Multinational enterprises (MNEs) have had a long and important history in Australia

oday, they account for more than a third of Australia’s top 2000 firms and possess A$1.1
trillion of assets

Their impacts on the Australian economy are a major area of government policy and a
central topic of public debate.

Australia had one of the highest levels of GDP per capita at the turn of the twentieth
century and continues to be highly internationalised in terms of investment, labour, and
trade. Therefore, an investigation of MNEs in Australia is a highly significant part of the
analysis of their global impact.

Foreign investment has

benefited Australia, playing a
major role in our
economic growth and level of
development.
• Not all subsidiaries
benefited Australia equally and
there was scope for
improving the types of
competencies transferred to
Australia.
• Australia continues to be
dependent on traditional
competencies, such
as production technology,
although IT and environmental
knowledge
were becoming more
important sources of know-
how.
• Even for US and European
firms, there is little evidence
that Australia is
a regional HQ.
• Few subsidiaries were
centres of learning. There was
only limited
evidence of R&D activity or
product innovation.
• At least one quarter of the
subsidiaries made no attempt
to apply
overseas knowledge learning
in Australia.
• Relatively few subsidiaries –
20 percent – were active
subsidiaries,
creating competencies that
were integrated across their
parent’s MNE
network.
• Subsidiaries in Australia
were mainly focused on
domestic production
or the local distribution of
foreign goods and services.
Production for
export was rated as only of
low to medium importance.
• At most, only 35 percent of
subsidiaries in Australia were
part of a
global or regional input/output
network.
Foreign investment has
benefited Australia, playing a
major role in our
economic growth and level of
development.
• Not all subsidiaries
benefited Australia equally and
there was scope for
improving the types of
competencies transferred to
Australia.
• Australia continues to be
dependent on traditional
competencies, such
as production technology,
although IT and environmental
knowledge
were becoming more
important sources of know-
how.
• Even for US and European
firms, there is little evidence
that Australia is
a regional HQ.
• Few subsidiaries were
centres of learning. There was
only limited
evidence of R&D activity or
product innovation.
• At least one quarter of the
subsidiaries made no attempt
to apply
overseas knowledge learning
in Australia.
• Relatively few subsidiaries –
20 percent – were active
subsidiaries,
creating competencies that
were integrated across their
parent’s MNE
network.
• Subsidiaries in Australia
were mainly focused on
domestic production
or the local distribution of
foreign goods and services.
Production for
export was rated as only of
low to medium importance.
• At most, only 35 percent of
subsidiaries in Australia were
part of a
global or regional input/output
network.
Foreign investment has
benefited Australia, playing a
major role in our
economic growth and level of
development.
• Not all subsidiaries
benefited Australia equally and
there was scope for
improving the types of
competencies transferred to
Australia.
• Australia continues to be
dependent on traditional
competencies, such
as production technology,
although IT and environmental
knowledge
were becoming more
important sources of know-
how.
• Even for US and European
firms, there is little evidence
that Australia is
a regional HQ.
• Few subsidiaries were
centres of learning. There was
only limited
evidence of R&D activity or
product innovation.
• At least one quarter of the
subsidiaries made no attempt
to apply
overseas knowledge learning
in Australia.
• Relatively few subsidiaries –
20 percent – were active
subsidiaries,
creating competencies that
were integrated across their
parent’s MNE
network.
• Subsidiaries in Australia
were mainly focused on
domestic production
or the local distribution of
foreign goods and services.
Production for
export was rated as only of
low to medium importance.
• At most, only 35 percent of
subsidiaries in Australia were
part of a
global or regional input/output
network.
Foreign investment has benefited Australia, playing a major role in our economic growth and level of
development.

• Not all subsidiaries benefited Australia equally and there was scope for improving the types of
competencies transferred to Australia.

• Australia continues to be dependent on traditional competencies, such as production technology,

although IT and environmental knowledge were becoming more important sources of know-how.
• Even for US and European firms, there is little evidence that Australia is a regional HQ.

• Few subsidiaries were centres of learning. There was only limited evidence of R&D activity or
product innovation.

• At least one quarter of the subsidiaries made no attempt to apply overseas knowledge learning in
Australia.

• Relatively few subsidiaries – 20 percent – were active subsidiaries, creating competencies that
were integrated across their parent’s MNE network.

• Subsidiaries in Australia were mainly focused on domestic production or the local distribution of
foreign goods and services. Production for export was rated as only of low to medium importance.

• At most, only 35 percent of subsidiaries in Australia were part of a global or regional input/output
network.