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The Geography of Multinational Firms addresses the implications of multinational production, and the forces that determine location. The analytical framework builds on recent developments in the theory of location and multinational production. In addition, more micro-oriented aspects of agglomeration are incorporated into the analysis. The issues addressed include the following: What determines the choice of entry mode and the choice between exports and affiliate production? How important are agglomeration forces in determining the location of affiliate production and R&D? What is the nature of intra-firm trade flows? The main focus of this book is on empirical issues, although the hypotheses tested are solidly founded in theory. The analysis is based upon a unique data-set embracing approximately 90 percent of Swedish multinational firms in the period 1965 to 1994, with emphasis on developments in the period 1980 to 1994.