Showing papers in "Journal of International Business Studies in 1976"
TL;DR: In this paper, it is shown that international diversification offers to a multinational firm significant risk reduction advantages that are not available to a non-multinational firm, and that international diversity offers to multinational firms significant risk mitigation advantages.
Abstract: It is possible for multinational firms to reduce the risk of their profits by engaging in foreign operations (F/T) Empirical tests show that the (F/T) variable is inversely related to risk after allowing for size, industry classification, and other factors This implies that international diversification offers to a multinational firm significant risk reduction advantages that are not available to a nonmultinational
302 citations
TL;DR: The authors explored the relationship between foreign direct investment (FDI) and the economic, social, and political aspects of the environment and found that no relationship can be established between FDI and variables based upon political event data.
Abstract: This article uses the techniques of quantitative cross-national research to explore the relationship between foreign direct investment (FDI) and the economic, social, and political aspects of the environment. Although a strong relationship is found between flows of FDI and market related variables, no relationship can be established between FDI and variables based upon political event data. The findings are consistent with a view of political discontinuities as necessary but not sufficient conditions for business risk.
231 citations
TL;DR: The field of consumer behavior has evolved rapidly in a relatively brief perod of time and the depth as well as the breadth of the research on consumer behaviour has been impressive as discussed by the authors.
Abstract: The field of consumer behavior has evolved rapidly in a relatively brief perod of time. The depth as well as the breadth of the research on consumer behavior has been impressive. However, most of the research in the area has one common limitation: it is culture bound. Nearly all consumer studies have been conducted in the United States. Thus, the principles which have been developed are associated only with U.S. consumer behavior; the theories which have been derived can legitimately be used to describe, predict, or understand consumer behavior only in the United States.
167 citations
TL;DR: In this paper, the functional relationship between entry concentration and industrial concentration in European and Canadian industries which have made investments in the United States since World War II was examined and defined and examined.
Abstract: Industrial concentration seems to have stimulated the initial phase of recent direct foreign investment in the United States by European and Canadian firms. Increased industrial concentration seems to cause a clumping of direct foreign investment entries after investment by the leading firm in the industry has occurred. This research defines and examines the functional relationship between entry concentration and industrial concentration in European and Canadian industries which have made investments in the United States since World War II.
167 citations
TL;DR: In this paper, the authors present the survey results of U.S. franchise systems' participation in international markets, and illustrate the entry motivations, ownership practices, marketing strategies, profit profiles and problems inherent in the operation of such systems.
Abstract: This paper presents the survey results of U.S. franchise systems' participation in international markets. The results illustrate the entry motivations, ownership practices, marketing strategies, profit profiles and problems inherent in the operation of U.S. franchise operations abroad.
109 citations
TL;DR: In this article, the effects of communications between subsidiaries and home offices are evaluated in a study of sixty-three multinational corporations and the results indicate that home offices might well devote greater effort to procedures for handling subsidiary reports and to the relevance of outgoing communications.
Abstract: The effects of communications between subsidiaries and home offices are evaluated in this study of sixty-three multinational corporations. Chief executives of Brazilian subsidiaries of MNCs headquartered in Europe, Japan and North America were interviewed to determine the volume of home office-subsidiary communications and its impact on home-office understanding. Results indicate that home offices might well devote greater effort to procedures for handling subsidiary reports and to the relevance of outgoing communications. Japanese MNCs, being relatively new to overseas manufacturing, experience far more problems with communications than either Americans or European companies.
41 citations
TL;DR: In this paper, the authors examined the characteristics of takeovers by foreign governments of 170 American firms in the post-war period, including the frequency by subperiod, industry of the firm, degree of discrimination against foreign and U.S. firms of the takeovers, the form of the takeover, and the political circumstances in the host country at the time of takeover.
Abstract: This article examines the characteristics of takeovers by foreign governments of 170 American firms in the post-war period. The dimensions observed include the frequency by subperiod; industry of the firm; degree of discrimination against foreign and U.S. firms of the takeovers; the form of the takeover; and the political circumstances in the host country at the time of takeover. Summary measures for each of the characteristics and their changes through time are presented.
38 citations
TL;DR: In this article, the authors developed a framework for analyzing the response of MNEs to social issues in a discontinuous multinational environment, drawing on "organization-environment" theory and Fayerweather's scheme of unification-fragmentation in multi-country operations.
