The Effect of Foreign Divestment on Subsequent Firm Performance: The Moderating Role of Spatial and Temporal Dispersion of Prior Divestment Experience

IF 4.5 2区 管理学 Q1 BUSINESS
Georgios Batsakis, Alexander Mohr, Palitha Konara, Christos Koritos
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引用次数: 0

Abstract

Previous research has stressed the importance of the relationship between foreign divestment and subsequent firm performance. Yet, controversy remains, as some authors suggest that foreign divestment has a positive effect on firm performance, and others propose that foreign divestment has negative performance effects. To help reconcile this controversy, we first explicate existing arguments and argue that in the context of retail (de-)internationalisation, foreign divestment will have a predominantly negative effect on retailers’ financial performance. We then draw on organisational learning theory to argue that this negative performance effect of foreign divestment is contingent on (a) the spatial dispersion of previously divested foreign operations (i.e. the extent of geographical diversity of the foreign divestments the multinational enterprise [MNE] has conducted over a specified period of time), and (b) the temporal dispersion of previously divested foreign operations (i.e. the time between prior divestment episodes). Drawing on a panel of some of the largest retail MNEs over the 20-year period 1997–2016, we find that foreign divestment has a negative effect on retailers’ subsequent performance. Our results also indicate that the negative performance effect of foreign divestment is effectively mitigated by retailers’ prior divestment experience in spatially diverse and temporally dispersed settings.

Abstract Image

外资撤资对企业后续绩效的影响:先前撤资经历的时空分散性的调节作用
以往的研究强调了外国资产撤资与随后公司业绩之间关系的重要性。然而,争议依然存在,一些学者认为国外撤资对企业绩效有积极影响,而另一些学者则认为国外撤资对绩效有消极影响。为了帮助调和这一争议,我们首先解释了现有的论点,并认为在零售业(去)国际化的背景下,对外撤资主要会对零售商的财务业绩产生负面影响。然后,我们借鉴组织学习理论,认为国外撤资对业绩的负面影响取决于:(a)先前撤资的国外业务的空间分散性(即跨国企业在特定时期内进行国外撤资的地理多样性程度);(b)先前撤资的国外业务的时间分散性(即先前撤资事件之间的时间间隔)。通过对 1997-2016 年这 20 年间一些最大零售跨国企业的面板研究,我们发现,海外撤资对零售商的后续业绩有负面影响。我们的研究结果还表明,零售商之前在空间上多样化、时间上分散的撤资经历有效地缓解了国外撤资对业绩的负面影响。
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来源期刊
CiteScore
10.00
自引率
12.50%
发文量
87
期刊介绍: The British Journal of Management provides a valuable outlet for research and scholarship on management-orientated themes and topics. It publishes articles of a multi-disciplinary and interdisciplinary nature as well as empirical research from within traditional disciplines and managerial functions. With contributions from around the globe, the journal includes articles across the full range of business and management disciplines. A subscription to British Journal of Management includes International Journal of Management Reviews, also published on behalf of the British Academy of Management.
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