The Facebook IPO Hype: A rude social awakening
De Maeseneire, Wouter Divakaruni, Anantha Krishna
De Maeseneire, Wouter
Divakaruni, Anantha Krishna
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2012
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Book
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37
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Abstract
How do Chinese firms make their entry-mode decision for their outward investments? Based on the three theoretical perspectives that balance the “strategy tripod,” our study conducted empirical tests using survey data collected from outward-investing Chinese firms. We found that the cost advantage of the investing firm and learning opportunities in the host industry have positive effects on the likelihood of a Chinese firm opting for wholly owned subsidiary against joint-venture entry mode, while the market attractiveness of the host industry, host-country restrictions, cultural barriers, and cognitive pressures have negative effects. © 2011 Wiley Periodicals, Inc.
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Accounting & Finance