Does the regional nature of multinationals affect the multinationality and performance relationship?

The traditional independent variable in the multinationality and performance literature is the ratio of foreign ( F) to total ( T) sales, ( F/ T). This can now be supplemented by a new regional variable, the ratio of regional ( R) to total ( T) sales, i.e. ( R/ T). Data are presented on both ( F/ T) and ( R/ T) for both sales and assets for a 5-year period, 2001–2005. New tests are reported on ( R/ T) as it affects a financial measure of performance, the Tobin's Q. Implications are drawn for future research on the S-curve relationship between multinationality and performance in the light of this regional phenomenon.