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The contingent effect of state participation on the dissolution of international joint ventures: A resource dependence approach

Mohr, Alexander, Wang, Chengang, Fastoso, Fernando (2016) The contingent effect of state participation on the dissolution of international joint ventures: A resource dependence approach. Journal of International Business Studies, 47 . pp. 408-426. ISSN 0047-2506. E-ISSN 1478-6990. (doi:10.1057/jibs.2016.14) (The full text of this publication is not currently available from this repository. You may be able to access a copy if URLs are provided) (KAR id:80023)

The full text of this publication is not currently available from this repository. You may be able to access a copy if URLs are provided.
Official URL:
https://dx.doi.org/10.1057/jibs.2016.14

Abstract

We adopt a resource dependence approach to explain the effect of state participation on the dissolution of international joint ventures (IJVs). While resource dependence theory (RDT) has been used to explain the formation of IJVs, we propose an extension of the theory to explain their dissolution. We do so by highlighting the match between foreign firms’ resource needs (resource hierarchy) and the resource provision roles of state-controlled vs private local partners (resource profiles). We further argue that the effect of state participation on the dissolution of IJVs is moderated by foreign firms’ host country experience and IJV age. We test our hypotheses by using data on 623 IJVs in China. Our results show that state participation reduces the risk of IJV dissolution and that the strength of this effect differs depending on the type of state-controlled actor that is involved in an IJV. We also find that host country experience and IJV age moderate the effect of state participation on IJV dissolution. These findings enhance our understanding of IJV dissolution and contribute to the development of RDT.

Item Type: Article
DOI/Identification number: 10.1057/jibs.2016.14
Uncontrolled keywords: alliances and joint ventures, resource dependency, business/government interaction and relations, corporate political strategy, duration/survival analysis ,emerging markets/countries/economies
Subjects: H Social Sciences > HF Commerce > HF5351 Business
Divisions: Divisions > Kent Business School - Division > Kent Business School (do not use)
Depositing User: Alex Mohr
Date Deposited: 11 Feb 2020 09:55 UTC
Last Modified: 17 Aug 2022 12:22 UTC
Resource URI: https://kar.kent.ac.uk/id/eprint/80023 (The current URI for this page, for reference purposes)

University of Kent Author Information

Mohr, Alexander.

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