Ability
cognitive
, 388
competitive
, 184
corporate
, 499
decision-making
, 387
decreasing
, 358
differential
, 346
firm’s
, 211, 349, 416
limited processing
, 388
reduced
, 34, 365
subsidiary’s
, 346
unique
, 22, 83
Abnormal return (AR)
, 193, 195–196
Academy of International Business (AIB)
, 65
Acquirers
, 26–27, 39, 157–158, 185, 189, 191–194, 199, 202, 277–278, 286, 305, 495, 497, 500–507, 510–511
foreign
, 278, 495, 503, 509, 511
remote
, 306
serial
, 204
Acquirers and targets
, 193, 278
Acquiring firms
, 26, 39, 158–160, 166, 168–169, 176–177, 185, 201, 311, 503, 509
foreign
, 495
Acquisition activity
, 284
foreign
, 336
Acquisition behavior
, 293
Acquisition benefits
, 510
Acquisition decisions
, 290
Acquisition experience
cross-border
, 501
previous
, 200
Acquisition experience moderates
, 301
Acquisition ownership
, 323
decision
, 297, 299
strategy
, 25
Acquisition performance
, 196, 202, 332, 500, 512, 515
border
, 201
Acquisition process
, 200, 496–497, 500
post-cross-border
, 323
Acquisitions
border
, 204, 501
corporate
, 42, 201, 205, 336
emerging market FDI
, 179, 293, 333
experience in
, 196–197, 199–200
following horizontal
, 292, 512
foreign market
, 335
high-technology
, 203
international, 131–133
, 179, 199, 202–203, 410, 422, 493
low equity
, 331
majority
, 23, 309–310, 313, 319–320, 324–325, 328–329
minority
, 23, 300, 310, 312
outward
, 335
post
, 280
Additional rents, 521–522
Additivity vs. arbitrage, 83–84
Agreement
, 77, 85, 217, 373, 406, 450–451, 505, 507, 526
single market
, 138
structural
, 75
AIB, See Academy of International Business (AIB)
Alliance networks
, 522
foreign
, 529
international
, 530
Alliance performance
, 133, 267
international
, 133, 538
Alliance success, 113–114
Alliances
domestic interfirm
, 529
individual
, 522
initiating
, 522
international
, 181, 523, 529–531
non-domestic
, 526, 529
Allocation
effective
, 522
headquarters resource
, 131, 467
joint
, 33
nonmarket
, 466
American economic growth
, 470
Asset specificity
, 255, 257, 259–260, 262–263, 450, 466
Assets
, 25, 29, 38, 245, 273, 275–277, 280, 299, 309, 415, 425, 427–429, 440–441, 520–521, 525
corporate
, 498
firm’s
, 283, 532
foreign
, 534
generating
, 428
intermediary
, 280
knowledge-related
, 349
local
, 180, 277, 279, 282, 293
sharing proprietary
, 162
strategic
, 19, 31, 152, 237, 290
tangible
, 254
transferable
, 514
undesired
, 273, 277, 280, 286
Bargaining costs
, 36–37, 446, 450–457, 460, 462–464
Bargaining costs and monitoring costs
, 36–37, 454, 460, 462–464
Barriers
, 92, 94, 189, 207, 212, 335, 409, 439, 472, 520–521, 525
cultural
, 63, 86, 178, 419
institutional systems erect
, 23, 129
Behavior
anti-competitive
, 213
buyer’s
, 217
combined firm’s
, 502
consumer
, 496, 510
consumer’s
, 496, 509
conventional
, 228
decision-making
, 95
effective
, 77
foreign market entry
, 65, 266
ineffective
, 85
international
, 226, 234
intra-team
, 389, 397
irresponsible
, 364
loyal
, 400
managerial
, 101, 468
organizational
, 66, 72, 94, 103, 105, 221, 294, 400–402
out-group
, 380
predictive
, 64
respective
, 386
responsible
, 19
small group
, 42
social
, 72
team learning
, 400
Benefits
additional
, 115
earlier-discussed
, 413
intangible
, 510
long-recognized
, 410
perceived
, 137, 141
potential
, 113, 142, 248, 298, 524
recognized
