Drawing on the institutional economics perspective, several scholars have argued that economic institutions and policies that facilitate the efficient exercise of private property rights are instrumental in attracting higher levels of foreign direct investment. In this paper, we empirically...

This chapter reviews the theoretical and empirical literature on the efficiency of resource allocation in multibusiness firms. The chapter proceeds by discussing the differences between resource allocation in markets vs. firm hierarchies in section 2. This discussion establishes the costs and...

There is a renewed debate about whether multidivisional firms allocate resources efficiently across their divisions. This paper contributes to the literature on this debate by developing and testing a conceptual framework that links resource allocation efficiency to three forms of firm-level...