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Hierarchical modelling in international business research: Patterns, problems, and practical guidelines

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  • Lindner, Thomas
  • Puck, Jonas
  • Doh, Jonathan

Abstract

International Business (IB) phenomena often encompass activities at the nation, industry, firm, and individual levels. Consequently, empirical analyses in IB often consider at least two levels of analysis; failing to do so represents omitted variable bias. In this Perspectives paper, we review and evaluate the use and misuse of multi-level methods in IB, suggesting that IB scholars often fail to employ explicitly multilevel approaches when confronted with multi-level phenomena. We also assess different multi-level modeling techniques, noting that despite different nomenclature, many are functionally equivalent, and offer suggestions for best practices in the deployment of multi-level methods in IB.

Suggested Citation

  • Lindner, Thomas & Puck, Jonas & Doh, Jonathan, 2021. "Hierarchical modelling in international business research: Patterns, problems, and practical guidelines," Journal of World Business, Elsevier, vol. 56(4).
    • Handle: RePEc:eee:worbus:v:56:y:2021:i:4:s1090951621000365
    DOI: 10.1016/j.jwb.2021.101224
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