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International Experience and the Performance of Scandinavian Firms in China

Carlsson, Johan; Nordegren, Axel and Sjöholm, Fredrik LU (2005) In International Business Review 14(1). p.21-40
Abstract
Western firms locating in China face a business environment that differs from their home country environment. The differences increase uncertainties and are negative for economic performance. However, firms may differ in their ability to overcome the difficulties, depending on their previous experience. In particular, firms with experience from regions similar to China might exhibit relatively better performance. We conduct a survey of Scandinavian firms with subsidiaries in China to examine their economic performance. Our results show that subsidiaries in China perform better if the firms have subsidiaries in Hong Kong, Taiwan, or Singapore. In addition, the length of subsidiaries' operation in China, and the experience from foreign... (More)
Western firms locating in China face a business environment that differs from their home country environment. The differences increase uncertainties and are negative for economic performance. However, firms may differ in their ability to overcome the difficulties, depending on their previous experience. In particular, firms with experience from regions similar to China might exhibit relatively better performance. We conduct a survey of Scandinavian firms with subsidiaries in China to examine their economic performance. Our results show that subsidiaries in China perform better if the firms have subsidiaries in Hong Kong, Taiwan, or Singapore. In addition, the length of subsidiaries' operation in China, and the experience from foreign countries outside of Greater China, also positively impact the subsidiaries' performance. (Less)
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author
publishing date
type
Contribution to journal
publication status
published
subject
keywords
FDI, firms, experience, China, Scandinavia
in
International Business Review
volume
14
issue
1
pages
20 pages
publisher
Elsevier
external identifiers
  • scopus:13244267152
ISSN
1873-6149
DOI
10.1016/j.ibusrev.2004.10.003
language
English
LU publication?
no
id
f6b8e23c-8683-4875-86d1-c6abce066c14
date added to LUP
2017-10-10 17:34:52
date last changed
2017-11-12 04:35:50
@article{f6b8e23c-8683-4875-86d1-c6abce066c14,
  abstract     = {Western firms locating in China face a business environment that differs from their home country environment. The differences increase uncertainties and are negative for economic performance. However, firms may differ in their ability to overcome the difficulties, depending on their previous experience. In particular, firms with experience from regions similar to China might exhibit relatively better performance. We conduct a survey of Scandinavian firms with subsidiaries in China to examine their economic performance. Our results show that subsidiaries in China perform better if the firms have subsidiaries in Hong Kong, Taiwan, or Singapore. In addition, the length of subsidiaries' operation in China, and the experience from foreign countries outside of Greater China, also positively impact the subsidiaries' performance.},
  author       = {Carlsson, Johan and Nordegren, Axel and Sjöholm, Fredrik},
  issn         = {1873-6149},
  keyword      = {FDI,firms,experience,China,Scandinavia},
  language     = {eng},
  number       = {1},
  pages        = {21--40},
  publisher    = {Elsevier},
  series       = {International Business Review},
  title        = {International Experience and the Performance of Scandinavian Firms in China},
  url          = {http://dx.doi.org/10.1016/j.ibusrev.2004.10.003},
  volume       = {14},
  year         = {2005},
}