A dual parent perspective on control and performance in international joint ventures : lessons from a developing economy

Document Type

Journal article

Source Publication

Journal of International Business Studies

Publication Date

3-1-2001

Volume

32

Issue

1

First Page

41

Last Page

58

Abstract

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.

DOI

10.1057/palgrave.jibs.8490937

Print ISSN

00472506

Publisher Statement

Copyright © 2001, Macmillan Publishers Ltd

Access to external full text or publisher's version may require subscription.

Full-text Version

Publisher’s Version

Language

English

Recommended Citation

Luo, Y., Shenkar, O., & Nyaw, M.-K. (2001). A dual parent perspective on control and performance in international joint ventures: Lessons from a developing economy. Journal of International Business Studies, 32(1), 41-58. doi: 10.1057/palgrave.jibs.8490937

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