E 0 17 journal of intexnational business studies

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Unformatted text preview: oices 1. Sbe/MuRinational Experience (SM) and Market Potential (MP) NI Low SM and High MP High SM and Low MP Low SM and Low MP High SM and High MP Chi-square (9 d.f.) - 37.47 p - 31 12 34 21 EXP 1 7 3 '2 JV sv 25 21 26 19 12 27 11 34 0.000 showed a greater tendency to enter foreign markets (ModelI. Although I and I ) theymaychooseanyentrymode, ifthey chose to invest,theyshowa I) preference for a sole venture mode over ajoint venture mode (Model I I . While fr s that have a high ability to develop differentiated products also im had a greater tendencyto enter foreign markets, they tended to prefer noninvestment m odes (Model I and I. Except for the ast result, the other main I ) l effect results support the role of ownership advantages as hypothesized in previous studies. With reference to the location advantages, was found thatfirms preferred it to enter the more potential markets using investment modes (Model I and 11) and among those markets that were chosen for investments, f m preferred sole venture in markets that were perceived to have higher market potential (Model I On the other hand, firms tend to avoid markets that D). have high investment r isks (Model I, I , and II, while choosing to only I I) export to markets that have high contractual r isks (Model I, II and 111). Interaction Effec...
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