Survival of Japanese subsidiaries in the Middle East and North Africa

Mehmet Demirbag, Marina Apaydin, Ekrem Tatoglu

    Research output: Contribution to journalArticle

    44 Citations (Scopus)

    Abstract

    This paper considers factors affecting survival of foreign subsidiaries in the context of Japanese foreign equity ventures in the Middle East and North Africa (MENA). Three new institutional variables, economic distance, economic freedom distance and subsidiary density, are examined as determinants of survival while controlling for other determinants previously established in the literature. The findings support our hypotheses. We found that economic distance and economic freedom distance exhibit significant positive and negative relationships respectively with the survival of Japanese FDI in the MENA region, and moderate positive relationship between subsidiary density and subsidiary survival.
    Original languageEnglish
    Pages (from-to)411-425
    Number of pages15
    JournalJournal of World Business
    Volume46
    Issue number4
    DOIs
    Publication statusPublished - Oct 2011

    Keywords

    • survival
    • japanese
    • subsidiaries
    • middle east
    • north africa
    • economic distance
    • economic freedom
    • japanese fdi
    • subsidiary survival

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