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| Author: | Makino, S. Delios, A. |
| Title: | Local knowledge transfer and performance: implications for alliance formation in Asia |
| Journal: | Journal of International Business Studies
1996 : VOL. 27:5, p. 905-928 |
| Index terms: | INTERNATIONAL BUSINESS ALLIANCES ASIA |
| Language: | eng |
| Abstract: | Foreign firms in host country environments frequently face location-based disadvantages. This study proposes three means (channels) of overcoming local knowledge disadvantages. Based on a sample of 558 Japanese joint ventures (JVs) located in Southeast and East Asia, the authors find that partnering with local firms (the first channel) can be a primary strategy for accessing local knowledge and improving JV performance. JV experience in the host country (the second channel) also mitigates local knowledge disadvantages and leads to increased JV performance. |
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