The Performance and Risk Management Implications of Multinationality

OPEN ARCHIVE

Union Jack
Dannebrog

The Performance and Risk Management Implications of Multinationality

Show full item record

Title: The Performance and Risk Management Implications of Multinationality
An Industry Perspective
Author: Andersen, Torben Juul
Abstract: Multinational enterprise in control of dispersed overseas resources and capabilities has been linked to strategic flexibility that allows the firm to take advantage of opportunities and manage exposures imposed by changing environmental conditions. This paper analyzes the implied performance and risk management effects in a comprehensive sample of public firms and finds supportive evidence for the proposition that multinationality can enhance performance across industries. However, the ability to exploit upside potential and avoid downside risk is industry specific. The positive effects of multinationality are found particularly pronounced among firms operating in knowledge intensive service industries while firms in capital-intensive primary industries display the inverse relationships. Keywords: Strategic flexibility, Real options, Risk management
URI: http://hdl.handle.net/10398/7473
Date: 2005-11-22

Creative Commons License This work is licensed under a Creative Commons License.

Files Size Format View
cbs forskningsindberetning smg 30.pdf 468.3Kb PDF View/Open

This item appears in the following Collection(s)

Show full item record