Integration into global production and distribution networks through FDI: the case of Poland

Technological progress has led to increasing importance of the internationa l division of labour organized around global production and distribution ne tworks. Multinational corporations have been a driving force behind these d evelopments. This article studies the role of MNCs in integrating a host co untry into the international system of division of labour in the context of Poland. It provides evidence of Poland's increasing participation in globa l production and distribution networks that is taking place through FDI inf lows. It concludes that, thanks to a large volume of FDI inflows, Poland's exports driven by production fragmentation will continue to expand at even faster rates than those observed in recent years.