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The Influence of Triad Nations' Environments on Price-Quality Product Strategies and MNC Performance

Author

Listed:
  • Lance Eliot Brouthers

    (University of Texas at San Antonio)

  • Steve Werner

    (University of Houston)

  • Erika Matulich

    (The University of Tampa)

Abstract

Is there a relationship between home-country competitive advantages, MNC price/quality product strategies, and firm performance? A cross-national contingency framework is developed, identifying three “regional stereotypes” of price/quality relationships, fueled by history and consumer perceptions, which appear to result in superior MNC performance. Findings indicate that the “stereotypes'” influences have diminished over time (as MNCs shift from home country advantages to global firm-specific advantages). However, Triad MNCs that use these product strategies (Japan [superior value], EU [premium] and U.S. [economy]) still, on average, demonstrate superior performance.© 2000 JIBS. Journal of International Business Studies (2000) 31, 39–62

Suggested Citation

  • Lance Eliot Brouthers & Steve Werner & Erika Matulich, 2000. "The Influence of Triad Nations' Environments on Price-Quality Product Strategies and MNC Performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 31(1), pages 39-62, March.
    • Handle: RePEc:pal:jintbs:v:31:y:2000:i:1:p:39-62
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    Citations

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    Cited by:

    1. Weiping Liu & Jiatao Li, 2019. "Unbalanced Institutions in Market Transition: How Do They Matter for Firm Strategic Choices and Performance in Emerging Economies?," Management International Review, Springer, vol. 59(5), pages 675-702, October.
    2. (Sandy) Zhang, Sha & van Doorn, Jenny & Leeflang, Peter S.H., 2014. "Does the importance of value, brand and relationship equity for customer loyalty differ between Eastern and Western cultures?," International Business Review, Elsevier, vol. 23(1), pages 284-292.
    3. Shufeng Simon Xiao & Yong Kyu Lew & Byung Il Park, 2019. "‘2R-Based View’ on the Internationalization of Service MNEs from Emerging Economies: Evidence from China," Management International Review, Springer, vol. 59(4), pages 643-673, August.
    4. Farooqi, Javeria & Huerta, Daniel & Ngo, Thanh, 2015. "Should you globally diversify or let the globally diversified firm do it for you?," The Quarterly Review of Economics and Finance, Elsevier, vol. 57(C), pages 75-85.
    5. Lance Eliot Brouthers & Edward O'Donnell & John Hadjimarcou, 2005. "Generic Product Strategies for Emerging Market Exports into Triad Nation Markets: A Mimetic Isomorphism Approach," Journal of Management Studies, Wiley Blackwell, vol. 42(1), pages 225-245, January.
    6. Chen, Jieke & Sousa, Carlos M.P. & He, Xinming, 2019. "Export market re-entry: Time-out period and price/quality dynamisms," Journal of World Business, Elsevier, vol. 54(2), pages 154-168.
    7. Lance Eliot Brouthers & Edward O’Donnell & Dawn L. Keig, 2013. "Isomorphic Pressures, Peripheral Product Attributes and Emerging Market Firm Export Performance," Management International Review, Springer, vol. 53(5), pages 687-710, October.

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