Closure and divestiture by foreign entrants: the impact of entry and post-entry strategies
Abstract
We analyze the longevity of foreign entrants explicitly considering two possible ways of exit: firm closure and capital divestiture. We find that entry and post-entry strategies affect the longevity of firms and of foreign equity holdings, but in different manners. While the ownership arrangements and organizational structure affect the likelihood of divestment, they exert no significant effect upon closure. The entry mode exerts opposite...
Paper Details
Title
Closure and divestiture by foreign entrants: the impact of entry and post-entry strategies
Published Date
May 1, 2000
Journal
Volume
21
Issue
5
Pages
549 - 562
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