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Mode of International Entry : The Advantages of Multilevel Methods

Author

Listed:
  • Jean-Luc Arregle

    (EDHEC - EDHEC Business School - UCL - Université catholique de Lille)

  • Louis Hébert

    (HEC Montréal - HEC Montréal)

  • Paul W. Beamish

    (UWO - University of Western Ontario)

Abstract

International strategy empirical research on the mode of entry has typically overlooked the multilevel nature of this question and relied on non-multilevel quantitative methods. This creates important conceptual and statistical limitations. Researchers examine such drawbacks by explaining the multilevel nature of this research question and the necessity to use multilevel methods. As an illustration, researchers develop a multilevel model and run a multilevel Bernoulli analysis to analyze the determinants of modes of entry, using a dataset on Japanese Foreign Direct Investment. Its results are compared to those of the dominant statistical method used in International Management for this topic: logistic regression. Research on mode of international entry has a clear conceptual and empirical multilevel dimension. Non-multilevel quantitative methods limit the conceptual development of this research and have negative statistical consequences that pose a risk for the validity and robustness of the results. In contrast, multilevel quantitative methods provide benefits when incorporating them for research on the selection of an entry mode.

Suggested Citation

  • Jean-Luc Arregle & Louis Hébert & Paul W. Beamish, 2006. "Mode of International Entry : The Advantages of Multilevel Methods," Post-Print hal-02312688, HAL.
    • Handle: RePEc:hal:journl:hal-02312688
    DOI: 10.1007/s11575-006-0117-3
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    Citations

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    Cited by:

    1. Herman Aguinis & Kelly P. Gabriel, 2022. "International business studies: Are we really so uniquely complex?," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(9), pages 2023-2036, December.
    2. Samyukta Bhupatiraju, 2020. "Multi-level Determinants of Inward FDI Ownership," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 18(2), pages 327-358, June.
    3. Jae C. Jung & Paul W. Beamish & Anthony Goerzen, 2010. "Dynamics of Experience, Environment and MNE Ownership Strategy," Management International Review, Springer, vol. 50(3), pages 267-296, June.
    4. Saiful Islam & Laura Márquez-Ramos, 2023. "Services and the internationalization of manufacturing firms in Indonesia," SN Business & Economics, Springer, vol. 3(2), pages 1-18, February.
    5. Li, Yang & Tang, Yujie, 2021. "A dynamic capabilities perspective on pro-market reforms and university technology transfer in a transition economy," Technovation, Elsevier, vol. 103(C).
    6. Hong, Sungjin J. & Lee, Seung-Hyun, 2015. "Reducing cultural uncertainty through experience gained in the domestic market," Journal of World Business, Elsevier, vol. 50(3), pages 428-438.
    7. Debmalya Mukherjee & Satish Kumar & Naveen Donthu & Nitesh Pandey, 2021. "Research Published in Management International Review from 2006 to 2020: A Bibliometric Analysis and Future Directions," Management International Review, Springer, vol. 61(5), pages 599-642, October.
    8. María Belda-Ruiz & Gregorio Sánchez-Marín & J. Samuel Baixauli-Soler, 2022. "Influence of family-centered goals on dividend policy in family firms: A socioemotional wealth approach," International Entrepreneurship and Management Journal, Springer, vol. 18(4), pages 1503-1526, December.
    9. Cannavale Chiara & Laurenza Elena, 2017. "The International Entry Choices of Italian Smes in Emerging Markets: A Case-Based Analysis," Ekonomika (Economics), Sciendo, vol. 96(3), pages 102-125, January.
    10. Graafland, Johan & Noorderhaven, Niels, 2018. "National culture and environmental responsibility research revisited," International Business Review, Elsevier, vol. 27(5), pages 958-968.
    11. Mehmet Demirbag & Ekrem Tatoglu & Keith W. Glaister, 2010. "Institutional and Transaction Cost Influences on Partnership Structure of Foreign Affiliates," Management International Review, Springer, vol. 50(6), pages 709-745, December.
    12. João Carvalho Santos & Manuel Portugal Ferreira & Nuno Rosa Reis & Martinho Ribeiro Almeida, 2012. "Mergers & acquisitions research: A bibliometric study of top strategy and international business journals," Working Papers 91, globADVANTAGE, Polytechnic Institute of Leiria.
    13. Dow, Douglas & Ferencikova, Sonia, 2010. "More than just national cultural distance: Testing new distance scales on FDI in Slovakia," International Business Review, Elsevier, vol. 19(1), pages 46-58, February.
    14. João Carvalho Santos & Manuel Portugal Ferreira & Nuno Rosa Reis & Fernando A. Ribeiro Serra, 2011. "Mergers & Acquisitions research: A bibliometric study of top strategy journals, 2000 - 2009," Working Papers 70, globADVANTAGE, Polytechnic Institute of Leiria.

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