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Broadening the foreign market entry mode decision: separating ownership and control

Author

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  • J R Brown

    (Department of Marketing, Pamplin College of Business, Virginia Tech, Blacksburg, USA)

  • C S Dev

    (School of Hotel Administration, Cornell University, Ithaca, NY, USA)

  • Z Zhou

    (School of Business, University of Hong Kong, Pokfulam, P.R.China)

Abstract

This paper argues that the ownership and control dimensions of foreign market entry mode choice should be separated, and that foreign market entry mode decisions should be expanded to business activities beyond production and distribution. Empirical results from the global hotel industry indicate that the transferability of the entrant's competitive advantages, the local market's absorptive capacity, and the availability of trustworthy local partners differentially affect the ownership and control dimensions of the entry mode decision. Journal of International Business Studies (2003) 34, 473–488. doi:10.1057/palgrave.jibs.8400050

Suggested Citation

  • J R Brown & C S Dev & Z Zhou, 2003. "Broadening the foreign market entry mode decision: separating ownership and control," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 34(5), pages 473-488, September.
    • Handle: RePEc:pal:jintbs:v:34:y:2003:i:5:p:473-488
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