Institutional Distance and the International Market Entry Mode: A Meta-analysis

Zhang, Wei; He, Xinming; Wang, Tao; Wang, Kang

Abstract

With increasing interest in the internationalization of multinational enterprises, recent studies have focused on the differences between institutions in home and host countries and how they affect the strategic entry decisions of multinational enterprises, particularly the equity-based entry mode. However, the conclusions regarding institutional distance and the equity-based market entry mode are contradictory. This relationship is theoretically unclear and empirically inconsistent. To help resolve these contradictory findings, we conduct meta-analytic research on the relationship between institutional distance and equity-based entry mode. We investigate several moderators that may affect this relationship. These moderators can be divided into three types: measurement factors, such as indices, data sources, and calculation methods; contextual factors, such as industry, time of study, and country characteristics; and theoretical orientation. We offer theoretical insights and recommendations to improve the validity and reliability of research on institutional distance, equity-based entry mode, and ideas for future research.

Citation

Zhang, W., He, X., Wang, T., & Wang, K. (2023). Institutional Distance and the International Market Entry Mode: A Meta-analysis. Journal of International Management, 29(1), Article 100990. https://doi.org/10.1016/j.intman.2022.100990

• Journal Article Type: Article
• Acceptance Date: Oct 25, 2022
• Online Publication Date: Nov 2, 2022
• Publication Date: 2023-02
• Deposit Date: Oct 27, 2022
• Publicly Available Date: Nov 3, 2024
• Journal: Journal of International Management
• Print ISSN: 1075-4253
• Electronic ISSN: 1873-0620
• Publisher: Elsevier
• Peer Reviewed: Peer Reviewed
• Volume: 29
• Issue: 1
• Article Number: 100990
• DOI: https://doi.org/10.1016/j.intman.2022.100990
• Public URL: https://durham-repository.worktribe.com/output/1187288