Globalization has always been characterized by the presence of foreign investment. Taking one of several forms of foreign investment, this study is focusing on the importance of Labor Productivity in describing a firm's competitiveness. Foreign Ownership (FO) is used to define FDI, and act as the independent variable. In addition, Human Capital Efficiency (HCE) and Capital Employed Efficiency (CEE) are also included as independent variables to support the resource-based view of competitive advantage theory. The dependent variable, on the other hand, is the competitive advantage of firms with Labor Productivity as its proxy. Using purposive sampling method, 18 Indonesian listed manufacturing firms are used as the research sample, and are observed for a 6- year period of time (2012-2017). This research uses a multiple linear regression with the aid of EViews v. 10 software, Findings from this research suggests that FO, HCE, and CEE simultaneously have significant effect on Labor Productivity. However, when tested partially, only FO and HCE indicate positive and significant effect on labor productivity, whereas CEE does not have significant influence on labor productivity.