Enhancing the Firm’s Value through International Joint Venture Portfolios: A Real Options Reasoning Perspective

• Main Authors: Min-Der Hsieh, 謝明德
• Other Authors: 趙義隆
• Format: Others
• Language: zh-TW
• Published: 2017
• Online Access: http://ndltd.ncl.edu.tw/handle/rmybu6

博士 === 國立臺灣大學 === 國際企業學研究所 === 106 === Growth option value varies widely across firms. This research explores international joint ventures (IJVs) as a source of firm heterogeneity in growth option value. This study use 79 business group and 227 focal firms. The sample period is from 1986 to 2016, the observations of which is 3,515. We argue that when the ownership structure of IJVs corresponds to that of growth options, firms will be motivated to pursue actions that increase firms’ growth option value, particularly when greater growth opportunities are available in emerging market. Results indicate that the ratios of emerging IJVs and the ratios of minority IJVs have a significant effect on growth option value. We also find support for a firm’s credit Risk would moderate the relationship between IJVs portfolios and growth option value. A partial interaction effect of resource concentration of business groups that would moderate the relationship between IJVs portfolios and growth option value. These findings highlight the critical role of IJVs portfolios in affecting firms’ realization of growth option value. We also discuss alternative explanations and implications.