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Promoting Development with FDI: The Irish Development Agency in Comparative Perspective

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Abstract:

Government agencies alone often lack the necessary characteristics – flexibility, understanding of business needs, etc. – to be effective at promotion of foreign direct investment (FDI) unless they find some way to collaborate with a private agency, or some other way to develop effective strategic linkages with the business community. The Irish Development Agency (IDA) is a case of a government agency that does not have this sort of relationship with a private agency, but has succeeded remarkably well. In comparing the IDA with investment promotion agencies in Chile (wholly government-run), Costa Rica, and Rio Grande do Sul, Brazil (examples of public-private collaboration), this paper argues that IDA's success results largely from its unique, quasi-governmental structure. For example, this gives the IDA the flexibility to pay higher salaries than a standard government agency, allowing it to recruit personnel with the business backgrounds and/or skills that are necessary for effective investment promotion. At the same time, IDA's links to the government enable it to influence legislation in order to advance its mission, for example, getting laws on tax incentives pushed through the legislature, in ways that would not be possible for private agencies.

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ireland (200), ida (191), promot (102), govern (95), invest (94), agenc (74), 2004 (70), industri (65), develop (64), fdi (60), state (60), high (55), transnat (53), strategi (52), would (43), busi (43), success (39), consensus (38), work (38), new (38), import (37),
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Name: International Studies Association
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Nelson, Roy. "Promoting Development with FDI: The Irish Development Agency in Comparative Perspective" Paper presented at the annual meeting of the International Studies Association, Le Centre Sheraton Hotel, Montreal, Quebec, Canada, Mar 17, 2004 <Not Available>. 2008-10-10 <http://www.allacademic.com/meta/p73010_index.html>

APA Citation:

Nelson, R. C. , 2004-03-17 "Promoting Development with FDI: The Irish Development Agency in Comparative Perspective" Paper presented at the annual meeting of the International Studies Association, Le Centre Sheraton Hotel, Montreal, Quebec, Canada Online <.PDF>. 2008-10-10 from http://www.allacademic.com/meta/p73010_index.html

Publication Type: Conference Paper/Unpublished Manuscript
Review Method: Peer Reviewed
Abstract: Government agencies alone often lack the necessary characteristics – flexibility, understanding of business needs, etc. – to be effective at promotion of foreign direct investment (FDI) unless they find some way to collaborate with a private agency, or some other way to develop effective strategic linkages with the business community. The Irish Development Agency (IDA) is a case of a government agency that does not have this sort of relationship with a private agency, but has succeeded remarkably well. In comparing the IDA with investment promotion agencies in Chile (wholly government-run), Costa Rica, and Rio Grande do Sul, Brazil (examples of public-private collaboration), this paper argues that IDA's success results largely from its unique, quasi-governmental structure. For example, this gives the IDA the flexibility to pay higher salaries than a standard government agency, allowing it to recruit personnel with the business backgrounds and/or skills that are necessary for effective investment promotion. At the same time, IDA's links to the government enable it to influence legislation in order to advance its mission, for example, getting laws on tax incentives pushed through the legislature, in ways that would not be possible for private agencies.

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Associated Document Available Political Research Online
Associated Document Available International Studies Association

Document Type: .PDF
Page count: 33
Word count: 13283
Text sample:
Moving Up the Value Chain: Does Ireland’s Experience Offer Lessons for Latin America?* Listed in the program as: Ireland’s Industrial Development Agency in Comparative Perspective Roy C. Nelson Ph.D. Associate Professor of International Studies Thunderbird the Garvin School of International Management 15249 N. 59th Ave. Glendale AZ 85306 Telephone: 602-978-7025 FAX: 602-978-7001 Email: nelsonr@t-bird.edu *I wish to thank the Thunderbird Research Center and CIBER for financing this research. Prepared for delivery at the 45th Annual meeting of the International
January 20 2004. Kennedy Tom. Manger International Business Linkages Program Enterprise Ireland. Interview by author. Dublin Ireland January 21 2004. Lovegrove David. Former Senior Forfás official. Interview by author. Dublin Ireland January 23 2004. McMenamin Paid. Former Senior IDA official. Interview by author. Dublin Ireland January 15 2004. Molumby Denis. Executive Director IDA Ireland. Interview by author. Dublin Ireland January 20 2004. Ruene Frances. Professor of Economics Trinity College Dublin. Interview by author. Dublin Ireland January 14 2004. Shiels


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