Our study investigates the effect of Japanese keiretsu group membership on firm risk and return. Like prior studies, our results show that keiretsu membership has a negative effect on firm profitability. In contrast to prior studies, however, we find that most of our risk measures are positively...

Our study investigates the effect of Japanese horizontal keiretsu group membership on firm risk and return. Like prior studies, our results show that horizontal keiretsu membership has a negative effect on firm profitability. However, we find that horizontal keiretsu networks are likely to...

This paper examines the interdependent foreign market entry decisions of multinational corporations (MNCs). Based on the argument that legitimacy and competition are two important forces in foreign market entry decisions, we hypothesize that an MNC's market entry decisions are influenced by its...

The purpose of this study is to investigate the relationship between technological capabilities and firm performance. We divide technological capabilities into two types--refinement capability, which involves the improvement of the existing asset portfolio, and reconfiguration capability, which...

The purpose of this study is to investigate the relationships between firm resources and performance. We divide firm resources into two types: primary resources and support resources. Primary resources include technological assets and reconfiguration capabilities, which directly contribute to a...

This paper extends Chang's (1995) sequential investment theory to include multinational corporations (MNCs) in service industries, given this sector's large and growing impact on the global economy. To facilitate an examination of service MNC internationalization patterns, we develop a new...

Using data on IPOs that are issued in Japan during January 1975–March 1989, we examine the deliberate underpricing and overreaction hypotheses to explain high initial returns at offering dates. Specifically, we analyze the cross-sectional pattern of the short- and long-run performance of IPOs....

This paper compares two real options – within-country growth and across-country operational flexibility – to examine subsidiary expansion/contraction during times of economic crisis. Specifically, we examine how the real options orientations of individual subsidiaries interact with the...

We combine the concept of location derived by economic geographers with theories of the multinational enterprise (MNE) and the liability of foreignness developed by international business scholars, to examine the factors that propel MNEs toward, or away from, “global cities”. We argue that...