Internationalization of Management Buyouts
19 Pages Posted: 17 Feb 2003
Date Written: February 2002 7,
Multivariate statistical analysis is utilized to explore the association between firm strategies, contributions made by venture capitalists and incentives for owners and employees and three exporting variables in a stratified random sample of 147 management buyouts and buyins. Firms focusing upon a diversified product/ service range and/or advertising were significantly more likely to be exporters. Firms focusing upon product/ service quality and financial efficiency and those with high proportions of employees receiving performance related pay were significantly less likely to be exporters. Manufacturing firms and firms focusing upon a diversified product/ service range and/or advertising were significantly more likely to report high percentages of sales exported. Variations in the proportion of sales exported over time were associated with strategies focused upon product/service quality and a diversified product/ service range.
Keywords: economic performance, internationalization, strategy, buy-outs, venture capital
JEL Classification: M, M10, L2, D21
Suggested Citation: Suggested Citation