In an increasingly turbulent global economic environment, companies are searching for winning ways of doing business internationally. One frequently discussed type of business is the joint venture. In this article, we argue that the likelihood of success for an international joint venture increases when both partners are family-owned businesses. These firms have shared values and goals that enable them to bridge cultural barriers more effectively than publicly held corporations.
Get full access to this article
View all access options for this article.
References
1.
Barry, B.“The Development of Organization Structure in the Family Firm.”Family Business Review, 1989, 2 (3), 293–326.
2.
Chau, T. T.“Approaches to Succession in East Asian Business Organizations.”Family Business Review, 1991, 4 (2), 161–179.
3.
Davis, J. A., and Tagiuri, R.“Bivalent Attributes of the Family Firm.” In C. E. Aronoff and J. L. Ward (eds.), Family Business Sourcebook. Detroit: Omnigraphics, 1991.
4.
Davis, P.“Facing Up to the Perils of Patriarchy.”Family Business, July-August 1990, pp. 12–13.
5.
Davis, S. M.“Entrepreneurial Succession.”Administrative Science Quarterly, 1968, 13, 402–416.
6.
Dawson, L. M.“Marketing to Less Developed Countries.”Journal of Small Business Management, 1985, 23 (4), 13–19.
7.
Donckels, R., and Frohlich, E.“Are Family Businesses Really Different? European Experiences from STRATOS.”Family Business Review, 1991, 4 (2), 149–160.
8.
D'Souza, D. E., and McDougall, P. P.“Third World Joint Venturing: A Strategic Option for the Smaller Firm.”Entrepreneurship Theory and Practice, 1989, 13 (4), 19–33.
9.
Dymsza, W. A.“Successes and Failures of Joint Ventures in Developing Countries: Lessons from Experience.” In F. J. Contractor and P. Lorange (eds.), Cooperative Strategies in International Business. Lexington, Mass.: Lexington Books, 1988.
10.
Gallo, M. A.The Family Business in the Spanish Economy. Research Report, IESE, Universidad de Navarra, Barcelona, Spain, 1988.
11.
Gallo, M. A., and Sveen, J.“Internationalizing the Family Business: Facilitating and Restraining Factors.”Family Business Review, 1991, 4 (2), 181–190.
12.
“India: Puppies and Consumer Boomers.”Time, Nov. 13, 1989, p. 53.
13.
Kogut, B., and Singh, H.“The Effect of National Culture on the Choice of Entry Mode.”Journal of International Business Studies, 1988, 19 (3), 411–432.
14.
Lansberg, I.“The Succession Conspiracy.”Family Business Review, 1988, 1 (2), 119–143.
15.
Lansberg, I., and Perrow, E.“Understanding and Working with Leading Family Businesses in Latin America.”Family Business Review, 1991, 4 (2), 127–147.
16.
Lei, D.“Strategies for Global Competition.”Long-Range Planning, 1989, 22 (1), 102–109.
17.
McCollom, M. E.“Integration in the Family Firm: When the Family System Replaces Controls and Culture.”Family Business Review, 1988, 1 (4), 399–417.
18.
“Small Businesses: The Tails of Capitalism Are Wagging.”Business Week, Jan. 14, 1985, p. 55.
19.
Swinth, R. L., and Alexander, A.“Small Business and Third World Development: International Joint Ventures.” Working paper, Montana State University, Bozeman, 1989.
20.
Terpstra, V., and David, K.The Cultural Environment of International Business. (2nd ed.) Cincinnati: South-Western, 1985.
21.
Ward, J. L., and Aronoff, C. E.“Trust Gives You the Advantage.”Nation's Business, August 1991, pp. 42–44.