, 522
relative
, 139–140
signaling
, 410
Biases
common method
, 167, 252, 264, 268, 454, 469
self-reporting
, 252
social desirability
, 253
subconscious
, 62
Bonding costs
, 36–37, 452, 454–456, 460, 462–465
Business
conduct
, 210
cross-border
, 96
everyday
, 372
global
, 11
independent
, 414
local
, 165
publishing
, 477
retail
, 438
small
, 432
Business environment
foreign
, 214
international
, 198
local
, 164
Business operations
international
, 518
large-scale
, 248
Business partners
distant
, 214
domestic
, 215
focal
, 113
foreign
, 208, 210, 213, 215
international
, 210
potential
, 214
Business relationship learning and commitment
, 441
Business relationships
, 27, 207, 209, 212–214, 437
international
, 130
potential
, 80
Business-to-business relationships
, 217
Buyers
distant
, 219
international
, 25, 207–209, 218
organizational
, 27, 213, 217
Capabilities
combinative
, 345
demonstrated robust
, 482
effective R&D
, 360
firm-specific
, 291
high R&D
, 246
higher order
, 39, 523
managerial
, 141
natural
, 143
organizational
, 265, 308
redeploying
, 521
strategic
, 19
strengthened international competitive
, 228
subsidiary’s
, 345
supplement
, 523
tacit
, 359
technological
, 331, 345, 351
CB. See Cross-border (CB)
CBAs. See Cross-border acquisitions (CBAs)
China’s investments
, 230, 233
total
, 229–230
China’s ODI motivations
, 236
China’s outward FDI
, 227–230, 233
Chinese firms
, 31, 132, 235, 237, 333, 335
Chinese MNEs
, 31, 228–229, 232, 234
Cluster
compatible home
, 128
cultural
, 118, 120, 128, 168, 170
five
, 117
institutional
, 23, 118, 123, 125
neutral home
, 123
Cluster algorithm
, 116
distance-based
, 116
Cluster combinations
, 120–121
Cluster formation
, 89, 132, 181, 205
Common method variance (CMV)
, 179, 252, 392, 400, 454, 467
Communication
, 75, 77, 79–80, 84, 109, 111, 188–190, 208, 210–213, 215, 219, 450–451, 474, 484, 486
blocks
, 76
close
, 452
costs
, 76, 448
critical
, 95
cross-national
, 56
effective
, 69, 75, 77, 212
electronic
, 210
failure
, 450
increased
, 463
theory
, 212
Communication costs
, 76, 448
Communication failure
, 450
Communication theory
, 212
Companies
acquiring
, 167, 169
domestic
, 284, 349
editorial
, 482
gas
, 230
individual
, 229
international
, 470
investing
, 162, 229
local
, 248
studied
, 521
technology
, 230
Company culture, common
, 452–453, 465
Compatibility concept
, 116
Compatibility, institutional
, 17, 123
Complementarity
capability
, 201
organizational
, 132
Complementary assets
, 249, 521
exploiting
, 538
Complementary resources
, 114, 244, 306
local
, 246–247
Complexity
cognitive
, 59, 64–65
cultural
, 451
organizational
, 364, 409
world’s
, 73
Confirmatory factor analysis (CFA)
, 36, 100, 252, 455
Conflict
level of
, 33, 373–374, 387
mediating role of
, 387
relational
, 380–381, 384, 387–388, 391
Consequences
behavioral
, 420
cultural
, 66
researched
, 384
Consumer responses
, 441, 496
Consumers
analyzing local country
, 495
conscious
, 81
local
, 496
potential
, 437
tease
, 438
Contracts
complete
, 80
enforcing
, 213
formal
, 360
Contributions
classical
, 490
comparative
, 241
distinctive
, 356
following
, 138
intended
, 253
significant
, 354
theoretical
, 49
unique
, 60–61
worthwhile
, 151
Coordination, distance hinder
, 467
Corporate culture
common
, 452
entrepreneurial
, 346
