Exposure to FDI and attitudes towards multinational enterprises: do M&A matter?

This study aims to investigate the role of multinational enterprises’ (MNE) penetration at the occupation-country level to form individuals’ preferences towards MNE. We combine individuals’ attitudes and perceptions towards MNE, obtained from the International Social Survey Programme (ISSP, 2003 and 2013), with an indicator for the occupation-country’s exposure to MNE based on mergers and acquisitions (M&A) data collected from the Securities Data Company (SDC) Platinum database. Using an ordered probit model, we find that the MNE penetration at the occupation-country level positively affects the individual’s attitude towards MNE, even after controlling for individual socioeconomic characteristics. Additionally, we find that this effect is particularly relevant for individuals who are more favourable to immigrants’ presence in their country and for residents in countries with high levels of employment protection legislation.