Please use this identifier to cite or link to this item: http://hdl.handle.net/2445/119810
Title: Wholly-Owned Subsidiaries Versus Joint Ventures: The Determinant Factors in the Catalan Multinational Manufacturing Case
Author: Álvarez, Montserrat
Keywords: Empreses filials
Empreses multinacionals
Catalunya
Subsidiary corporations
International business enterprises
Catalonia
Issue Date: 2003
Publisher: Institut d’Economia de Barcelona
Abstract: The aim of this paper is to investigate the factors influencing the choice between establishing a wholly-owned subsidiary (WOS) or entering into a joint venture (JV) as made by Catalan manufacturing firms investing abroad. The validity of certain key transaction-cost hypotheses in this case is tested using binomial logistic regression. Results indicate that a Catalan manufacturing firm is more likely to set up a wholly-owned subsidiary if the firm is sufficiently large, has had substantial experience in the host country geographical region, but is young and possesses little general experience in the international sphere. On the other hand, a Catalan firm is more likely to invest via a WOS if the firm possesses intangible or tacit assets and operates within a technologically advanced sector. Finally, a joint venture is preferred by a Catalan firm if the potential host country is perceived to imply a high degree of instability and risk or has a high rate of growth.
Note: Reproducció del document publicat a: http://www.ieb.ub.edu/2012022157/ieb/ultimes-publicacions
It is part of: IEB Working Paper 2003/05
URI: http://hdl.handle.net/2445/119810
Appears in Collections:IEB (Institut d’Economia de Barcelona) – Working Papers

Files in This Item:
File Description SizeFormat 
IEB03-05_Alvarez.pdf110.68 kBAdobe PDFView/Open


This item is licensed under a Creative Commons License Creative Commons