TITLE

INSTITUTIONAL PERSPECTIVE OF FOREIGN DIRECT INVESTMENT STRATEGY

AUTHOR(S)
CHAN, CHRISTINE M.
PUB. DATE
August 2003
SOURCE
Academy of Management Proceedings;2003, pE1
SOURCE TYPE
Conference Proceeding
DOC. TYPE
Proceeding
ABSTRACT
This paper develops the institutional perspective of foreign direct investment strategy. The main proposition is that an multinational corporation's (MNC) decision regarding foreign subsidiary ownership structure represents its desire to gain external and internal organizational legitimacy. In an empirical setting of Japanese MNCs' foreign investments across the world over the period 1987-1999, I found supporting evidence for my main argument.
ACCESSION #
13792731

 

Related Articles

  • WHICH TIES MATTER WHEN? THE STRATEGIC IMPACT OF NETWORK LINKAGES ON FOREIGN SUBSIDIARY SURVIVAL. JING' AN TANG; BEAMISH, PAUL W. // Academy of Management Annual Meeting Proceedings;2006, pV1 

    We draw upon network theory and international management research to examine the contingent value of ownership linkages on foreign subsidiary survival. We find that additional foreign ownership linkages contribute most to subsidiary survival when the MNE internal network is large or the resource...

  • A Groundrule for Foreign Business Operations: Don't Put All Your Eggs in One Basket! Mueller, Gerhard G. // California Management Review;Spring60, Vol. 2 Issue 3, p59 

    Diversification can solve the knotty problems of finance, production, and management that are often by-products of overseas operations. Read this article to discover how your company could benefit by diversifying its foreign subsidiaries.

  • Effective Cross - cultural Relationships in Multinational Corporations. Foreign Subsidiaries' Viewpoint. Rozkwitalska, Małgorzata // Annual International Conference on Business Strategy & Organizat;2013, p65 

    Since multinational corporations (MNCs) operate in many distant cultures, cross-cultural relationships are their day-to-day reality that affect efficiency of their multinational workforce. Therefore, MNCs are expected to learn how to manage such relationships to establish fruitful cooperation...

  • FDI Ownership Strategy: A Japanese-US MNE Comparison. Jung, Jae C.; Beamish, Paul W.; Goerzen, Anthony // Management International Review (MIR);2008 5th Quarter, Vol. 48 Issue 5, p491 

    Much of the extant literature characterizes international joint venture (IJV) as a less stable and less successful form of organization. In this view, the IJV is considered a suboptimal ownership strategy, one where the firm lacks control over its operations, compared to wholly-owned subsidiary...

  • Company links with Europe. McComb, D. // Accountancy;Jun73, Vol. 83 Issue 958, p22 

    The article provides a description on several problems and rewards involving international operation. The author also includes a discussion on the growth size of the European Economic Community, the foreign subsidiary, simple agreements with foreign companies, collaboration problems and several...

  • Market Seeking Orientation and Performance in China: The Impact of Institutional Environment, Subsidiary Ownership Structure and Experience. He, Xinming; Zhang, Jianhong; Wang, Jinmeng // Management International Review (MIR);Jun2015, Vol. 55 Issue 3, p389 

    Many foreign firms tend to follow the market-seeking mandate in China. However this orientation alone does not guarantee superior performance. From the perspectives of strategic fit and institutional theory, this research seeks to reveal several conditions under which market-seeking MNEs can...

  • Entry mode irreversibility, host market uncertainty, and foreign subsidiary exits. Song, Sangcheol // Asia Pacific Journal of Management;Jun2014, Vol. 31 Issue 2, p455 

    We examine how the exits of multinational companies' foreign subsidiaries from host countries are foreshadowed by the irreversibility intrinsic to firms' entry modes and the environmental uncertainty in host countries. For empirical testing, we run a Cox proportional hazard rate model on STATA...

  • An integrated model of knowledge transfer from MNC parent to China subsidiary Wang, Pien; Tong, Tony W.; Koh, Chun Peng // Journal of World Business;May2004, Vol. 39 Issue 2, p168 

    Based on an empirical study of 62 firms, this paper develops a two-stage model describing knowledge transfer from MNCs to their China subsidiaries. In the first stage, the model proposes factors affecting the extent of knowledge contributed by an MNC to its China subsidiary. In the second stage,...

  • LOCAL DENSITY AND FOREIGN SUBSIDIARY PERFORMANCE. MILLER, STEWART R.; EDEN, LORRAINE // Academy of Management Journal;Apr2006, Vol. 49 Issue 2, p341 

    Local density (the number of firms vying for similar resources in a local environment) has been overlooked in explaining foreign subsidiary performance. This study drew upon the concepts of liability of foreignness and density dependence to examine how local density within a host country...

Share

Read the Article

Courtesy of NEW JERSEY STATE LIBRARY

Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics