An event study of the effects of partner and location cultural differences in joint ventures

International Business Review

Volumn 12, Issue 1, 2003, Pages 1-16

  Hanvanich, Sangphet ^a   Miller, Stewart R ^b   Richards, Malika ^c   Cavusgil, S Tamar ^d  

^a LEHIGH UNIVERSITY   (United States)

^b UNIVERSITY OF TEXAS AT AUSTIN   (United States)

^c DREXEL UNIVERSITY   (United States)

^d MICHIGAN STATE UNIVERSITY   (United States)

Author keywords

Cultural difference; Event study methodology; Joint ventures; Shareholder value

Indexed keywords

EID: 0037310201     PISSN: 09695931     EISSN: None     Source Type: Journal    
DOI: 10.1016/S0969-5931(02)00085-9     Document Type: Article

References (37)

1. Barkema, H. G., Bell, J. H., & Pennings, J. (1996). Foreign entry, cultural barriers and learning. Strategic Management Journal, 17, 151-166.
2. Barkema, H. G., Shenkar, O., Vermeulen, F., & Bell, J. H. J. (1997). Working abroad, working with others: how firms learn to operate international joint venture. Academy of Management Journal, 40, 426-442.
3. Barkema, H., & Vermeulen, F. (1997). What differences in the cultural backgrounds of partners are detrimental for international joint ventures. Journal of International Business Studies, 28, 845-864.
4. Beamish, P. W. (1999). The role of alliances in international entrepreneurship. Research in Global Strategic Management, 7, 43-61.
5. Beamish, P. W., & Banks, J. C. (1987). Equity joint venture and the theory of multinational enterprise. Journal of International Business Studies, 18, 1-16.
6. Brown, L., Rugman, A., & Verbeke, A. (1989). Japanese joint ventures with western multinationals: synthesizing the economic and cultural explanations of failure. Asia Pacific Journal of Management, 6, 225-242.
7. Brown, S. J., & Warner, J. B. (1985). Using daily stock returns. Journal of Financial Economics, 14, 3-31.
8. Buckley, P. J., & Casson, M. (1996). An economic model of international joint venture strategy. Journal of International Business Studies, 27, 849-875.
9. Cheng, L. T. W., Fung, J. K. W., & Lam, K. (1998). An examination of the determinants of stock price effects of US-Chinese joint venture announcements. International Business Review, 7, 151-161.
10. Contractor, F. J., & Lorange, P. (1988). The strategy of economic basis for cooperative ventures. In F. J. Contractor, & P. Lorange (Eds.), Cooperative strategies in international business. Toronto, Canada: Lexington Books.
11. Daniels, J. D., & Radebaugh, L. H. (1998). International business: Environments and operations. Burr Ridge, IL: McGraw-Hill.
12. Demirbag, M., & Mirza, H. (2000). Factor affecting international joint venture success: an empirical analysis of foreign-local partner relationships and performance in joint ventures in Turkey. International Business Review, 9, 1-35.
13. Fey, C. F., & Beamish, P. W. (2000). Joint venture conflict: the case of Russian international joint ventures. International Business Review, 9, 139-162.
14. Fiol, C. M., & Lyles, M. A. (1985). Organizational learning. Academy of Management Review, 10, 803-813.
15. Geringer, J. M. (1988). Partner selection criteria for developed country joint ventures. Business Quarterly, 53, 55-63.
16. Geringer, J. M., & Herbert, L. (1989). Control and performance of international joint ventures. Journal of International Business Studies, 20(2), 235-254.
17. Hanvanich, S., & Cavusgil, S. T. (2001). Stock market reactions to international joint venture announcement: an event analysis. International Business Review, 10, 139-154.
18. Harrigan, K. R. (1988). Joint ventures and competitive strategy. Strategic Management Journal, 9, 141-158.
19. Healy, P. M., Palepu, K. G., & Ruback, R. S. (1992). Does corporate performance improve after mergers? Journal of Financial Economics, 31, 135-175.
20. Hofstede, G. (1983). The cultural relativity of organizational practices and theories. Journal of International Business Studies, 14, 75-89.
21. Hymer, S. (1976). The international operations of national firms: A study of direct investment. Cambridge, MA: MIT Press.
22. Kogut, B., & Singh, H. (1988). The effect of national culture on the choice of entry mode. Journal of International Business Studies, 19, 411-432.
23. Koh, J., & Venkatraman, N. (1991). Joint venture formations and stock market reactions: an assessment in the formation technology sector. Academy of Management Journal, 34, 869-892.
24. Makhija, M. V., & Ganesh, U. (1997). The relationship between control and partner learning in learning-related joint ventures. Organization Science, 8, 508-527.
25. Makino, S., & Beamish, P. W. (1998). Performance and survival of joint venture with non-conventional ownership structure. Journal of International Business Studies, 29, 797-818.
26. McConnell, J. J., & Nantell, T. J. (1985). Corporate combinations and common stock returns: the case of joint ventures. Journal of Finance, 40, 519-536.
27. Merchant, H., & Schendel, D. (2000). How do international joint ventures create shareholder value? Strategic Management Journal, 21, 723-737.
28. Meschi, P. (1997). Longevity and cultural differences of international joint ventures: toward time-based cultural management. Human Relations, 50, 211-227.
29. Nayyar, P. R. (1995). Stock market reactions to customer service changes. Strategic Management Journal, 16, 39-53.
30. Parkhe, A. (1991). Interfirm diversity, organizational learning and longevity in global strategic alliances. Journal of International Business Studies, 22, 579-601.
31. Pearce, R. J. (1997). Toward understanding joint venture performance and survival: a bargaining and influence approach to transaction cost theory. Academy of Management Review, 22, 203-225.
32. Ravenscraft, D., & Scherer, F. (1987). Mergers, sell-offs and economic efficiency. Washington, DC: Brookings Institution.
33. Reuer, J., & Koza, M. P. (2000). Asymmetric information and joint venture performance: theory and evidence for domestic and international joint ventures. Strategic Management Journal, 21, 81-88.
34. Tatoglu, E., & Glaister, K. W. (1998). Performance of international joint ventures in Turkey: perspectives of western firms and Turkish firms. International Business Review, 7, 569-589.
35. Woodcock, C. P., Beamish, P. W., & Makino, S. (1994). Ownership-based entry mode strategies and international performance. Journal of International Business Studies, 25, 253-273.
36. Yan, A., & Zeng, M. (1999). International joint venture and instability: a critique of previous research, a reconceptualization and directions for future research. Journal of International Business Studies, 30, 395-414.
37. Zaheer, S. (1995). Overcoming the liability of foreignness. Academy of Management Journal, 38, 341-363.