5 The convergent validity of each parameter is verified if each loading is

5 the convergent validity of each parameter is

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5. The convergent validity of each parameter is verified if each loading is statistically different from zero ( t . 2). In addition, the validity is confirmed. Convergent validity is also confirmed if each item shares more variance with its construct than with the error. The discriminant validity is confirmed if the shared variance between the theoretical variables is less than that shared between theoretical variables and their items: R 2 # 0.5. The predictive validity is verified by taking the average of R 2 . References Anderson, E. and Gatignon, H. (1986), “Modes of foreign entry – a transaction cost analysis and propositions”, Journal of International Business Studies , Vol. 17 No. 33, pp. 1-26. Aulakh, P.S., Kotabe, M. and Teegen, H. (2000), “Export strategies and performance of firms from emerging economies: evidence from Brazil, Chile and Mexico”, Academy of Management Journal , Vol. 43 No. 3, pp. 342-61. Ayal, I. and Zif, J. (1979), “Market expansion strategies in multinational marketing”, Journal of Marketing , Vol. 43 No. 2, pp. 84-94. Benito, G.R.G. and Welch, L.S. (1993), “Foreign market servicing: beyond choice of entry mode”, Journal of International Marketing , Vol. 2 No. 2, pp. 7-27. Bentler, P.M. and Wu, E.J.C. (2002), EQS6 for Windows User’s Guide , Multivariate Software Inc., Encino, CA. Buckley, P.J. and Casson, M.C. (1976), The Future of International Enterprise , Holms Meyer, London. Buzell, R.D. and Gale, B.T. (1987), The PIMS Principle , Free Press, New York, NY. Calori, R., Atamer, T., Mellin, L. and Gustavsson, P. (2000), “Innovative international strategies”, Journal of World Business , Vol. 35 No. 4, pp. 333-54. Cavusgil, S.T. and Zou, S. (1994), “Marketing strategy-performance relationship: an investigation of the empirical link in export market ventures”, Journal of Marketing , Vol. 58 No. 1, pp. 1-21. Contractor, F.J. and Lorange, P. (1988), Cooperative Ventures in International Business , Lexington Books, Lexington, MA. Cool, K.O. and Schendel, D.E. (1985), “Patterns of competition, strategic group formation and performance: the case of the US pharmaceutical industry 1963-82”, Working Paper 85/26, INSEAD. Dess, G. and Davis, P. (1984), “Porter’s (1980) generic strategies as determinants of strategic groups membership and organizational performance”, Academy of Management Journal , Vol. 27 No. 3, pp. 467-88. Douglas, S. and Wind, Y. (1988), “The myth of globalization”, Colombia Journal of World Business , Vol. 22 No. 4, pp. 19-29. Strategy development in markets 539
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Fastoso, F. and Whitelock, J. (2007), “International advertising strategy: the standardisation question in manager studies. Patterns in four decades of past research and directions for future knowledge advancement”, International Marketing Review , Vol. 24 No. 5, pp. 591-605. Fornell, C. and Larcker, D.F. (1981), “Evaluating structural equation models with unobservable variables and measurement error”, Journal of Marketing Research , Vol. 18 No. 1, pp. 39-50. Gabrielsson, M. and Manek Kirpalani, V.H. (2004), “Born globals: how to reach new business space rapidly”, International Business Review , Vol. 13 No. 5, pp. 555-71.
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