IDEAS home Printed from https://ideas.repec.org/a/plo/pone00/0296791.html
   My bibliography  Save this article

How do creative assets affect overseas market entry modes of enterprises– the moderating role of internal and external factors

Author

Listed:
  • Can Wang
  • Kangsheng Tao
  • Xiyuan Cui
  • Sushu Qin

Abstract

In the process of transnational investment management, the choice of entry mode is one of the key decisions, and creative assets will affect the choice of overseas market entry mode. However, few studies have analyzed how creative assets affect firms’ overseas market entry patterns. This paper takes 480 overseas investment data of 134 Chinese listed enterprises from 2012 to 2019 as research samples and uses the Logistic model to study the influence of creative assets owned by enterprises on their choice of the joint venture and wholly owned modes. At the same time, we examine the formal and informal institutional distance between home and host countries, and the moderating effect of firms’ own experience in the process of model selection. In addition, using the fuzzy-set qualitative comparative analysis (fsQCA) from the perspective of configuration to explore the different paths of overseas market entry mode. The research results indicate that marketing intensity and technical intensity of enterprises have a positive and significant impact on overseas investment patterns, that is, higher marketing intensity or technical intensity will prompt enterprises to preferentially choose wholly-owned mode. Formal institutional distance and experience can moderate the relationship between creativity and investment mode to some extent, while informal institutional distance has no significant moderating effect on creative assets and investment mode. Three configurations can induce firms to choose the wholly-owned mode, and only one configuration can induce firms to choose the joint venture mode. This study lays a theoretical foundation for enterprises to enter the overseas market.

Suggested Citation

  • Can Wang & Kangsheng Tao & Xiyuan Cui & Sushu Qin, 2024. "How do creative assets affect overseas market entry modes of enterprises– the moderating role of internal and external factors," PLOS ONE, Public Library of Science, vol. 19(2), pages 1-24, February.
    • Handle: RePEc:plo:pone00:0296791
    DOI: 10.1371/journal.pone.0296791
    as

