Asset specificity and complementarity and MNE ownership strategies : The role of institutional distances

Research output: Journal Publications and Reviews (RGC: 21, 22, 62)21_Publication in refereed journal

3 Scopus Citations
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  • Yuanyuan Zhang
  • Weiguo Zhong
  • Na Wen
  • Dequan Jiang

Related Research Unit(s)


Original languageEnglish
Pages (from-to)777-785
Journal / PublicationIndustrial Marketing Management
Issue number5
Online published11 Jun 2014
Publication statusPublished - Jul 2014


This study integrates transaction cost economics and institutional theory to propose a contingency model of multinational enterprises' design of ownership control. We posit that asset specificity and complementarity influence the design of ownership control, which is further affected by the institutional environment. Furthermore, we argue that regulatory distance and normative distance display differentiating moderations on the main effects. Regulatory distance strengthens the positive effect of asset specificity on ownership control while normative distance enhances the negative effect of asset complementarity on ownership control. © 2014 Elsevier Inc.

Research Area(s)

  • Asset complementarity, Asset specificity, Normative distance, Ownership strategies, Regulatory distance