Organizational performance feedback effects and international expansion
| Autor: | Guy L. F. Holburn, Guoliang Frank Jiang |
|---|---|
| Rok vydání: | 2018 |
| Předmět: |
Marketing
Performance feedback 05 social sciences Geographic proximity Foreign direct investment Organizational performance Internationalization 0502 economics and business 050211 marketing Statistical analysis Business 050203 business & management Industrial organization International business research |
| Zdroj: | Journal of Business Research. 90:48-58 |
| ISSN: | 0148-2963 |
| DOI: | 10.1016/j.jbusres.2018.04.034 |
| Popis: | Drawing on performance feedback theory to develop the Uppsala internationalization model, we argue that organizational performance relative to managerial aspirations influences firms' foreign expansion propensity as well as the type of country location. Our statistical analysis of foreign entries by Japanese machinery firms between 1976 and 2002 finds that firms performing closer to aspirations were more likely to enter foreign countries than those that under- or out-performed. Underperforming firms were also more likely to enter countries with greater cultural and geographic proximity to those in which they had already invested. Our findings contribute to international business research by identifying organizational performance conditions under which firms tend to adopt an incremental approach to foreign expansion, or else a comparatively radical one of selecting more distant or unfamiliar countries. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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