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    The Impact of the home country on internationalization

    Access Status
    Fulltext not available
    Authors
    Cuervo-Cazurra, A.
    Luo, Yadong
    Ramamurti, R.
    Ang, S.
    Date
    2018
    Type
    Journal Article
    
    Metadata
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    Citation
    Cuervo-Cazurra, A. and Luo, Y. and Ramamurti, R. and Ang, S. 2018. The Impact of the home country on internationalization. Journal of World Business. 53 (5): pp. 593-604.
    Source Title
    Journal of World Business
    DOI
    10.1016/j.jwb.2018.06.002
    ISSN
    1090-9516
    School
    School of Management
    URI
    http://hdl.handle.net/20.500.11937/72447
    Collection
    • Curtin Research Publications
    Abstract

    © 2018 Elsevier Inc. We analyze how a firm's home country influences its internationalization. We propose two complementary types of influence. First, we conceptualize a firm's international trade as shaped by four drivers: comparative advantage, comparative disadvantage, country-of-origin advantage, and country-of-origin liability. Second, we conceptualize the firm's foreign direct investment as shaped by four other drivers: institutional learning, competitive learning, institutional escape, and competitive escape. Taken together, these eight drivers help pull together recent theoretical advances on topics such as emerging-market multinationals, investment in tax havens, and cross-border acquisitions of firms in advanced countries. We also highlight other home-country related issues, such as strategic responses and home-host country links, in the spirit of fostering future research on home-country effects that warrant a more nuanced understanding.

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