본문 바로가기
KERD
논문KCI 등재

The Effects of Korean Firm-Specific Advantages on Foreign Subsidiary Performance: Moderating Effects of Host-location and Korean Chaebols

0

조회

0

다운로드

7

인용

0

참고문헌

주제분류경영학

초록

Korean MNCs overcame the 1997 Asian financial crisis through restructuring, and have continuously improved with an increase in Korea’s outward FDI scale, which has persisted even after the 2008 sub-prime mortgage crisis. Past studies have been mostly based on periods before the 1997 Asian financial crisis, and research lack in studying Korean MNCs’ firm-specific advantages (FSA) when operating overseas. This study researches Korean MNCs’ firm-specific advantages’ effect ―technological knowhow, marketing knowhow, international experience―on foreign subsidiary performance and the moderating effects of host location(DC/LDC) and Chaebol affiliation, by using firm-level panel data from 2000 to 2006, which is the period that Korean FDI started to increase. The results show that technological knowhow has a positive effect on subsidiary performance, while marketing knowhow had a negative effect. Host country location and Chaebol affiliation both exhibited moderating effects. On the other hand, international experience did not have a significant effect on subsidiary performance, but additional research showed that it has a U-shaped relationship with foreign subsidiary performance.

Abstract

Korean MNCs overcame the 1997 Asian financial crisis through restructuring, and have continuously improved with an increase in Korea’s outward FDI scale, which has persisted even after the 2008 sub-prime mortgage crisis. Past studies have been mostly based on periods before the 1997 Asian financial crisis, and research lack in studying Korean MNCs’ firm-specific advantages (FSA) when operating overseas. This study researches Korean MNCs’ firm-specific advantages’ effect ―technological knowhow, marketing knowhow, international experience―on foreign subsidiary performance and the moderating effects of host location(DC/LDC) and Chaebol affiliation, by using firm-level panel data from 2000 to 2006, which is the period that Korean FDI started to increase. The results show that technological knowhow has a positive effect on subsidiary performance, while marketing knowhow had a negative effect. Host country location and Chaebol affiliation both exhibited moderating effects. On the other hand, international experience did not have a significant effect on subsidiary performance, but additional research showed that it has a U-shaped relationship with foreign subsidiary performance.

참고문헌 (92)

