Factors affecting international joint venture success : an empirical analysis of foreign–local partner relationships and performance in joint ventures in Turkey

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Demirbag, Mehmet and Mirza, Hafiz (2000) Factors affecting international joint venture success : an empirical analysis of foreign–local partner relationships and performance in joint ventures in Turkey. International Business Review, 9 (1). pp. 1-35. ISSN 0969-5931 (http://dx.doi.org/10.1016/S0969-5931(99)00027-X)

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Abstract

This article discusses inter-partner relationships and their impact on joint venture performance. It explores the changes in the nature of relationships (conflict, commitment, co-operation, trust) which have important implications for the continuity and performance of partnerships. In doing so, it identifies the potential areas of co-operation and conflict, due to both partners' overlapping interests, and establishes constructs which help explain conflict, commitment and other soft dimensions of joint venture operations. Based on previous studies, this article develops a framework within which inter-partner relations (conflict, commitment, trust, co-operation, and autonomy) are empirically examined. The article also establishes performance constructs for joint venture organisations. Finally, it develops a dynamic model of inter-partner relations and performance which indicates the causal connections between conflict, commitment, control, inter-partner co-operation and performance.

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