Pisani, N; Garcia-Bernardo, J; Heemskerk, E M Does it Pay to be a Multinational? A Large‐Sample, Cross‐National Replication Assessing the Multinationality‐Performance Relationship Journal Article In: Strategic Management Journal, vol. 41, no. 1, pp. 152-172, 2020. @article{Garcia2019b,
title = {Does it Pay to be a Multinational? A Large‐Sample, Cross‐National Replication Assessing the Multinationality‐Performance Relationship},
author = {N Pisani and J Garcia-Bernardo and E M Heemskerk},
url = {https://onlinelibrary.wiley.com/doi/abs/10.1002/smj.3087},
doi = {https://doi.org/10.1002/smj.3087},
year = {2020},
date = {2020-01-01},
journal = {Strategic Management Journal},
volume = {41},
number = {1},
pages = {152-172},
abstract = {Does it pay to be a multinational? Despite decades of empirical research, we still do not know. We undertake a large‐sample, cross‐national replication of Lu and Beamish (2004) and Berry and Kaul's (2016) works to examine whether the multinationality‐performance relationship is S‐shaped in a 2009–2016 panel of 889,865 firm‐year observations. Using a two‐stage least squares fixed‐effects model that accounts for endogeneity on a subsample of 32,835 multinationals from 64 countries, we find no evidence of an S‐shaped relationship; nor do we see it in any of the single‐country contexts. Our results show no evidence of any within‐firm effect of multinationality on performance, highlighting the need for more contextually‐grounded research focused on explaining between‐firm effects to advance our theoretical and empirical understanding of the multinationality‐performance relationship.},
keywords = {firm performance, multinationality, panel data, replication, S-curve},
pubstate = {published},
tppubtype = {article}
}
Does it pay to be a multinational? Despite decades of empirical research, we still do not know. We undertake a large‐sample, cross‐national replication of Lu and Beamish (2004) and Berry and Kaul's (2016) works to examine whether the multinationality‐performance relationship is S‐shaped in a 2009–2016 panel of 889,865 firm‐year observations. Using a two‐stage least squares fixed‐effects model that accounts for endogeneity on a subsample of 32,835 multinationals from 64 countries, we find no evidence of an S‐shaped relationship; nor do we see it in any of the single‐country contexts. Our results show no evidence of any within‐firm effect of multinationality on performance, highlighting the need for more contextually‐grounded research focused on explaining between‐firm effects to advance our theoretical and empirical understanding of the multinationality‐performance relationship. |