  1. Anand, J., "Technological Capabilities of Countries, Firm Rivalry and Direct Investment", Journal of International Business Studies, 28(3), pp.445~465 (1997)
  2. Anderson, E., "The Multinational Corporation’s Degree of Control Over Foreign Subsidiaries: An Empirical Test of Transactions Cost Explanation", Journal of Law Economics and Organization, 4(2), pp.305~336 (1988)
  3. Barkema, H. G., "Foreign Entry, Cultural Barriers, and Learning", Strategic Management Journal, 17(2), pp.151~166 (1996)
  4. Barkema, H. G., "International Expansion through Start-up or Acquisition: A Learning Perspective", Academy of Management Journal, 41, pp.7~26 (1998)
  5. Barney, J. B., "Firm Resources and Sustained Competitive Advantage", Journal of Management, 17(1), pp.99~120 (1991)
  6. Bartlett, C., "Managing Across Borders: New Strategic Requirements", pp.7~17 (1987), Sloan Management Review
  7. Buckley, P. J., "Problems and Developments in the Core Theory of International Business", Journal of International Business Studies, 21(4), pp.657~666 (1990)
  8. Caves, R., "Multinational Enterprise and Economic Analysis" (1996), Cambridge University Press
  9. Chang, S. J., "Economic Performance of Group-affiliated Companies in Korea: Intragroup Resource Sharing and Internal Business Transactions", Academy of Management Journal, 43(3), pp.429~448 (2000)
  10. Chang, S. J., "International Expansion Strategy of Japanese Firms: Capability Building through Sequential Entry", Academy of Management Journal, 38, pp.383~407 (1995)
  11. Click, R. W., "Financial and Political Risk in US Direct Foreign Investment", Journal of International Business Studies, 36(5), pp.559~575 (2005)
  12. Cohen, W. M., "Absorptive Capacity: A New Perspective on Learning and Innovation", Administrative Science Quarterly, 35(1), pp.128~152 (2005)
  13. Collis, D. J., "Creating Corporate Advantage", Harvard Business Review, 76(3), pp.70~83 (1998)
  14. Daft, R. L., "Organization Theory and Design" (1983), West Publishing Company
  15. Daniels, J. D., "Profit Performance: Do Foreign Operations Make a Difference?", Management International Review, 29(1), pp.46~56 (1989)
  16. Day, G.S., "The Capabilities of Market-Driven Organizations", Journal of Marketing, 58(4), pp.37~52 (1994)
  17. Delios, A., "Ownership Strategy of Japanese Firms: Transactional, Institutional and Experience Influences", Strategic Management Journal, 20, pp.915~933 (1999)
  18. Dunning, J. H., "Towards an Eclectic Theory of International Production: Some Empirical Tests", Journal of International Business Studies, 11(1), pp.9~31 (1980)
  19. Dunning, J. H., "The Eclectic Paradigm of International Production: A Restatement and Some Possible Extensions", Journal of International Business Studies, 19, pp.1~31 (1988)
  20. Elango, B., "Exploration into the Relationship Between Country of Origin (COE) and the Internationalization-Performance Paradigm", Management International Review, 47(3), pp.369~392 (2007)
  21. Eriksson, K., "Variation in the Internalization Process", International Studies in Management and Organization, 30(1), pp.26~44 (2000)
  22. Erramili, M. K., "Are Firm-specific Advantages Location- specific Too?. 4th Quarter", Journal of International Business Studies, pp.735~757 (1997)
  23. Fang, W., "International Diversification Subsidiary Performance, and the Mobility of Knowledge Resources", Strategic Management Journal, 28, pp.1053~1064 (2007)
  24. Geringer, J. M., "Diversification Strategy and Internationalization: Implications for MNE Performance", Strategic Management Journal, 10, pp.109~119 (1989)
  25. National 4-H Youth Development Global Education Design Team Report, "Gobeli, V.", CSREES, ~ (1998)
  26. Gomes, L. K., "An Empirical Examination of the Form of the Relationship between Multinationality and Performance", Journal of International Business Studies, 30(1), pp.173~188 (1999)
  27. Gongming, Q., "Determinants of Profit Performance for the Largest US Firms 1981-92", Multinational Business Review, 6(2), pp.44~51 (1998)
  28. Granovetter, M., "Coase Revisited: Business Groups in the Modern Economy", Industrial & Corporate Change, 4(1), pp.93~130 (1995)
  29. Grant, R. M., "Multinationality and Performance among British Manufacturing Companies", Journal of International Business Studies, 18(1), pp.79~89 (1987)
  30. Guillen, M. F., "Business Groups in Emerging Economies: A Resource-based View", Academy of Management Journal, 43(3), pp.362~380 (2000)
  31. Han, K., "Multinationality and Firm Performance", Multinational Business Review, 6(2), pp.63~70 (1998)
