Abstract

A study examined the relationships among international diversity, product diversity, and firm performance. For a sample of large American industrial multinational enterprises (MNE), it showed a consistent quadratic relationship between product diversification and MNE performance but minimal performance differences across different measures of international diversity. Analysis of the interactions of international diversity and product diversity indicates a weak effect from increasing internationalization on the performance effect of product diversity.

Document Type

Article

Publication Date

1996

Publisher Statement

Copyright Academy of Management Feb 1996

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