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Spatial relativism in multinationality and performance research

Spatial relativism in multinationality and performance research PurposeThe purpose of this paper is to explore the largely marginalized role of distance or “space” in multinationality and performance (MP) research. It argues that scholars should adopt a more fine-grained, or relativistic approach when studying the link between MP and that conceptualizing multinationality as space may facilitate this.Design/methodology/approachBy treating space as though it is liability forming, the paper examines frequently contentious research issues in domain of MP research such as: how is multinationality measured; what are the moderating variables; and what is the performance metric appropriate, as a framework to help illustrate the relativistic nature of MP studies.FindingsThe paper illustrates that the choice of distance dimensions, along which the “space” is formed, alters the relationship between MP. Furthermore, this relationship is relative to moderating variables that include among others: when the space is measured (time), point of reference and perspective, the firm’s resources (e.g. human and technological capabilities), and the performance measure considered.Originality/valueThis paper suggests new avenues and approaches toward exploring the effects of multinationality to improve methodological rigor. It identifies several important methodological shortcomings of current and previous research and suggests areas in which current research gaps must be filled to advance this body of knowledge. It introduces the notion of spatial relativism as a concept that will facilitate more fine-grained and contextualized studies. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png American Journal of Business Emerald Publishing

Spatial relativism in multinationality and performance research

American Journal of Business , Volume 31 (4): 19 – Oct 3, 2016

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Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
1935-5181
DOI
10.1108/AJB-02-2016-0003
Publisher site
See Article on Publisher Site

Abstract

PurposeThe purpose of this paper is to explore the largely marginalized role of distance or “space” in multinationality and performance (MP) research. It argues that scholars should adopt a more fine-grained, or relativistic approach when studying the link between MP and that conceptualizing multinationality as space may facilitate this.Design/methodology/approachBy treating space as though it is liability forming, the paper examines frequently contentious research issues in domain of MP research such as: how is multinationality measured; what are the moderating variables; and what is the performance metric appropriate, as a framework to help illustrate the relativistic nature of MP studies.FindingsThe paper illustrates that the choice of distance dimensions, along which the “space” is formed, alters the relationship between MP. Furthermore, this relationship is relative to moderating variables that include among others: when the space is measured (time), point of reference and perspective, the firm’s resources (e.g. human and technological capabilities), and the performance measure considered.Originality/valueThis paper suggests new avenues and approaches toward exploring the effects of multinationality to improve methodological rigor. It identifies several important methodological shortcomings of current and previous research and suggests areas in which current research gaps must be filled to advance this body of knowledge. It introduces the notion of spatial relativism as a concept that will facilitate more fine-grained and contextualized studies.

Journal

American Journal of BusinessEmerald Publishing

Published: Oct 3, 2016

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