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An Economic Model of International Joint Venture Strategy

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  • Peter J Buckley

    (University of Leeds)

  • Mark Casson

    (University of Reading)

Abstract

The strategic choice between joint ventures, licensing agreements and mergers is analysed using eight key factors suggested by internalisation theory. The model explains the increasing role of international joint ventures in the 1980s in terms of the accelerating pace of technological innovation and the globalisation of markets. It offers a range of predictions about the formation of joint ventures within industries, across industries, across locations, and over time. It exploits a powerful modelling technique that has many other applications in international business strategy.© 1996 JIBS. Journal of International Business Studies (1996) 27, 849–876

Suggested Citation

  • Peter J Buckley & Mark Casson, 1996. "An Economic Model of International Joint Venture Strategy," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 27(5), pages 849-876, December.
    • Handle: RePEc:pal:jintbs:v:27:y:1996:i:5:p:849-876
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