Current studentsExisting staffContact us
 

Behind ownership decision of Chinese outward FDI : resources and institutions

Simple item page
dc.contributor.authorLin, C.
dc.contributor.authorJiang, F.
dc.date.issued2010
dc.description.abstractThis paper examines ownership decision of Chinese outward foreign direct investment (FDI) with a focus on the choice between a wholly owned subsidiary and a joint venture entry mode. Based on literature review and findings from our case study of ten Chinese outward investing firms, we develop a conceptual framework that integrates the resource-based and institution-based views of international business strategy. The framework reflects special characteristics of Chinese outward FDI. On the resource side, Chinese outward FDI is both asset exploiting and asset augmenting, and accordingly, both transaction costs and strategic intents have an impact on the FDI ownership decision of Chinese firms. On the institution side, when investing overseas, Chinese firms adjust their entry strategies to attain regulative and normative institutional legitimacy in host countries. Meanwhile, they also need to comply with the rules set by the Chinese government, which provide incentives to and impose restrictions on Chinese firms' FDI ownership decisions.
dc.identifier.citationAsia Pacific Journal of Management, 2010; 27(4):751-774
dc.identifier.doi10.1007/s10490-009-9136-5
dc.identifier.issn0217-4561
dc.identifier.issn1572-9958
dc.identifier.urihttps://hdl.handle.net/1959.8/118950
dc.language.isoen
dc.publisherSpringer
dc.rightsCopyright 2009 Springer Science + Business Media
dc.source.urihttps://doi.org/10.1007/s10490-009-9136-5
dc.subjectcase study
dc.subjectChinese firms
dc.subjectconceptual framework
dc.subjectFDI ownership decision
dc.subjectjoint venture
dc.subjectwholly owned subsidiary
dc.titleBehind ownership decision of Chinese outward FDI : resources and institutions
dc.typeJournal article
pubs.publication-statusPublished
ror.mmsid9915910379901831

Files

Collections