The Impact of Firm Resources on the Internationalization and Performance Relationship: A Study of Indian Manufacturing Firms

Abstract

The previous decade has been characterized by emerging market firms expanding into international markets. This trend has led to scholars in the IB arena to grapple with the new phenomenon of emerging multinational enterprises (EMNEs), specifically the relationship between internationalization and performance of the EMNEs. This paper seeks to add to the literature by capturing the impact of firm resources on the internationalization‐performance relationship. Empirical analysis on a sample of 787 Indian manufacturing firms indicates that there is a non‐linear relationship between internationalization and performance. Findings also indicate that a firm’s capabilities in cost efficiency and marketing have a moderating impact on this relationship.

Citation

Pattnaik, C. and Elango, B. (2009), "The Impact of Firm Resources on the Internationalization and Performance Relationship: A Study of Indian Manufacturing Firms", Multinational Business Review, Vol. 17 No. 2, pp. 69-88. https://doi.org/10.1108/1525383X200900010