The impact of home business network attributes on Chinese outward foreign direct investment

Du, Jian, Xu, Yue ORCID: https://orcid.org/0000-0001-6396-2782, Voss, Hinrich and Wang, Song 2021. The impact of home business network attributes on Chinese outward foreign direct investment. International Business Review 30 (4) , 101779. 10.1016/j.ibusrev.2020.101779

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Abstract

Researchers who take a network perspective argue that insidership in foreign market networks is a necessary condition for internationalization. In this study, we argue that insidership in home market networks also matters. The effect of home network insidership on outward foreign direct investment (OFDI) depends on both individual and joint effects of structural and relational network attributes. Our study based on a survey of 194 Chinese firms shows that firms in a central network position are more likely to engage in OFDI than those in a brokerage position. Furthermore, we find the interaction between firms’ centrality and their connections to foreign-invested enterprises to be significantly and positively associated with OFDI, whereas a significantly negative effect is evidenced when a firm is connected more to domestic firms.

Item Type:	Article
Date Type:	Publication
Status:	Published
Schools:	Business (Including Economics)
Publisher:	Elsevier
ISSN:	0969-5931
Date of First Compliant Deposit:	16 January 2021
Date of Acceptance:	1 December 2020
Last Modified:	07 Nov 2023 03:13
URI:	https://orca.cardiff.ac.uk/id/eprint/137739

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