Abstract: The authors develop a framework for analyzing the response of MNEs to social issues in a discontinuous multinational environment, drawing on “organization-environment” theory and Fayerweather's scheme of unification-fragmentation in multi-country operations The recent behavior of North American and Western European “pollution-intensive” MNEs in regard to the issue of pollution control is then reported, and the observed pattern of fragmentation is explained and interpreted by use of the analytical framework
31 citations
TL;DR: In this paper, the authors examined some of the key characteristics of technical entrepreneurs in Canada and compared these findings with similar studies conducted in the United States and the United Kingdom, focusing on the background of the entrepreneurs, circumstances surrounding the establishment of their first ventures, and their perception of the environment for entrepreneurship.
Abstract: This article examines some of the key characteristics of technical entrepreneurs in Canada and compares these findings with similar studies conducted in the United States and the United Kingdom. Three areas are examined: the background of the entrepreneurs, the circumstances surrounding the establishment of their first ventures, and their perception of the environment for entrepreneurship.
20 citations
TL;DR: In this article, the authors evaluate alternative explanations of the industrial structure of U.S. Direct Investment in the U.K. on a cross-sectional basis, using multiple regression analysis and find that the most successful approach, in terms of explanatory power, is that based on industrial organization theory, although useful adjuncts are found in the market servicing approach and traditional investment determinants.
Abstract: This paper evaluates alternative explanations of the industrial structure of U.S. Direct Investment in the U.K. on a cross-sectional basis, using multiple regression analysis. The most successful approach, in terms of explanatory power, is that based on industrial organization theory, although useful adjuncts are found in the market servicing approach and traditional investment determinants.
19 citations
TL;DR: The traditional pattern of direct capital outflows from Britain to the Commonwealth has recently been broken in favor of investments in Europe and the United States as discussed by the authors, and the reasons for this marked shift in direction are examined in this paper.
Abstract: The traditional pattern of direct capital outflows from Britain to the Commonwealth has recently been broken in favor of investments in Europe and the United States. The reasons for this marked shift in direction are examined in this paper. The erstwhile preference for Commonwealth Investments can be interpreted principally in terms of a firm's strength or lack of it relative to world competition. Accession to the E.E.C. combined with a growing acceptance of the need to build positions of strength in the richest, most advanced markets in order to ensure long-run profitable survival has fundamentally altered British perspectives on investment priorities. The changes can be understood only if conventional models of foreign investment are modified by political considerations and by the personal preferences of the senior managers involved.
TL;DR: In this paper, the authors report on some evidence from an international consumer survey in Germany and the United States which suggests the existence of an information-sensitive consumer elite which transcends national boundaries.
Abstract: This paper reports on some evidence from an international consumer survey in Germany and the United States which suggests the existence of an information-sensitive consumer-elite which transcends national boundaries. These Cosmopolitan Information Seekers, far higher in education, income, and social prestige than “average” consumers, represent a growing nucleus of “professional” consumers in the industrially advanced countries. The article also explores some of the implications which this segment has for the multinational corporation and the design of its marketing mix.
TL;DR: In this paper, the authors explored the possibility of clustering countries in which a multinational firm operates on the basis of the perceptions of the firm's marketing managers, and found that such clustering could improve the performance of a multinational company in several countries.
Abstract: One of the advantages of the multinational firm is that it markets products in several countries. Several methods exist for a firm to determine which of these countries are similar for marketing purposes. This article explores the possibility of another method–clustering countries in which the firm operates on the basis of the perceptions of the firm's marketing managers.
TL;DR: The authors report on the findings of field interviews with officials of MNCs, unions, and the U.S. government and delineate perceptual gaps among the three groups that thwart any meaningful union/MNC and union/government dialogues.
Abstract: This article reports on the findings of field interviews with officials of MNCs, unions, and the U.S. government. The findings delineate perceptual gaps among the three groups that, in particular, thwart any meaningful union/MNC and union/government dialogues.
TL;DR: In this paper, the authors examined two basic aspects of the exchange risk policies of a sample of Canadian firms under floating rates, namely the extent of risk coverage and the means of coverage.
Abstract: This article examines two basic aspects of the exchange risk policies of a sample of Canadian firms under floating rates, namely the extent of risk coverage and the means of coverage. The analysis shows that whereas the 1970 floating of the Canadian dollar had relatively limited impact, the subsequent and more general floating of key currencies (from early 1973 on) has had widespread and pronounced effects on the firms' exchange risk policies with respect to both extent and means of coverage.