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Investment motives, ownership advantages and institutional distance : An examination of Russian cross-border acquisitions. / Dikova, Desislava; Panibratov, Andrei; Veselova, Anna.

In: International Business Review, Vol. 28, No. 4, 08.2019, p. 625-637.

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@article{80a85b6a062f4a09b823fb4cb2ddbe6d,
title = "Investment motives, ownership advantages and institutional distance: An examination of Russian cross-border acquisitions",
abstract = "We apply the OLI framework, first, to examine the motives of Russian cross-border (CB) M&A activity in the period 2007–2013 and, second, to analyze the ownership preferences of Russian multinationals abroad. We test our first set of models using panel data of 322 country/year observations and the second set of models using cross-sectional firm-level data of 318 M&A deals. Our analysis shows that traditional investment motives provide a limited explanation of what attracts or deters Russian acquirers abroad. We extend our base-model to include institutional distance and find that it plays a critical role on Russian CB M&A activity. As a second step, we employ state ownership as a specific type of institutional ownership advantage and discover that partial state ownership discourages Russian firms from pursuing full-ownership in CB M&As. Moreover, Russian multinationals benefit from internalization advantages (full M&A ownership) in tandem with location advantages derived from natural resource endowments.",
keywords = "SCOPUS, internationalization, multinationals, outward foreign, SCOPUS, Acquisitions, Russian MNEs, Institutional distance, OLI framework, State-ownership, LOCATION CHOICE, DETERMINANTS, FDI OWNERSHIP, EMERGING MARKET FIRMS, CHINESE, MULTINATIONAL-ENTERPRISE, INTERNATIONALIZATION, RESOURCE DEPENDENCE, FOREIGN DIRECT-INVESTMENT, STATE OWNERSHIP",
author = "Desislava Dikova and Andrei Panibratov and Anna Veselova",
note = "Dikova, D. Investment motives, ownership advantages and institutional distance : An examination of Russian cross-border acquisitions / D. Dikova, A. Panibratov, A. Veselova // International Business Review. - 2019. – Volume N/A. – P. N/A.",
year = "2019",
month = aug,
doi = "10.1016/j.ibusrev.2018.12.007",
language = "English",
volume = "28",
pages = "625--637",
journal = "International Business Review",
issn = "0969-5931",
publisher = "Elsevier",
number = "4",

}

RIS

TY - JOUR

T1 - Investment motives, ownership advantages and institutional distance

T2 - An examination of Russian cross-border acquisitions

AU - Dikova, Desislava

AU - Panibratov, Andrei

AU - Veselova, Anna

N1 - Dikova, D. Investment motives, ownership advantages and institutional distance : An examination of Russian cross-border acquisitions / D. Dikova, A. Panibratov, A. Veselova // International Business Review. - 2019. – Volume N/A. – P. N/A.

PY - 2019/8

Y1 - 2019/8

N2 - We apply the OLI framework, first, to examine the motives of Russian cross-border (CB) M&A activity in the period 2007–2013 and, second, to analyze the ownership preferences of Russian multinationals abroad. We test our first set of models using panel data of 322 country/year observations and the second set of models using cross-sectional firm-level data of 318 M&A deals. Our analysis shows that traditional investment motives provide a limited explanation of what attracts or deters Russian acquirers abroad. We extend our base-model to include institutional distance and find that it plays a critical role on Russian CB M&A activity. As a second step, we employ state ownership as a specific type of institutional ownership advantage and discover that partial state ownership discourages Russian firms from pursuing full-ownership in CB M&As. Moreover, Russian multinationals benefit from internalization advantages (full M&A ownership) in tandem with location advantages derived from natural resource endowments.

AB - We apply the OLI framework, first, to examine the motives of Russian cross-border (CB) M&A activity in the period 2007–2013 and, second, to analyze the ownership preferences of Russian multinationals abroad. We test our first set of models using panel data of 322 country/year observations and the second set of models using cross-sectional firm-level data of 318 M&A deals. Our analysis shows that traditional investment motives provide a limited explanation of what attracts or deters Russian acquirers abroad. We extend our base-model to include institutional distance and find that it plays a critical role on Russian CB M&A activity. As a second step, we employ state ownership as a specific type of institutional ownership advantage and discover that partial state ownership discourages Russian firms from pursuing full-ownership in CB M&As. Moreover, Russian multinationals benefit from internalization advantages (full M&A ownership) in tandem with location advantages derived from natural resource endowments.

KW - SCOPUS

KW - internationalization

KW - multinationals

KW - outward foreign

KW - SCOPUS

KW - Acquisitions

KW - Russian MNEs

KW - Institutional distance

KW - OLI framework

KW - State-ownership

KW - LOCATION CHOICE

KW - DETERMINANTS

KW - FDI OWNERSHIP

KW - EMERGING MARKET FIRMS

KW - CHINESE

KW - MULTINATIONAL-ENTERPRISE

KW - INTERNATIONALIZATION

KW - RESOURCE DEPENDENCE

KW - FOREIGN DIRECT-INVESTMENT

KW - STATE OWNERSHIP

UR - http://www.scopus.com/inward/record.url?scp=85060159793&partnerID=8YFLogxK

U2 - 10.1016/j.ibusrev.2018.12.007

DO - 10.1016/j.ibusrev.2018.12.007

M3 - Article

VL - 28

SP - 625

EP - 637

JO - International Business Review

JF - International Business Review

SN - 0969-5931

IS - 4

ER -

ID: 36760589