Diversification Strategy among Multinational Firms

• Main Authors: Yu-Shan Lu, 呂玉珊
• Other Authors: Shao-Chi Chang
• Format: Others
• Language: zh-TW
• Published: 2004
• Online Access: http://ndltd.ncl.edu.tw/handle/90387293915658443049

碩士 === 國立成功大學 === 國際企業研究所碩博士班 === 92 === 　　Theory suggests and previous results show that firm performance is initial positive but eventually levels off and becomes negative as the degree of international diversification increases. Theory also argues that product diversification can positively moderate the relation between international diversification and performance. Therefore, the main object of this research is to investigate whether diversification strategy can really create value for multinational companies. We use the diversification data from COMPUSTAT database during 1996~2002 as sample. 　　The empirical results find that the relationship between international diversification and performance is an inverted U shape, but we could not find signification evidence to support that product diversification can positively moderate the inverted U relation. Moreover, we find that related product diversification could more strongly moderate the relationship between international diversification and performance than unrelated product diversification.