Experience, Distance, and the Proximity of Cross-Border Investments: The Case of Private Equity

Previous research on cross-border investments has remained focused on how firms choose a target country in which to invest–i.e., the focal market. Meanwhile, the determinants of investment activity around focal markets have remained unexplored. Drawing from the literature on organizational learning and cross-national distance, we study the proximity to the focal market of cross-border investments made by a firm within a particular region. In our...