The effect of alliance network diversity on multinational enterprise performance |
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| Authors: | Anthony Goerzen Paul W Beamish |
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| Institution: | 1. Faculty of Business, University of Victoria, Victoria, British Columbia, Canada;2. Richard Ivey School of Business, University of Western Ontario, London, Ontario, Canada |
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| Abstract: | This paper examines the impact of alliance network diversity on multinational enterprise (MNE) economic performance. We consider competing hypotheses derived, alternatively, from transaction cost theory and network theory. Using a latent variable structural equation modeling approach on a sample of 580 large MNEs, we find that MNEs with more diverse alliance networks experience lower economic performance on average than those with less diverse alliance networks. Copyright © 2005 John Wiley & Sons, Ltd. |
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| Keywords: | multinational enterprise network alliance joint venture diversification |
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