Edited by Jorma Larimo, Niina Nummela and Tuija Mainela
Chapter 13: Greenfield joint ventures versus partial acquisitions: determinants of collaborative entry strategies of Finnish multinational enterprises
This chapter offers a relatively unique perspective to analysis of market entry strategies of multinational enterprises (MNEs) by specifically addressing equity based collaborative entry strategies. The past literature has either concentrated on establishment mode strategy (greenfield investment versus acquisition) or ownership mode strategy (wholly owned subsidiaries versus joint ventures) of MNEs. Our study specifically addresses firm-, industry- and country-level determinants of the choice between partial acquisition or greenfield joint venture (JV) by the MNEs. The chapter contributes to extant IB literature by being one of the first studies to address determinants of collaborative entry strategy of MNEs based on multiple theoretical lenses, as well as clearly showing the uniqueness of such entry strategies compared with past studies where these issues were addressed generally by putting them in either establishment or ownership mode analysis. The empirical sample of the study is based on 670 collaborative market entries by Finnish MNEs in 30 various developed and emerging economies. The in-depth empirical analysis offered in the study revealed variance in significance of determinants based on timing of investments as well as the level of ownership of Finnish MNEs in the collaborative venture (that is, minority, equal or majority ownership).
You are not authenticated to view the full text of this chapter or article.
Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.
Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.
Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.