Corporate social responsibility (CSR)
, 32, 34, 363–371, 373–378, 410, 420, 499, 501, 512
Costs
administrative
, 305
associated
, 307
co-owner-related
, 164
contractual
, 139
direct
, 112, 453, 462
due-diligence
, 140
explicit
, 453
extra
, 446, 451–452
managerial
, 409
physical
, 208
relative
, 150
switching
, 513
transport
, 89
unavoidable
, 428
Cross-border (CB)
, 19, 23–24, 26–27, 130–132, 181–187, 201, 205–206, 235–236, 292–293, 297–299, 313–315, 331–333, 495–497, 499–501, 509–515
acquisition activities
, 309
acquisition by Finnish MNEs
, 315
acquisition information
, 309
acquisition/majority CB acquisition by acquiring MNEs
, 313
acquisitions
, 297–301, 304–313, 315, 317, 320, 322–323, 330–331
sacquisition equity
, 297, 310
Cross-border acquisition abandonment
, 131, 293, 333
Cross-border acquisition literature
, 497
Cross-border acquisition performance
, 183, 185, 187, 189, 191, 193, 195, 197, 199, 201, 203, 205, 469, 492, 514
Cross-border acquisitions
, 23–24, 26–27, 179, 181, 183–184, 235–236, 297, 299, 331–333, 335, 495–497, 499–501, 503, 505, 509–511
Cross-border (CB)
, 19, 23–24, 26–27, 130–132, 181–187, 201, 205–206, 235–236, 292–293, 297–299, 313–315, 331–333, 495–497, 499–501, 509–515
acquisition activities
, 309
acquisition by Finnish MNEs
, 315
acquisition information
, 309
acquisition/majority CB acquisition by acquiring MNEs
, 313
sacquisition equity
, 297, 310
Cross-border acquisitions (CBAs)
, 23–24, 26–27, 179, 181, 183–184, 235–236, 297–301, 299, 304–313, 315, 317, 320, 322–323, 330–331, 331–333, 335, 495–497, 499–501, 503, 505, 509–511
abandonment
, 131, 293, 333
analyzed
, 331
announcements
, 193, 196
context of
, 306, 308
determinants of
, 299, 304
distance on equity commitment in
, 305, 308–309
equity commitment in
, 299, 305, 307–310, 318, 330
in host country
, 315
literature
, 497
long-term
, 201
in low-tech industries
, 312
managing
, 188
minority
, 312, 318, 323, 330
operations by US bidder firms
, 198
ownership choices in
, 299–300
performance
, 183, 185, 187, 189, 191, 193, 195, 197, 199, 201, 203, 205, 469, 492, 514
performing
, 192
preferred majority
, 318
preferred partial
, 315
ranging
, 300
Cross-country distance
, 31, 403–406, 409–413, 416, 418
Cultural and psychic distance
, 24–27
Cultural compatibility
, 17, 22–23, 107–109, 111, 113, 115–117, 119, 121–123, 125, 127, 129, 131, 133
Cultural differences
, 39, 42, 67, 87, 90, 92, 100–101, 133, 182, 184–185, 187, 211, 220–221, 422–423, 500–503
higher
, 451
national
, 89, 104
Cultural differences and capability transfer in cross-border acquisitions
, 201
Cultural differences influence
, 481
Cultural distance
added
, 66, 88, 131, 421, 468
defined
, 165
deviations in managers’ perceptions of
, 95, 98
dimension of
, 25, 98–99
double-edged sword of
, 132, 422, 514
effect of
, 25, 68, 104, 154, 211, 234, 323, 423, 493–495, 507
influence of
, 99, 234, 511
marginal
, 422
national
, 53, 103, 205, 220, 421, 469, 492, 514
objective
, 25, 96, 102
operationalized
, 31, 169
perceived
, 97, 101–102
reliable measure of
, 25, 92
role of
, 25, 64
Cultural distance deviation
, 97–99
Culture
distant
, 510
quantifying
, 105
Economic growth
, 89, 110–111, 169, 171, 315–316, 319, 321, 324, 326, 328, 351, 420
Economic opportunities
, 320
Economic performance
