Heterogeneous Firms and Foreign Direct Investment Strategies.

Summary This thesis proposes to study the role of heterogeneity among multinational firms in their foreign direct investment (FDI) strategies. While previous works emphasize the importance of individual firm productivity in becoming a multinational, few mention the remaining heterogeneity among these firms to explain differences in entry mode choice or foreign location motive. Through innovative theoretical and empirical approaches, based on the use of confidential data from French firms, we show that firm heterogeneity determines each of the three strategic aspects detailed in this thesis: the rate of foreign control, the motive for setting up abroad and the structure of the network of subsidiaries. Specifically, firm productivity and experience favor greater control of foreign subsidiaries, with their relative importance depending on the host country. These characteristics are also associated with deeper integration into global value chains, as well as with the formation of a more original network of locations. These results provide a better understanding of multinationals' choices, beyond the apparent complexity of FDI flows.