaluate the performance of FDI companies and understand the potential determinants of the performances by utilizing the exploratory approach. The research methodology is carefully designed to ensure the trustworthiness in data collection, coding and analysis. The study finds out four dimensions of Governmental Management: Managerial Political Ties, Institutional Support, Governmental Training Activities and Administrative Procedure that relate to FDI firm performance and competitive advantages. Furthermore, relationship with customers and suppliers manifest correlations with the performance and competitive advantage of FDI enterprises. Finally, this paper suggests some managerial implications for the governmental agencies to improve the current policies to attract more foreign investors. Specifically, FDI companies also get some valuable information when investing in the emerging market like Vietnam in general and Binh Duong province in particular.