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The impact of economic reform on business performance: A study of foreign and domestic firms in Ghana

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  • Appiah-Adu, Kwaku

Abstract

This paper reports the results of a cross-sectional study of firms operating in a liberalized developing economy. The purpose of the research was to determine effects of economic reform policies and consequent business strategies upon performance among foreign and domestic firms in Ghana. Data were obtained from 114 companies representing domestic firms and foreign organizations headquartered in North America, Europe and Asia. Regression analysis was used to test whether environmental change and its related business strategies influence performance. Study results indicate that, generally, changes in the business environment and firm strategies have had a relatively greater impact on foreign companies' performance compared with domestic organizations. The article concludes with a discussion on the managerial and policy making implications of the study as well as avenues for future research

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  • Appiah-Adu, Kwaku, 1999. "The impact of economic reform on business performance: A study of foreign and domestic firms in Ghana," International Business Review, Elsevier, vol. 8(4), pages 463-486, August.
    • Handle: RePEc:eee:iburev:v:8:y:1999:i:4:p:463-486
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    Cited by:

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    2. Alvaro CUERVO-CAZURRA & Luis Alfonso DAU, 2008. "Structural Reform And Firm Profitability In Developing Countries," William Davidson Institute Working Papers Series wp940, William Davidson Institute at the University of Michigan.
    3. Heidenreich, Stefan & Mohr, Alexander & Puck, Jonas, 2015. "Political strategies, entrepreneurial overconfidence and foreign direct investment in developing countries," Journal of World Business, Elsevier, vol. 50(4), pages 793-803.
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    5. Dau, Luis Alfonso, 2018. "Contextualizing international learning: The moderating effects of mode of entry & subsidiary networks on the relationship between reforms & profitability," Journal of World Business, Elsevier, vol. 53(3), pages 403-414.
    6. Dau, Luis Alfonso & Moore, Elizabeth M. & Kostova, Tatiana, 2020. "The impact of market based institutional reforms on firm strategy and performance: Review and extension," Journal of World Business, Elsevier, vol. 55(4).
    7. Ravi Sarathy & Elitsa R. Banalieva, 2014. "Economic Development And Marketing Strategies: A Comparative Lens," Organizations and Markets in Emerging Economies, Faculty of Economics, Vilnius University, vol. 5(1).
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    9. Addo Eric Osei, 2019. "An Assessment of the Impact of Foreign Direct Investment on Employment: The Case of Ghana’s Economy," The Journal of Social Sciences Research, Academic Research Publishing Group, vol. 5(6), pages 143-158, 06-2019.

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