New Methods for Ex Post Evaluation of Regional Grouping Schemes in International Business Research: A Simulated Annealing Approach

Paul M. Vaaler, Ruth V. Aguilera, Ricardo Flores

Research output: Chapter in Book/Report/Conference proceedingChapter

5 Scopus citations

Abstract

International business research has long acknowledged the importance of regional factors for foreign direct investment (FDI) by multinational corporations (MNCs). However, significant differences when defining these regions obscure the analysis about how and why regions matter. In response, we develop and empirically document support for a framework to evaluate alternative regional grouping schemes. We demonstrate application of this evaluative framework using data on the global location decisions by US-based MNCs from 1980 to 2000 and two alternative regional grouping schemes. We conclude with discussion of implications for future academic research related to understanding the impact of country groupings on MNC FDI decisions.

Original languageEnglish (US)
Title of host publicationResearch Methodology in Strategy and Management
EditorsDavid Ketchen, Donald Bergh
Pages161-190
Number of pages30
DOIs
StatePublished - 2007

Publication series

NameResearch Methodology in Strategy and Management
Volume4
ISSN (Print)1479-8387

Bibliographical note

Funding Information:
Please contact Paul M. Vaaler regarding this paper. We thank Arash Mahdian and Reza Etebari for research assistance. We thank Howard Guenther and the UIUC Research Board for financial support. All remaining errors are ours.

Copyright:
Copyright 2008 Elsevier B.V., All rights reserved.

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