Are Tradeoffs Inherent in Diversification Moves? A Simultaneous Model for Type of Diversification and Mode of Expansion Decisions

Published Online:https://doi.org/10.1287/mnsc.45.1.25

References

  • Amit Livnat, Zarowin P. The mode of corporate diversification: Internal ventures versus acquisitions. Managerial and Decisions Econom. (1989) 10:89–100CrossrefGoogle Scholar
  • Bentler P. M.EQS: Structural Equation Program Manual (1989) (BMDP, Los Angeles, CA) Google Scholar
  • Biggadike R. The risky business of diversification. Harvard Bus. Rev. (1979) 57(3):103–111Google Scholar
  • Chatterjee S., Blocher J. Measurement of firm diversification: Is it robust? Acad. Management J. (1992) 35(4):874–888CrossrefGoogle Scholar
  • Chatterjee S., Lubatkin M. Corporate mergers, stockholder diversification, and changes in systematic risk. Strategic Management J. (1990) 11:255–268CrossrefGoogle Scholar
  • Chatterjee S., Wernerfelt B. The link between resources and type of diversification: Theory and evidence. Strategic Management J. (1991) January:33–48CrossrefGoogle Scholar
  • Chatterjee S. The link between excess resources, transfer costs and mode of entry. Acad. Management J. (1990) December):780–800CrossrefGoogle Scholar
  • Christensen H. K., Montgomery C. A. Corporate economic performance: Diversification strategy versus market structure. Strategic Management J. (1981) 2:327–343CrossrefGoogle Scholar
  • Gaughan P. A.Mergers and Acquisitions (1991) (Harper Collins Publishers, New York) Google Scholar
  • Geneen H. S., Lamb R. The strategy of diversification. Competitive Strategic Management (1984) (Prentice Hall, New York) Google Scholar
  • Hennart J.-F., Park Y.-R. Greenfield vs. acquisition: The strategy of Japanese investors in the United States. Management Sci. (1993) 39(9):1054–1070LinkGoogle Scholar
  • Hoskisson R. E., Hitt M. E. Antecedents and performance outcomes of diversification: A review and critique of theoretical perspectives. J. Management (1990) 16(2):461–509CrossrefGoogle Scholar
  • Hoskisson R. E., Hitt M. E., Johnson R. A., Mosel D. Construct validity of an objective (entropy) categorical measure of diversification strategy. Strategic Management J. (1993) 14(3):215–235CrossrefGoogle Scholar
  • Hoskisson R. E., Johnson R. A. Corporate restructuring and strategic change: The effect on diversification and R&D intensity. Strategic Management J. (1992) 13:625–634CrossrefGoogle Scholar
  • Kochar R., Hitt M. A. Linking corporate strategy to capital structure: Diversification strategy, type and source of financing. Strategic Management J. (1998) 13:625–634Google Scholar
  • Lamont B. T., Anderson C. Mode of corporate diversification, structure, and economic performance. Acad. Management J. (1985) 28:926–934CrossrefGoogle Scholar
  • Lubatkin M., Chatterjee S. The strategy-shareholder value relationship: Testing temporal stability across market cycles. Strategic Management J. (1991) 12(4):251–270CrossrefGoogle Scholar
  • Mahoney J. T., Pandian J. R. The resource-based view within the conversation of strategic management. Strategic Management J. (1992) 13(June):363–380CrossrefGoogle Scholar
  • Montgomery C. A. Diversification strategy and systematic risk. Strategic Management J. (1984) 5(2):181–191CrossrefGoogle Scholar
  • Montgomery C. A., Hariharan S. Diversified entry by established firms. J. Econom. Behavior and Organ. (1991) 15:71–89CrossrefGoogle Scholar
  • Myers S., Majluf N. S. Stock issues and investment policy when firms have information that investors do not have. J. Financial Econom. (1984) 13:187–222CrossrefGoogle Scholar
  • Palepu K. Diversification strategy, profit performance and the entropy measure. Strategic Management J. (1986) 6:239–255CrossrefGoogle Scholar
  • Pitts R. A. Toward a contingency theory of multibusiness organization design. Acad. Management J. (1980) 5:203–210Google Scholar
  • Roberts E. B., Berry C. A. Entering new businesses: Selecting strategies for success. Sloan Management Rev. (1985) Spring):3–17Google Scholar
  • Simmonds P. G. The combined diversification breadth and mode dimensions and the performance of large diversified firms. Strategic Management J. (1990) 11:399–410CrossrefGoogle Scholar
  • Song J. Diversification strategies and the experience of top executives of large firms. Strategic Management J. (1982) 3:377–380CrossrefGoogle Scholar
  • Steiner P.Mergers (1975) (University of Michigan Press, Ann Arbor, MI) Google Scholar
  • Teece D. J. Towards an economic theory of the multi product firm. J. Econom. Behavior and Organ. (1982) 3:39–63CrossrefGoogle Scholar
  • Wilson B. The propensity of multinational companies to expand through acquisitions. J. Internat. Bus. Stud. (1980) 11:59–65CrossrefGoogle Scholar
  • Yip G. S. Diversification entry: Internal development versus acquisition. Strategic Management J. (1982) 3:331–345CrossrefGoogle Scholar
  • Zezan M. New ventures or acquisitions: The choice of Swedish multinational enterprises. J. Indust. Econom. (1990) 38:349–355CrossrefGoogle Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.