INVESTMENT POLICY OF TRANSNATIONAL CORPORATIONS IN THE CONDITIONS OF GLOBAL ECONOMIC TURBULENCE

Authors

  • Serhii Hryshchyshen candidate for the third (educational and scientific) level of higher education “Doctor of Philosophy” in the specialty 051 Economics, West Ukrainian National University, Ternopil
  • Uliana Tkach cand.sc.(econ.), assoc. prof., assoc. prof. at the department of international tourism and hospitality business, West Ukrainian National University, Ternopil

DOI:

https://doi.org/10.37332/

Keywords:

investment policy, transnational corporations, foreign direct investment, adaptability, supply-chain resilience, digital infrastructure, investment diversification

Abstract

Hryshchyshen S.V., Tkach U.V.  INVESTMENT POLICY OF TRANSNATIONAL CORPORATIONS IN THE CONDITIONS OF GLOBAL ECONOMIC TURBULENCE

Purpose. The aim of the study is to provide a theoretical and analytical substantiation of the transformation of transnational corporations’ investment policy under the influence of global economic turbulence and to identify its adaptive priorities, taking into account global FDI (foreign direct investments) dynamics in 2020–2025, the growing geographical and sectoral concentration of investment flows, and changes in the functional role of capital investments.

Methodology of research. The study employs analysis and synthesis to determine the substance of the transformation of TNCs’ investment policy; statistical and dynamic analysis to assess global foreign direct investment flows over the period 2020–2025; comparison and logical generalisation to identify geographical, sectoral, and project-level shifts; and systematisation and structural-logical analysis to substantiate the adaptive directions of investment policy.

Finding. It has been established that the recovery of global foreign direct investment to USD 1.6 trillion in 2025 does not indicate the normalisation of the international investment system, since more than 80% of global flows were concentrated in the twenty leading recipient countries, while strategic sectors accounted for 44% of the value of announced greenfield projects. The study reveals a shift in TNCs’ investment priorities from a predominant focus on cost minimisation and market expansion towards strategic selectivity and control over critical technologies, resources, and infrastructure. Six adaptive directions of investment policy have been substantiated: portfolio and financial flexibility; selective geographical diversification; enhanced supply-chain resilience; the development of digital and analytical capabilities; technological, energy, and resource autonomy; and institutional and local embeddedness in the local environment.

Originality. The systematisation of adaptive investment-policy directions has been further developed by identifying, for each direction, the object of adjustment, the relevant instruments and activation signals.

Practical value. The proposed system can be used by TNC corporate headquarters to review investment portfolios, assess country-specific and technological risks, determine the feasibility of phased financing, and select appropriate configurations of global assets. For public authorities, the findings provide an analytical basis for designing investment-attraction policies aimed at fostering local production linkages, technology transfer, and long-term resilience.

Key words: investment policy, transnational corporations, foreign direct investment, adaptability, supply-chain resilience, digital infrastructure, investment diversification.

 

References

1. UNCTAD (2026), World Investment Report 2026: International Investment in a Turbulent Era, Geneva, Switzerland, available at: https://unctad.org/publication/world-investment-report-2026-international-investment-turbulent-era (access date July 09, 2026).

2. International Monetary Fund (2026), World Economic Outlook Update: Global Economy in Crosscurrents of War and Technology, Washington, USA, available at: https://www.imf.org/-/media/files/publications/weo/2026/update/july/english/text.pdf (access date July 9, 2026).

3. World Bank (2026), Global Economic Prospects. June 2026, Washington, USA, DOI: https://doi.org/10.1596/978-1-4648-2315-2

4. OECD (2026), OECD Economic Outlook. Volume 2026, Issue 1: Under Pressure, OECD Publishing, Paris, France, available at: https://www.oecd.org/en/publications/oecd-economic-outlook-volume-2026-issue-1_2d1956f0-en.html (access date June 09, 2026).

5. Kukharyk, V.V. (2020), “Current trends in the development of international investment activities of TNCs”, Ekonomichnyi chasopys Volynskoho natsionalnoho universytetu imeni Lesi Ukrainky, no. 3(23), pp. 32-43, DOI: https://doi.org/10.29038/2411-4014-2020-03-32-43.

6. Bellucci, C. and Rungi, A. (2023), “Navigating uncertainty: Multinationals’ investment strategies after the pandemic shock”, Italian Economic Journal, Vol. 9, pp. 967-996, DOI: https://doi.org/10.1007/s40797-023-00244-4.

7. Bussy, A. and Zheng, H. (2023), “Responses of FDI to geopolitical risks: The role of governance, information, and technology”, International Business Review, Vol. 32, no. 4, Article 102136, DOI: https://doi.org/10.1016/j.ibusrev.2023.102136.

8. Zhou, X., Xiao, M., Wu, H. and You, J. (2024), “Does policy uncertainty travel across borders? Evidence from MNC subsidiary investment decisions”, Journal of Banking & Finance, Vol. 163, Article 107195, DOI: https://doi.org/10.1016/j.jbankfin.2024.107195.

9. Kim, D. and Lee, S. (2026), “Multinational investment activity under policy uncertainty in host and competing countries”, Journal of International Economics, Vol. 161, Article 104252, DOI: https://doi.org/10.1016/j.jinteco.2026.104252.

10. Nayyar, R. and Luiz, J.M. (2024), “Institutional complementarity and substitution in Indian multinational enterprises’ cross-border investment decisions”, Management International Review, Vol. 64, Issue 6, pp. 1053-1089, DOI: https://doi.org/10.1007/s11575-024-00560-6.

