Financial and profit performance of MNCs in developing countries: Some evidence from an Indian and Columbian sample

This paper presents detailed information on the financing patterns and profit performance of a sample of multinational and other manufacturing firms in India and Columbia. It finds that local borrowing patterns of MNCs do not differ significantly from those of other firms, that MNC affiliates tend to pay lower interest rates abroad, that multinationality as such does not exercise a significant influence on profitability, and that local advertising and borrowing patterns have some effects on profitability.