    Download full text from publisher

    File URL: https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0296791
    Download Restriction: no
    File URL: https://journals.plos.org/plosone/article/file?id=10.1371/journal.pone.0296791&type=printable
    Download Restriction: no
    File URL: https://libkey.io/10.1371/journal.pone.0296791?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Meschi, Pierre-Xavier & Wassmer, Ulrich, 2013. "The effect of foreign partner network embeddedness on international joint venture failure: Evidence from European firms’ investments in emerging economies," International Business Review, Elsevier, vol. 22(4), pages 713-724.
    2. Jianing Shi, 2022. "Formal Institutional Distance and Innovation from OFDI: Evidence from China," Sustainability, MDPI, vol. 14(9), pages 1-19, April.
    3. Yamin, Mo & Golesorkhi, Sougand, 2010. "Cultural distance and the pattern of equity ownership structure in international joint ventures," International Business Review, Elsevier, vol. 19(5), pages 457-467, October.
    4. Pierre-Xavier Meschi & Ulrich Wassmer, 2013. "The effect of foreign partner network embeddedness on international joint venture failure: Evidence from European firms’ investments in emerging economies," Post-Print hal-01839628, HAL.
    5. Pierre-Xavier Meschi & Ulrich Wassmer, 2013. "The effect of foreign partner network embeddedness on international joint venture failure : Evidence from European firms' investments in emerging economies," Post-Print hal-02313049, HAL.
    6. Contractor, Farok J. & Dangol, Ramesh & Nuruzzaman, N. & Raghunath, S., 2020. "How do country regulations and business environment impact foreign direct investment (FDI) inflows?," International Business Review, Elsevier, vol. 29(2).
    7. Keig, Dawn L. & Brouthers, Lance Eliot & Marshall, Victor B., 2019. "The impact of formal and informal institutional distances on MNE corporate social performance," International Business Review, Elsevier, vol. 28(5), pages 1-1.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Han, Xiaomin & Goxe, François & Freeman, Susan, 2024. "Internationalization through social networks: A systematic review and future research agenda," International Business Review, Elsevier, vol. 33(4).
    2. Castellões, Bernardo & Silva-Rêgo, Bernardo & Dib, Luís Antônio, 2023. "Understanding divestment from an Uppsala school perspective," Journal of International Management, Elsevier, vol. 29(5).
    3. Song, Sangcheol, 2020. "Actualization of growth potential in international joint ventures: The moderating effects of localization strategies," Journal of World Business, Elsevier, vol. 55(2).
    4. Ryan W. Tang & Ying Zhu & Hongbo Cai & Jinrong Han, 2021. "De-internationalization: A Thematic Review and the Directions Forward," Management International Review, Springer, vol. 61(3), pages 267-312, June.
    5. Oehmichen, Jana & Puck, Jonas, 2016. "Embeddedness, Ownership Mode and Dynamics, and the Performance of MNE Subsidiaries," Journal of International Management, Elsevier, vol. 22(1), pages 17-28.
    6. Luis Miguel Bolívar & José Luis Roldán & Ignacio Castro-Abancéns & Cristóbal Casanueva, 2022. "Speed of International Expansion: The Mediating Role of Network Resources Mobilisation," Management International Review, Springer, vol. 62(4), pages 541-568, August.
    7. Jing Wu & He Li & Ling Liu & Yun Xu, 2021. "Prior ties, investor role, and venture capital syndication," Small Business Economics, Springer, vol. 56(4), pages 1449-1459, April.
    8. Billur Akdeniz, M. & Berk Talay, M., 2022. "Happily (N)ever after: An empirical examination of the termination of IJVs across emerging versus developed markets," Journal of Business Research, Elsevier, vol. 148(C), pages 390-404.
    9. Fadia Bahri Korbi & Karim Ben Slimane & Dora Triki, 2019. "Managing Crisis within International Joint Ventures Insights from the case of Délice-Danone during the Arab Spring in Tunisia," Post-Print hal-02568493, HAL.
    10. Wei, Qiao & Li, Wen Helena & De Sisto, Marco & Gu, Jinlong, 2020. "What types of top management teams' experience matter to the relationship between political hazards and foreign subsidiary performance?," Journal of International Management, Elsevier, vol. 26(4).
    11. Elio Shijaku & Martin Larraza-Kintana & Ainhoa Urtasun-Alonso, 2020. "Network centrality and organizational aspirations: A behavioral interaction in the context of international strategic alliances," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(5), pages 813-828, July.
    12. Oh, Eun-Teak & Chen, Hao-Cheng & Nakamoto, Ryuichi & Liu, Ren-Jye, 2024. "Alliance portfolio configuration strategies as catalysts for innovation: Evidence from international alliances between Japanese and Taiwanese manufacturing corporations," Technological Forecasting and Social Change, Elsevier, vol. 200(C).
    13. Du, Jian & Xu, Yue & Voss, Hinrich & Wang, Song, 2021. "The impact of home business network attributes on Chinese outward foreign direct investment," International Business Review, Elsevier, vol. 30(4).
    14. Zhang, Yue & Wang, Caiping & Chen, Yufei, 2024. "Foreign ownership, institutional distance and mutual fund performance: Evidence from China," Pacific-Basin Finance Journal, Elsevier, vol. 87(C).
    15. Meschi, Pierre-Xavier & Phan, Thanh Tú & Wassmer, Ulrich, 2016. "Transactional and institutional alignment of entry modes in transition economies. A survival analysis of joint ventures and wholly owned subsidiaries in Vietnam," International Business Review, Elsevier, vol. 25(4), pages 946-959.
    16. Ha Nguyen & Jorma Larimo & Douglas Dow, 2024. "The Curvilinear Impact of Cultural Friction on Foreign Divestment," Management International Review, Springer, vol. 64(2), pages 199-244, April.
    17. Kyuho Jin & Chulhyung Park & Jeonghwan Lee, 2020. "What Determines Innovative Performance of International Joint Ventures? Assessing the Effects of Foreign Managerial Control," Sustainability, MDPI, vol. 12(21), pages 1-20, October.
    18. Barmeyer, Christoph & Davoine, Eric, 2019. "Facilitating intercultural negotiated practices in joint ventures: The case of a French–German railway organization," International Business Review, Elsevier, vol. 28(1), pages 1-11.
    19. Jinsil Kim & Kyun Kim, 2018. "How does local partners network embeddedness affect international joint venture survival in different subnational contexts?," Asia Pacific Journal of Management, Springer, vol. 35(4), pages 1055-1080, December.
    20. Triki, Dora & Mayrhofer, Ulrike, 2016. "Do initial characteristics influence IJV longevity? Evidence from the Mediterranean region," International Business Review, Elsevier, vol. 25(4), pages 795-805.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:plo:pone00:0296791. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: plosone (email available below). General contact details of provider: https://journals.plos.org/plosone/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.