Greenfield joint ventures versus partial acquisitions: determinants of collaborative entry strategies of Finnish multinational enterprises.

This book chapter analyzes the determinants of collaborative entry strategies (i.e. greenfield JV or partial acquisition) of multinational enterprises (MNEs). It is one of the first studies to specifically address the determinants of collaborative entry strategy using multiple theoretical lenses. Past studies have generally concentrated on either establishment mode or ownership mode strategies of MNEs; thereby ignoring the specific aspects of collaborative entry strategies. Our paper theoretically enriches IB literature by integrating arguments from TCE, RBV and institutional perspectives to hypothesize determinants of collaborative entry strategies at firm, industry and country level. The empirical part of our paper is based on 670 collaborative market entries made in host economies across globe by Finnish MNEs. A key feature of the empirical analysis is in-depth analysis offered by dividing sample into subsamples based on emerging vs. developed economies, investments made during different time periods, as well as level of equity ownership of Finnish MNEs at time of investment (minority, equal and majority ownership). This in-depth analysis revealed importance of different determinants in different contexts; thereby offering useful insights for managerial practices.