Chapter 6 - Internationalization of Spanish companies

Question 1

the Ministry considers the following 6 areas of action

Answer 1

1. offer internationalization support adapted to the needs of companies
2. incorporate innovation, technology, brand and digitalization into internationalization
3. develop human capital for internationalization
4. take advantage of business opportunities arising from common commercial policy and financial institutions and multilateral organizations
5. promote acquisition and consolidation of foreign investment with high added value
6. strengthen the coordination and complementarity of actions of all relevant actors in internationalization

Question 2

on Spanish exporting activity

Answer 2

• a positive relationship is detected between the size of the company and the probability of exporting
• although the vast majority of exporting companies are SMEs and microenterprises, the contribution of large companies to the value of exports exceeds 50%
• as for the geographical destination of exports, more than 2/3 of the trade is directed to EU countries

Question 3

on Spanish foreign direct investments

Answer 3

• Mexico, Netherlands and the US are the three main recipients
• main destination sector is financial and insurance activity with 37.3% of the total
• second, agriculture, forestry and fishing

Question 4

Spain is one of the main destinations for

Answer 4

Latin American FDI; it’s the second country receiving this investment outside the region of US

Question 5

what is a springboard country and what conditions does it have to have to assume that role?

Answer 5

• springboard country is located in intermediate position in terms of cultural and institutional distance between the country of origin and destination from which there is an intense commercial flow with the country destination
• Spain can be considered as a springboard country for European MNEs that want to operate in Latin America