A knowledge tension perspective on management control and performance in international joint ventures

Knowledge tension results from knowledge sharing, protection, and learning simultaneously in an IJV. This study highlights the moderating role of knowledge tension on the relationship between management control and MNE's satisfaction with IJV's performance. Evidence from 162 IJVs shows that (1) split management control can result in higher IJV satisfaction than other types of management control when MNEs or local partners encounter sharing-protection tension, and (2) split management control and MNE dominant management control can result in higher IJV satisfaction than shared management control when both MNEs and local partners simultaneously encountered sharing-protection tension. We suggest that split management control performs better than all other control structures. However, MNE-dominant control is another choice when MNEs and local partners simultaneously encounter sharing-protection tension.