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By Carl H. McMillan

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Comecon entities are believed to have contributed over 80 per cent of this figure, with the balance provided by Western investors. 7 shows the distribution of total estimated capital invested, by country and by sector . 000,000. The actual invested capital in individual companies ranges widely, however, from under $10,000 for some sm all agency firms to nearly $10 million for a few large distributing and servicing companies with extensive distributing and servicing operations. Companies engaged in assembly or manufacturing operations are typically larger, with an average value of invested capital close to a million dollars.

2 (Washington, DC: US Government Printing Office, for the Joint Economic Committee, US Congress, 1979) pp. 462-81. 27. McMillan, 'The International Organisation of Inter-Firm Cooperation' in N. ), Economic Relations between East and West, op. 171-91, and compare M. Casson, Alternatives to the Multinational Enterprise (London: Macmillan, 1979). 28. J. Laux, 'Eastern Europe in aChanging International Division of Labor' (Paper presented to the International Studies Association 24th Annual Convention, Mexico City, April 1983).

Throughthe acquisition of new capital and technology, increased production specialisation and improved export competitiveness, this integration is intended to make a significant contribution to the growth of productivity in the Comecon economies. Industial co-operation with foreign firms has been regarded as a key element in the Comecon countries' intensive development strategy. The new Comecon development strategy and its external manifestations coincided with the emergence of a complementary, international investment strategy among potential foreign partners.

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