Understanding IJV performance in a learning and conflict mediated context

Research output: Contribution to journalArticle

23 Citations (Scopus)

Abstract

Determinants of international joint venture (IJV) performance are examined within the context of cross-border learning. Using a structural equation model, we test the multifaceted interactions among strategic goal congruency, national culture differences, learning and conflict. Cross-border learning is recognized as a kernel variable which is influenced by matching strategic motives, national culture differences, and conflicting relations, and which affects the performance of IJVs. In particular, we hypothesize that interpartner goal congruency and national culture differences have an indirect effect on IJV performance through cross-border learning and conflict; previous studies established their direct relationship. The test results show that congruent strategic motives and cultural similarity had a positive effect on cross-border learning, which was reinforced by learning capacity, and which in turn led to better performance. Conflicting relations between partners and heterogeneous cultural backgrounds were shown to discourage cross-border learning.

Original languageEnglish
Pages (from-to)470-480
Number of pages11
JournalInternational Business Review
Volume18
Issue number5
DOIs
Publication statusPublished - 2009 Oct 1

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International joint ventures
Joint venture performance
Cross-border
National cultures
Congruency
Indirect effects
Strategic goals
Structural equation model
Interaction
Kernel

All Science Journal Classification (ASJC) codes

  • Business and International Management
  • Finance
  • Marketing

Cite this

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abstract = "Determinants of international joint venture (IJV) performance are examined within the context of cross-border learning. Using a structural equation model, we test the multifaceted interactions among strategic goal congruency, national culture differences, learning and conflict. Cross-border learning is recognized as a kernel variable which is influenced by matching strategic motives, national culture differences, and conflicting relations, and which affects the performance of IJVs. In particular, we hypothesize that interpartner goal congruency and national culture differences have an indirect effect on IJV performance through cross-border learning and conflict; previous studies established their direct relationship. The test results show that congruent strategic motives and cultural similarity had a positive effect on cross-border learning, which was reinforced by learning capacity, and which in turn led to better performance. Conflicting relations between partners and heterogeneous cultural backgrounds were shown to discourage cross-border learning.",
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Understanding IJV performance in a learning and conflict mediated context. / Pak, Yong Suhk; Ra, Wonchan; Park, Young Ryeol.

In: International Business Review, Vol. 18, No. 5, 01.10.2009, p. 470-480.

Research output: Contribution to journalArticle

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