What is the Shape of the MultinationalityPerformance Relationship? Academic Article uri icon

abstract

  • Previous theoretical explanations and empirical analyses of the multinationalityperformance relationship have produced mixed arguments and results. Linear and inverted Ushaped relationships have been theorized and confirmed empirically. Recent research has theorized that there is a threestage, sigmoid relationship between multinationality and performance. We contribute to the debate by showing that the impact of multinationality depends on the time dimension incorporated in the performance measure; that is, the net benefits from multinationality are likely to be higher in the longer term. The results from our sample of US manufacturing multinationals indicate that there is a threestage, sigmoid multinationalityperformance relationship.

published proceedings

  • Multinational Business Review

author list (cited authors)

  • Thomas, D. E., & Eden, L.

citation count

  • 225

complete list of authors

  • Thomas, Douglas E||Eden, Lorraine

publication date

  • March 2004