Several scholars have strived to explain the rise of emerging MNCs (EMNCs), but a satisfactory understanding of the firm-specific causative factors is still missing. In this paper, we seek to fill this gap in the literature. Since the 1990s, India, like most other emerging markets, has experienced dramatic transformation of her competitive and institutional environment. These transformations have been a catalyst for the rise of Indian multinational corporations (MNCs). We discuss the macro context of the rise of the Indian MNCs during the pre and post reform periods. Then, we analyze the micro foundations of the rise of the Indian MNCs in terms of the development of specialized firm-specific capabilities in the both periods. Finally, we discuss how the profile of the country and firm-specific ownership advantages has evolved, and supported the rise of the Indian MNCs
