Growth and Survival of International Joint Ventures: An External-Internal Legitimacy Perspective

The authors examine the growth and survival of international joint ventures (IJVs) from a legitimacy perspective. In a sample of 291 Sino-Japanese joint ventures in China, they found that Chinese parent age, Chinese parent size, and IJV industry relatedness to either parent had a positive effect on...

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Veröffentlicht in:Journal of management 2006-06, Vol.32 (3), p.426-448
Hauptverfasser: Lu, Jane W., Xu, Dean
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description The authors examine the growth and survival of international joint ventures (IJVs) from a legitimacy perspective. In a sample of 291 Sino-Japanese joint ventures in China, they found that Chinese parent age, Chinese parent size, and IJV industry relatedness to either parent had a positive effect on IJV growth and/or survival. However, IJV industry relatedness to both parents led to lower rates of IJV growth and survival. The findings highlight the importance for IJVs to obtain both external and internal legitimacy, as well as the difficulties IJVs face in acquiring internal legitimacy from both parents simultaneously.
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subjects Business growth
China (People's Republic)
Corporate governance
International aspects
Japan
Joint venture
Joint ventures
Legitimacy
Multinational corporations
Organizational behavior
Studies
Success factors
title Growth and Survival of International Joint Ventures: An External-Internal Legitimacy Perspective
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