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The theoretical rationale for a multinationality-performance relationship

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  • Jean-François Hennart

    (Tilburg University)

Abstract

Abstract and Key Results This paper reviews the theoretical rationale that has been advanced so far for a positive relationship between multinationality (i.e. international diversification) and performance. We show that transaction cost/internalization theory implies no direct and general relationship between international diversification and performance.

Suggested Citation

  • Jean-François Hennart, 2007. "The theoretical rationale for a multinationality-performance relationship," Management International Review, Springer, vol. 47(3), pages 423-452, June.
    • Handle: RePEc:spr:manint:v:47:y:2007:i:3:d:10.1007_s11575-007-0023-3
    DOI: 10.1007/s11575-007-0023-3
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