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| Tekijä: | Wang, H. Schaan, J-L. |
| Otsikko: | How Much Distance Do We Need? Revisiting the "National Cultural Distance Paradox" |
| Lehti: | Management International Review
2008 : VOL. 48:3, p. 263- 277 |
| Asiasana: | market entry foreign investment Japan multinational companies |
| Vapaa asiasana: | cultural distance performance |
| Kieli: | eng |
| Tiivistelmä: | This paper revisits the "national cultural distance paradox" and examines nonlinear relationships between cultural distance (CD) and entry mode decisions and between CD and performance. Japanese foreign direct investments data covering a 36-year period in 53 countries and regions is analyzed. The results show that there is a nonlinear relationship between CD and the choice of a joint venture as the preferred market entry mode, and between CD and performance. It is also suggested that the relationship between CD and performance is moderated by the preferred choice of the entry mode: the nonlinear relationship between CD and performance is stronger for joint ventures than for completely owned subsidiaries. |
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