How do international joint ventures create shareholder value?

A quarter century of Culture's Consequences: a review of empirical research incorporating Hofstede's cultural values framework

“…Interestingly, others found that cultural distance did not affect initial or subsequent FDI decisions (Benito and Gripsrud, 1992); the type of cooperative arrangements of firms across borders (Pan and Tse, 1996); the choice between acquisitions, greenfields (Brouthers and Brouthers, 2000), alliance performance (Glaister and Buckley, 1999), firm performance (Gomez-Mejia and Palich, 1997), amount of FDI (Habib and Zurawicki, 2002), or abnormal return as a result of US international JV (IJV) announcement (Merchant and Schendel, 2000) or after FDIs are made (Kallunki et al, 2001). On the contrary, larger cultural distances were related to lower JV dissolution rates (Park and Ungson, 1997), higher IJV (Pothukuchi et al, 2002), and cross-border acquisition performance (Morosini et al, 1998), decreased preference for greenfields (Nachum, 2003), and increased FDI into Mexico (Thomas and Grosse, 2001).…”

Shareholder returns and the exploration–exploitation dilemma: R&D announcements by biotechnology firms

“…There is a considerable body of evidence in the literature to indicate that the announcement of the formation of a strategic alliance can result in positive abnormal returns (Das et al, 1998;McConnell and Nantell, 1985;Merchant and Schendel, 2000;Xu, 2006). An interesting question here is whether shareholder investors anticipate all of the value creation effect of an R&D alliance at the alliance formation announcement.…”

The impact of individual relationships on performance and reformation of R&D alliances

“…Alliance performance was measured through five items that have been adapted from existing articles of alliance performance studies, some measures that consider that the company achieves learning objectives (Geringer & Hebert, 1991;Saxton, 1997;Lane & Lubatkin, 1998;Dyer, Kale & Singh, 2001;Kale, Dyer & Singh, 2002); and some measures based on market gains (Anand & Khanna, 2000;Merchant & Schendel, 2000). Concretely, items measured are: …”