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The effect of regulative and normative distances on MNE ownership and expatriate strategies (1).

Management International Review,  July, 2004  by Beamish, Paul W.

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Abstract * Researchers have used cultural distance to explain strategic and operational control mechanisms of the multinational enterprise, yet the construct has failed to yield consistent results. * This study proposed two new measures of country differences, regulative and normative distances, from an institutional perspective, and examined their effect on MNE ownership and expatriate strategies.

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Key Results * Larger regulative and normative distances were associated with a lower level of equity ownership and smaller presence of expatriates for over 2000 ...

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