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Does the Home Country's National Culture Affect MNCs' Performance? Empirical Evidence of the World's Top 100 East-West Non-financial MNCs

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  • George Halkos
  • Nickolaos Tzeremes

Abstract

The question of why some multinational corporations (MNCs) perform better than others is at the centre of the analysis of many international business disciplines and the subject of a never-ending debate of policy-makers. The dilemma of whether the MNC's organizational culture differs from home countries' national culture is the subject of our research. We provide empirical evidence that MNCs' national cultures shape and dominate MNCs' organizational cultures with a direct impact on their performances. For the first time by using performance measurement techniques and reconstructing cultural distance indexes, we are providing empirical evidence of the impact of home country's national culture on MNCs' performance.

Suggested Citation

  • George Halkos & Nickolaos Tzeremes, 2008. "Does the Home Country's National Culture Affect MNCs' Performance? Empirical Evidence of the World's Top 100 East-West Non-financial MNCs," Global Economic Review, Taylor & Francis Journals, vol. 37(4), pages 405-427.
  • Handle: RePEc:taf:glecrv:v:37:y:2008:i:4:p:405-427
    DOI: 10.1080/12265080802480811
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    References listed on IDEAS

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    1. Dunning, John H., 1994. "Multinational enterprises and the globalization of innovatory capacity," Research Policy, Elsevier, vol. 23(1), pages 67-88, January.
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    Cited by:

    1. Chandan Sharma & Ritesh Kumar Mishra, 2011. "Does export and productivity growth linkage exist? Evidence from the Indian manufacturing industry," International Review of Applied Economics, Taylor & Francis Journals, vol. 25(6), pages 633-652, November.
    2. Halkos, George Emm. & Tzeremes, Nickolaos G., 2011. "Modelling the effect of national culture on multinational banks' performance: A conditional robust nonparametric frontier analysis," Economic Modelling, Elsevier, vol. 28(1), pages 515-525.
    3. William David Brice, 2013. "Family Firm Culture and Performance: Specific Empirical Evidence," International Journal of Academic Research in Accounting, Finance and Management Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences, vol. 3(1), pages 5-17, January.
    4. Halkos, George & Tzeremes, Nickolaos, 2011. "A conditional full frontier modelling for analyzing environmental efficiency and economic growth," MPRA Paper 32839, University Library of Munich, Germany.
    5. repec:eee:finsta:v:29:y:2017:i:c:p:36-56 is not listed on IDEAS

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