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March 2001, Volume 32, Number 1, Pages 41-58
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A Dual Parent Perspective on Control and Performance in International Joint Ventures: Lessons From a Developing Economy |
Yadong Luo, Oded Shenkar and Mee-Kau Nyaw |
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University of Miami
Ohio State University
Lingnan University
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| Abstract |
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This study compares the control-performance relationship for foreign versus local parents in international joint ventures in China. Transaction cost analysis is found more applicable to foreign than to Chinese parents. Both overall and specific controls are associated with performance for foreign parents, while only specific control is for Chinese parents. Under goal incongruity, Chinese parent control is associated with foreign parent dissatisfaction with venture performance, but not vice-versa. Having a majority stake improves performance from a foreign parent perspective, but not from that of the Chinese parent.
Ó 2001 JIBS. Journal of International Business Studies (2001) 32, 41-58 |
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This article is part of the JIBS archive created by Copenhagen Business School working in partnership with the Academy of International Business |
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