11. Pillich, S.M. (2025), “De-internationalization of cross-border investments from a de-globalization perspective: A systematic literature review and structuring of the field”, Management Review Quarterly, Vol. 75, Issue 2, pp. 1419-1494, DOI: https://doi.org/10.1007/s11301-024-00414-3.

12. Teece, D.J. (2025), “The multinational enterprise, capabilities, and digitalization: Governance and growth with world disorder”, Journal of International Business Studies, Vol. 56, Issue 1, pp. 7-22, DOI: https://doi.org/10.1057/s41267-024-00767-7.

13. Malik, F.S. and Terzidis, O. (2026), “Thriving in turbulence: Resilience and strategic adaptation in global business”, Review of Managerial Science, Vol. 20, pp. 2349-2394, DOI: https://doi.org/10.1007/s11846-025-00940-8.

14. Pysarevskyi, M.I. and Kiriienko, S.O. (2024), “Problems of the formation and implementation of investment activities of transnational corporations in the context of the digitalisation of the global economy”, Ekonomika ta suspilstvo, Issue no. 64, DOI: https://doi.org/10.32782/2524-0072/2024-64-32.

15. Petkova, L., Leshchenko, M. and Sakhno, T. (2025), “Investment decisions of international corporations in the context of global challenges”, Visnyk Khmelnytskoho natsionalnoho universytetu. Ekonomichni nauky, Vol. 338, no. 1, pp. 215-220, DOI: https://doi.org/10.31891/2307-5740-2025-338-32.

16. Hryshchyshen, S.V. (2025), “The impact of macroeconomic turbulence on the investment activity of transnational corporations”, Innovatsiina ekonomika, no. 2, pp. 202-209, DOI: https://doi.org/10.37332/2309-1533.2025.2.22.

17. Yakubovskyi, S.V. (2025), “The impact of TNC investment activities on Ukraine’s export potential in the context of global digitalization and European integration”, Stalyi rozvytok ekonomiky, no. 5(56), pp. 72-78, DOI: https://doi.org/10.32782/2308-1988/2025-56-10.

18. UNCTAD (2022), World Investment Report 2022: International Tax Reforms and Sustainable Investment, United Nations, Geneva, Switzerland, available at: https://investmentpolicy.unctad.org/publications/1263/world-investment-report-2022-international-tax-reforms-and-sustainable-investment (access date June 09, 2026).

19. UNCTAD (2023), World Investment Report 2023: Investing in Sustainable Energy for All, United Nations, Geneva, Switzerland, available at: https://unctad.org/publication/world-investment-report-2023 (access date June 09, 2026).

20. UNCTAD (2024), World Investment Report 2024: Investment Facilitation and Digital Government, United Nations, Geneva, Switzerland, available at: https://unctad.org/publication/world-investment-report-2024 (access date June 09, 2026).

21. UNCTAD (2025), World Investment Report 2025: International Investment in the Digital Economy, United Nations, Geneva, Switzerland, available at: https://unctad.org/publication/world-investment-report-2025 (access date June 09, 2026).

22. OECD (2025), OECD Supply Chain Resilience Review: Navigating Risks, OECD Publishing, Paris, France, DOI: https://doi.org/10.1787/94e3a8ea-en

23. Tan, J. (2024), “How widespread is FDI fragmentation?”, IMF Working Paper, no. 2024/179, International Monetary Fund, Washington, USA, DOI: https://doi.org/10.5089/9798400281211.001

24. Thakur-Weigold, B. and Miroudot, S. (2024), “Promoting resilience and preparedness in supply chains”, OECD Trade Policy Papers, no. 286, OECD Publishing, Paris, France, DOI: https://doi.org/10.1787/be692d01-en

Downloads

Published

2026-08-28

Issue

No. 3 (2026): INNOVATIVE ECONOMY

Section

Статті

License

Open-access articles (open-access journals)

Authors whose articles are published in open-access retain all rights to the content of the articles.

Open access articles are committed to be published under Creative Commons Attribution (CC BY) 4.0. This license allows others to distribute, edit, correct and build upon your work, even commercially, as long as they indicate your authorship. Detailed information at Creative Commons site: https://creativecommons.org/licenses/by/4.0/

Permissions for open-access journals

If the article is published in open-access under CC BY 4.0 or CC BY-NC 4.0 (which was possible till the 15th of December, 2018) licenses, users may reproduce it in accordance with their terms.

Additionally, if the article had been published under CC BY-NC 4.0 (this license authorizes others to download your works and share them with others as long as they indicate your authorship, but they can’t use them commercially in any case.), the use for the following commercial purposes requires permission:

– reproduction of content in a work or product intended for sale;

– reproduction in presentations, brochures or other marketing materials used for commercial purposes;

– distribution of the content to promote or market a person, product, course, service or organization;

– text and data mining for the purpose of creating a saleable product or product which benefits from promotional or advertising revenue;

– use of the content by a commercial entity or individual for the purposes of remuneration, directly or indirectly through sale, licensing, promotion or advertising;

– linking to the content (in an email, webpage, portable electronic device or otherwise) for the specific purpose of marketing or advertising a person, product, course, service or organization for commercial benefit.

For further details and permission requests, please contact.

How to Cite

“INVESTMENT POLICY OF TRANSNATIONAL CORPORATIONS IN THE CONDITIONS OF GLOBAL ECONOMIC TURBULENCE”. INNOVATIVE ECONOMY, no. 3, Aug. 2026, pp. 119-28, https://doi.org/10.37332/.