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The impact of economic reform on business performance: A study of foreign and domestic firms in Ghana

  • Appiah-Adu, Kwaku
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    This paper reports the results of a cross-sectional study of firms operating in a liberalized developing economy. The purpose of the research was to determine effects of economic reform policies and consequent business strategies upon performance among foreign and domestic firms in Ghana. Data were obtained from 114 companies representing domestic firms and foreign organizations headquartered in North America, Europe and Asia. Regression analysis was used to test whether environmental change and its related business strategies influence performance. Study results indicate that, generally, changes in the business environment and firm strategies have had a relatively greater impact on foreign companies' performance compared with domestic organizations. The article concludes with a discussion on the managerial and policy making implications of the study as well as avenues for future research

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    File URL: http://www.sciencedirect.com/science/article/pii/S0969593199000177
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    Article provided by Elsevier in its journal International Business Review.

    Volume (Year): 8 (1999)
    Issue (Month): 4 (August)
    Pages: 463-486

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    Handle: RePEc:eee:iburev:v:8:y:1999:i:4:p:463-486
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    1. Muuka, Gerry N., 1997. "Wrong-footing MNCs and local manufacturing: Zambia's 1992-1994 structural adjustment program," International Business Review, Elsevier, vol. 6(6), pages 667-687, December.
    2. Steel, William F & Webster, Leila M, 1992. "How Small Enterprises in Ghana Have Responded to Adjustment," World Bank Economic Review, World Bank Group, vol. 6(3), pages 423-38, September.
    3. Jos´┐Ż de La Torre, 1981. "Foreign Investment and Economic Development: Conflict and Negotiation," Journal of International Business Studies, Palgrave Macmillan, vol. 12(2), pages 9-32, June.
    4. Liedholm, Carl & Mead, Donald C., 1987. "Small Scale Industries in Developing Countries: Empirical Evidence and Policy Implications," Food Security International Development Papers 54062, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    5. Samli, A. Coskun & Kaynak, Erdener, 1984. "Marketing practices in less-development countries," Journal of Business Research, Elsevier, vol. 12(1), pages 5-18, March.
    6. J Markham Collins, 1990. "A Market Performance Comparison of U.S. Firms Active in Domestic, Developed and Developing Countries," Journal of International Business Studies, Palgrave Macmillan, vol. 21(2), pages 271-287, June.
    7. Gulhati, Ravi, 1990. "Who makes economic policy in Africa and how?," World Development, Elsevier, vol. 18(8), pages 1147-1161, August.
    8. Susan P Douglas & C Samuel Craig, 1983. "Examining Performance of U.S. Multinationals in Foreign Markets," Journal of International Business Studies, Palgrave Macmillan, vol. 14(3), pages 51-62, September.
    9. Sadri, Sorab & Williamson, Caroline, 1989. "Management and industrial relations strategies of multinational corporations in developing countries," Journal of Business Research, Elsevier, vol. 18(3), pages 179-193, May.
    10. Franklin R Root & Ahmed A Ahmed, 1978. "The influence of policy instruments on manufacturing Direct Foreign investment in developing countries," Journal of International Business Studies, Palgrave Macmillan, vol. 9(3), pages 81-94, September.
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