, 89, 103, 109, 122, 132, 154, 268, 295, 336, 538
Emerging market institutions
, 141
Emerging market MNEs
, 30, 227, 229, 231, 233, 235, 237
Enforcement structures
alternative
, 78
formal
, 78, 82
Entry mode research
augmenting TCE-based
, 28
foreign
, 105, 295
international
, 179, 202, 265, 292
Entry-mode research, previous
, 240
Environment, political
, 99, 106
Environmental characteristics
, 91, 93
Equity
, 139, 150, 159, 161, 179, 242, 247, 279, 281, 292–293, 300, 302, 306–308, 332, 334
Equity control
, 67, 267, 302–303
partial
, 301–303
partial/full
, 302
Euromoney Country Risk (ECR)
, 167, 169
Firms
accounting
, 275
acquired
, 167, 199
advanced economy
, 358
co-located
, 342
developed economy
, 304
domestic
, 108–109, 131, 449, 451, 469
embedded
, 534
external
, 260, 347
filed
, 466
focal
, 283
interconnected
, 537
international
, 193
medium-sized
, 65
Foreign acquisitions
analyzed
, 178
analyzing survival of
, 177–178
context of
, 159, 162, 177
divested
, 158
success of
, 181, 205, 422
survival of
, 166–168, 171, 176
value of
, 158
Foreign direct investments (FDI)
, 2, 109–112, 114–116, 129, 131–132, 158–161, 177–179, 201–202, 225–226, 235–237, 295–296, 336, 469–470, 518, 520
behaviors
, 178
distance, costs of distance, and
, 111–113
flows
, 22–23, 107, 119–120, 125, 129, 474
inflows
, 110–111, 122, 125, 128, 333, 446
institutional and cultural profiles and
, 109–111
location choice
, 132, 233, 335
location choice of Chinese multinationals
, 236
number
, 229
outflows
, 128
project
, 114, 242, 353
sentry mode
, 420
similarity, compatibility
, 114–116
survival
, 520
theory
, 535
Foreign direct investments
distance, costs of distance, and
, 111–113
institutional and cultural profiles and
, 109–111
similarity, compatibility
, 114–116
Foreign market commitments
, 162
Foreign subsidiaries
, 162–163, 179–180, 239–240, 242–243, 247–248, 262–263, 265–266, 341–352, 355–357, 359–360, 446–447, 463–465, 524–526, 528–529, 531–533
GDP, See Gross domestic product (GDP)
Geographic differences
, 404, 410, 412
Geographic distance
, 29, 32, 42, 49, 56–57, 59, 63, 208, 275, 283, 288–289, 305–307, 332, 335–336, 406–407
moderate
, 302
replaced
, 50
Global orientation
, 2, 6, 9
Globalization
, 9–10, 13, 65, 87, 104, 153, 181, 198, 220, 359, 446, 538
Governance costs
categories of
, 37, 452, 464
dynamics
, 445–446, 448, 452
effects
, 451
elevated
, 449–450
ex post
, 36, 450–451
in foreign direct investments
, 470
in headquarters-subsidiary relationships
, 467
increased ex post
, 462
modeling
, 464
perceived
, 455
and performance
, 449, 464
quantifying
, 450
treated
, 452
variables
, 456
zero
, 450
Governance indicators
cWorldwide
, 479
individual
, 492
Governance infrastructure
, 110, 131, 334, 491
Governance infrastructure moderates
, 110
Governance quality
, 105, 295
Governance structures
, 36, 244, 248–249, 261–262, 447
alternative
, 240
cost-efficient
, 260
efficient
, 449
hierarchical
, 240–242, 244, 246, 261–263, 450
Group faultlines
, 381, 399, 402
Gross domestic product (GDP)
, 96, 106, 169, 283, 474, 478–482, 486
growth rate
, 169–170
per capita
, 121, 146, 147, 170, 177, 283, 311, 474, 479–482
Groups
community
, 136
country-level
, 261
homogeneous
, 504
homogenous
, 81
large
, 101
organizational
, 66, 401
overlapping
, 82
reference
, 169, 173, 498
social
, 402