The Strategic Fit of International Expansion Between Temporal and Spatial Dimensions: Evidence from Chinese MNEs. Issue 4 (16th March 2019)

• Record Type: Journal Article
• Authors: Du, Jian; Chang, Xiaoran; Wu, Xiaobo
• Is Part Of: Emerging markets finance & trade. Volume 55:Issue 4(2019)
• Page Start: 743
• Page End: 758
• Publication Date: 2019-03-16
• Subjects: decision-making -- geographic diversity -- knowledge-based view -- rapid international expansion -- time compression diseconomies; Balkan Peninsula -- Commerce -- Periodicals; Balkan Peninsula -- Foreign economic relations -- Periodicals; Europe, Central -- Commerce -- Periodicals; Europe, Central -- Foreign economic relations -- Periodicals; Europe, Eastern -- Commerce -- Periodicals; Europe, Eastern -- Foreign economic relations -- Periodicals; Turkey -- Commerce -- Periodicals; Turkey -- Foreign economic relations -- Periodicals; Asia -- Commerce -- Periodicals; Asia -- Foreign economic relations -- Periodicals; Eurasia -- Commerce -- Periodicals; Eurasia -- Foreign economic relations -- Periodicals; 382.05
• DOI: 10.1080/1540496X.2018.1471682
• Languages: English
• ISSNs: 1540-496X

Abstract

ABSTRACT: From the perspective of strategic fit, integrating time compression diseconomies with knowledge-based view, and adopting multi-stage design, this article explores the U-shaped moderating effect of geographic diversity of international expansion on the relationship between speed and MNE's performance. Using a longitudinal study of 234 Chinese listed firms from 2008 to 2014, this study finds that the negative effect of speed on MNE's performance is weakest when the spatial distribution is employed moderately. Therefore, the strategic fit between temporal and spatial of international expansion is important for increasing MNE's performance.