  32. Hennart, J. F., "The Transaction Cost Theory of Joint Ventures: An Empirical Study of Japanese Subsidiaries in the United States", Management Science, 37(4), pp.483~497 (1991)
  33. Hennart, J. F., "Greenfield vs. acquisition: The strategy of Japanese investors in the United States", Management Science, 39(9), pp.1054~1070 (1993)
  34. Hennart, J. F., "Japanese Investors’ Choice of Joint Ventures versus Wholly-owned Subsidiaries in the U.S.: The Role of Market Barriers and Firm Capabilities", Journal of International Business Studies, 33(1), pp.1~18 (2002)
  35. Hitt, M., "A Mid-range Theory of the Interactive Effects of International and Product Diversification on Innovation and Performance", Journal of Management, 20(2), pp.297~327 (1994)
  36. Hitt, M., "International Diversification: Effects on Innovation and Firm Performance in Product-diversified Firms", Academy Management Journal, 40(4), pp.767~798 (1997)
  37. Hooley, G. J., "The Resource Underpinnings of Competitive Positions", Journal of Strategic Marketing, 13, pp.81~104 (2005)
  38. Hymer, S. H., "The International Operations of National Firms: A Study of Direct Foreign Investment" (1976), MIT Press
  39. Johanson, J., "The Internationalization Process of the Firm: A Model of Knowledge Development and Increasing Foreign Market Commitments", Journal of International Business Studies, 8(1), pp.23~32 (1977)
  40. Johanson, J., "The Mechanism of Internationalization", International Marketing Review, 7(4), pp.11~24 (1990)
  41. Khanna, T., "Emerging Giants: Building World-class Companies in Developing Countries", Harvard Business Review, 84(10), pp.60~69 (2006)
  42. Khanna, T., "Estimating the Performance of Business Groups in Emerging Markets", Strategic Management Journal, 22(1), pp.45~74 (2001)
  43. Kim, B., "Globalization, Coordination, and Subsidiary Performance- Evidence from Companies in an Advancing Country", Journal of Asia-Pacific Business, 3, pp.37~65 (2001)
  44. Kobrin, S. J., "An Empirical Analysis of the Determinants of Global Integration", Strategic Management Journal, 12, pp.17~31 (1991)
  45. Kogut, B, "Designing global strategies: Profiting from operational flexibility", Sloan Management Review, 27(1), pp.27~38 (1985)
  46. Kogut, B., "The Effect of National Culture on the Choice of Entry Mode", Journal of International Business Studies, 19(3), pp.411~432 (1988)
  47. Kogut, B., "Knowledge of the Firm and the Evolutionary Theory of the Multinational Corporation", Journal of International Business Studies, 24, pp.625~645 (1993)
  48. Kostova, T., "Transnational Transfer of Strategic Organizational Practices: A Contextual Perspective", Academy of Management Review, 24(2), pp.308~324 (1999)
  49. Lecraw, D. J., "Bargaining power, ownership, and profitability of transnational corporations in developing countries", Journal of International Business Studies, 15(1), pp.27~43 (1984)
  50. Lee, J. H., "Determinants of Performance of Foreign Subsidiaries of Korean Multinational Corporations", Korean Academy of International Business, 11(1), pp.137~168 (2000)
  51. Lee, K., "Productive Efficiency of Chaebols and Non-Chaebol Firms in Korea: Stochastic Production Frontier Estimation using Panel Data", The International Centre for the Study of East Asian Development, (10) (2000)
  52. Levinthal, D. A., "The Myopia of Learning", Strategic Management Journal, 14, pp.95~112 (1993)
  53. Li, J., "The Globalization of Service Multinationals in the ‘Triad Regions: Japan, Western Europe and North America", Journal of International Business Studies, 23, pp.675~696 (1992)
  54. Luo, Y., "Partner Selection and Venturing Success: The Case of Joint Ventures with Firms in the People’s Republic of China", Organization Science, 8, pp.648~662 (1997)
  55. Luo, Y., "Market-seeking MNEs in an Emerging Market: How Parent-subsidiary Links Shape Overseas Success", Journal of International Business Studies, 34, pp.290~309 (2003)
  56. Luo, Y., "Learning to Compete in a Transition Economy: Experience, Environment, and Performance", Journal of International Business Studies, 30(20), pp.269~295 (1999)
  57. Lyles, M.A., "Knowledge Acquisition from Foreign Parents in International Joint Ventures: An Empirical Examination in the Hungarian Context", Journal of International Business Studies, 27, pp.877~903 (1996)
  58. Makino, S., "Local Knowledge Transfer and Performance: Im- plications for Alliance Formation in Asia", Journal of International Business Studies, 27, pp.905~928 (1996)
