JOURNAL OF MANAGEMENT POLICY AND PRACTICE
How to Determine Subsidiary Performance
Based on the Internationalization Strategy
Author(s): Jase R. Ramsey, Bernardo R. Bahia
Citation: Jase R. Ramsey, Bernardo R. Bahia, (2013) "How to Determine Subsidiary Performance
Based on the Internationalization Strategy," Journal of Management Policy and Practice, Vol. 14, Iss. 1, pp. 11 - 18
Article Type: Research paper
Publisher: North American Business Press
Abstract:
While international subsidiary performance is a principal outcome variable for practitioners and
academics alike, there is relatively little consensus on how it should be measured. After evaluating prior
efforts to measure foreign performance, the notion that firms should select different measures of
performance based on each subsidiary’s internationalization strategy is proposed. Three testable
propositions suggest different weightings of the financial, operational, and overall effectiveness
dimensions based on five internationalization strategies.