HCBE Faculty Articles
Market Performance Implications of Modularization: Evidence from Global Auto Firms Operating in China
ORCID
Belay Seyoum0000-0002-8527-6481
Document Type
Article
Publication Title
International Business Review
ISSN
0969-5931
Publication Date
8-2018
Abstract/Excerpt
Auto firms play an increasingly important role in national economies. However, their internationalization strategies, especially the trend towards modularization has been underexplored in the international business literature. Drawing on the resource based theory, we develop hypotheses on the link between modularization and market performance. Analyzing a sample of 262 auto parts suppliers in China, the study shows the positive influence of modularization on firm performance and the moderating role of knowledge sharing tools and physical proximity in this relationship. In addition, these relationships are channeled by firms’ strategic actions to maintain superior business performance against competitors (firm positional advantage).
DOI
https://doi.org/10.1016/j.ibusrev.2018.01.008
Volume
27
Issue
4
First Page
852
Last Page
866
NSUWorks Citation
Seyoum, Belay and Lian, Yunshan, "Market Performance Implications of Modularization: Evidence from Global Auto Firms Operating in China" (2018). HCBE Faculty Articles. 989.
https://nsuworks.nova.edu/hcbe_facarticles/989