  59. Makino, S., "The Characteristics and Per- formance of Japanese FDI in Less Developed and Developed Countries", Journal of World business, 39, pp.377~392 (2004)
  60. Narasimhan, O., "Absorptive Capacity in High- Technology Markets: The Competitive Advantage of the Haves", Marketing Science, 25(5), pp.510~524 (2006)
  61. Nelson, P. R., "An Evolutionary Theory of Economic Change" (1982), Belknap
  62. North, D. G., "Institutions, Institutional Change and Economic Performance" (1990), Cambridge University Press
  63. Park, Y. K., "FDI Performance in Asia vs. OECD Countries", Academy of In- ternational Bus, 11(2), pp.37~69 (2000)
  64. 박영렬, "대중국 투자 성과 결정요인에 관한 문헌연구", 국제경영리뷰, 11(3), pp.47~83 (2007), 한국국제경영관리학회
  65. Park, Y. R., "Time Varying Correlation Mixed FDI Characteristics of Chaebols and Non-Chaebols in Less-Developed and Developed Countries", Korean Academy of International Business Management, 10, pp.95~117 (2009)
  66. Peng, M. W., "Business Strategies in Transition Economies" (1999), Sage
  67. Peng, M. W., "Global Strategy" (2009), Cengage Learning
  68. Penrose, E., "The Theory of the Growth of the Firm" (1955), Brasil Blackwell
  69. Porter, M. E., "Competitive Advantage: Creating and Sustaining Superior Performance" (1985), The Free Press
  70. Porter, M., "The Contributions of Industrial Organization to Strategic Management", Academy of Management Review, 6, pp.609~620 (1981)
  71. Qian, G., "Assessing Product-market Diversification of US Firms", Management International Review, 37(2), pp.127~149 (1997)
  72. Roth, M. S., "Matching Product Category and Country Image Perceptions: A Framework for Managing Country-of-origin Effects", Journal of International Business Studies, 3, pp.477~497 (1992)
  73. Rugman, A., "Korea's Multinationals in a Regional World", Journal of World Business, 43, pp.5~15 (2008)
  74. Ruigrok, W., "Internationalization and Performance: and Organizational Learning Perspective", Management International Review, 43(1), pp.63~83 (2003)
  75. Rumelt R., "Toward a Strategic Theory of the Firm", pp.556~570 (1984), Prentice-Hall
  76. Schmalensee, R., "Product Differentiation Advantages of Pioneering Brands", The American Economic Review, 72, pp.349~365 (1982)
  77. Sharma, A., "Diversifying Entry: Some ex ante Explanations for Postentry Survival and Growth", Academy of Management Journal, 39, pp.635~677 (1996)
  78. Spence, A. M., "The Learning Curve and Competition", Bell Journal of Economics, 12(1), pp.49~70 (1981)
  79. Steenkamp, E. M., "How Perceived Brand Globalness Creates Brand Value", Journal of International Business Studies, 34, pp.53~65 (2003)
  80. Sullivan, D., "Measuring the Degree of Internationalization of a Firm", Journal of International Business Studies, 25(2), pp.325~342 (1994)
  81. Teece, D., "Technology Transfer by Multinational Firms: the Resource Cost of Transferring Technological Know-how", Economic Journal, pp.242~261 (1977)
  82. Teece, D. G., "The Competitive Challenge: Strategies for Industrial Innovation and Renewal" (1987), Ballinger Publishing Company
  83. Tsai, W., "Knowledge Transfer in Intraorganizational Networks: Effects of Network Position and Absorptive Capacity on Business Unit Innovation and Performance", Academy of Management Journal, 44(5), pp.996~1004 (2001)
  84. Vermeulen, F., "Pace, Rhythm and Scope: Process Dependence in Building Profitable Multinational Enterprise", Strategic Management Journal, 23, pp.637~653 (2002)
  85. Vernon, R., "Sovereignty at Bay: The Multinational Spread of US Enterprises" (1971), Basic Books
  86. Wan, W. P., "Home Country Environments, Corporate Diversification Strategies, and Firm Performance", Academy of Management Journal, 46(1), pp.27~45 (2003)
  87. Wernerfelt, B., "A Resource-based View of the Firm", Strategic Management Journal, 5, pp.171~180 (1984)
  88. Wooldridge, J., "Introductory Econometrics: A Modern Approach" (2007), Casebound
  89. Yip, G., "Diversification Entry: Internal Development versus Acquisition", Strategic Management Journal, 3, pp.331~345 (1982)
  90. Zaheer, S., "Overcoming the Liability of Foreignness", Academy of Management Journal, 38(2), pp.341~363 (1995)
  91. 장혜지, "해외직접투자의 성과요인에 관한 연구 -중국 진출 한국기업을 중심으로-", 국제경영연구, 16(3), pp.27~64 (2005), 한국국제경영학회
  92. Zhang, Y., "R&D Intensity and International Joint Venture Performance in the Emerging Market: Moderating Effects of Market Focus and Ownership Structure", Journal of International Business Studies, 38, pp.944~960 (2007)

관련 논문AI추천

이 간행물의 다른 논문 (3건)