Investments in BRIC countries have been a main driver of the significant increase of cross-border investment activity in recent years. But investments in these emerging economies entail significant risks as institutional voids, host governments and national champions dictate the local business conditions for multinationals. This study investigates decision processes underlying cross-border investments in BRIC countries and discusses their critical success factors. The empirical results show how internal and external forces influence corporate decision-making efficiency. Moreover, the study highlights country-specific challenges for corporations which consider investing in BRIC countries.

Thomas Poplat, born in Oelde (Germany), studied Business Administration at the University of Münster (Germany) and at the California State University (USA). He worked for a Big Four audit firm and as a research assistant at the Chair of International Accounting at the University of Münster.