Internationalization and firm performance

Napaporn Likitwongkajon, Chaiporn Vithessonthi

Research output: Contribution to journalArticleResearchpeer-review

4 Citations (Scopus)

Abstract

We argue that industry competition and industry innovation intensity exert an influence on the relation between a firm's internationalization and performance. Using a large panel sample consisting of publicly listed nonfinancial firms in 27 European countries from 1990 to 2016, we document that internationalization is negatively associated with operating performance and firm value. The negative effects of internationalization on operating performance and firm value vary depending on the degree of industry competition or industry innovation intensity. These results imply that industry conditions moderate the effects of internationalization on operating performance and firm value.

Original languageEnglish
Article number100753
Number of pages29
JournalGlobal Finance Journal
Volume56
DOIs
Publication statusPublished - May 2023
Externally publishedYes

Keywords

  • Europe
  • Firm performance
  • Industry competition
  • Industry innovation intensity
  • Internationalization
  • Strategy

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