Strategic Complexity and Global Expansion

An Empirical Study of Newcomer Multinational Corporations from Small Economies

Asta Dis Oladottir, Bersant Hobdari, Marina Papanastassiou, Robert Pearce, Evis Sinani

    Research output: Contribution to journalJournal articleResearchpeer-review

    Abstract

    The purpose of this paper is to analyse the determinants of global expansion strategies of newcomer Multinational Corporations (MNCs) by focusing on Iceland, Israel and Ireland. We argue that newcomer MNCs from small open economies pursue complex global expansion strategies (CGES). We distinguish four different types of global expansion strategies, namely, horizontal, vertical, lateral integration, and risk diversification. Building upon the traditions of Caves and Dunning and applying a multinomial logistic approach, we model CGES as a function of firm and country specific factors. The empirical evidence suggests that newcomer MNCs move away from simplistic dualities in the formulation of their strategic choices towards more complex options as a means of maintaining and enhancing their global competitiveness.
    Original languageEnglish
    JournalJournal of World Business
    Volume47
    Issue number4
    Pages (from-to)686-695
    Number of pages10
    ISSN1090-9516
    DOIs
    Publication statusPublished - 2012

    Keywords

    • MNCs
    • Complex Global Expansion Strategies
    • Iceland
    • Ireland
    • Israel

    Cite this

    @article{a10f4f3128354fca90f818a9ccb03b9a,
    title = "Strategic Complexity and Global Expansion: An Empirical Study of Newcomer Multinational Corporations from Small Economies",
    abstract = "The purpose of this paper is to analyse the determinants of global expansion strategies of newcomer Multinational Corporations (MNCs) by focusing on Iceland, Israel and Ireland. We argue that newcomer MNCs from small open economies pursue complex global expansion strategies (CGES). We distinguish four different types of global expansion strategies, namely, horizontal, vertical, lateral integration, and risk diversification. Building upon the traditions of Caves and Dunning and applying a multinomial logistic approach, we model CGES as a function of firm and country specific factors. The empirical evidence suggests that newcomer MNCs move away from simplistic dualities in the formulation of their strategic choices towards more complex options as a means of maintaining and enhancing their global competitiveness.",
    keywords = "MNCs, Complex Global Expansion Strategies, Iceland, Ireland, Israel",
    author = "Oladottir, {Asta Dis} and Bersant Hobdari and Marina Papanastassiou and Robert Pearce and Evis Sinani",
    note = "Available online 15 September 2011",
    year = "2012",
    doi = "10.1016/j.jwb.2011.08.003",
    language = "English",
    volume = "47",
    pages = "686--695",
    journal = "Journal of World Business",
    issn = "1090-9516",
    publisher = "Pergamon Press",
    number = "4",

    }

    Strategic Complexity and Global Expansion : An Empirical Study of Newcomer Multinational Corporations from Small Economies. / Oladottir, Asta Dis; Hobdari, Bersant; Papanastassiou, Marina; Pearce, Robert ; Sinani, Evis.

    In: Journal of World Business, Vol. 47, No. 4, 2012, p. 686-695.

    Research output: Contribution to journalJournal articleResearchpeer-review

    TY - JOUR

    T1 - Strategic Complexity and Global Expansion

    T2 - An Empirical Study of Newcomer Multinational Corporations from Small Economies

    AU - Oladottir, Asta Dis

    AU - Hobdari, Bersant

    AU - Papanastassiou, Marina

    AU - Pearce, Robert

    AU - Sinani, Evis

    N1 - Available online 15 September 2011

    PY - 2012

    Y1 - 2012

    N2 - The purpose of this paper is to analyse the determinants of global expansion strategies of newcomer Multinational Corporations (MNCs) by focusing on Iceland, Israel and Ireland. We argue that newcomer MNCs from small open economies pursue complex global expansion strategies (CGES). We distinguish four different types of global expansion strategies, namely, horizontal, vertical, lateral integration, and risk diversification. Building upon the traditions of Caves and Dunning and applying a multinomial logistic approach, we model CGES as a function of firm and country specific factors. The empirical evidence suggests that newcomer MNCs move away from simplistic dualities in the formulation of their strategic choices towards more complex options as a means of maintaining and enhancing their global competitiveness.

    AB - The purpose of this paper is to analyse the determinants of global expansion strategies of newcomer Multinational Corporations (MNCs) by focusing on Iceland, Israel and Ireland. We argue that newcomer MNCs from small open economies pursue complex global expansion strategies (CGES). We distinguish four different types of global expansion strategies, namely, horizontal, vertical, lateral integration, and risk diversification. Building upon the traditions of Caves and Dunning and applying a multinomial logistic approach, we model CGES as a function of firm and country specific factors. The empirical evidence suggests that newcomer MNCs move away from simplistic dualities in the formulation of their strategic choices towards more complex options as a means of maintaining and enhancing their global competitiveness.

    KW - MNCs

    KW - Complex Global Expansion Strategies

    KW - Iceland

    KW - Ireland

    KW - Israel

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    DO - 10.1016/j.jwb.2011.08.003

    M3 - Journal article

    VL - 47

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    EP - 695

    JO - Journal of World Business

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    SN - 1090-9516

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    ER -