only invest overseas but may also invite foreign partners to join them in a cooperative venture Keywords: cultural distance; alliance; direction of investment *Correspondence to: Seung-Hyun Lee, University of Texas at Dallas, School of Management, Box 830688, SM 43, Richardson, TX 75083-0688, U.S.A. E-mail: lee.1085@utdallas.edu Copyright 2008 John Wiley & Sons, Ltd. within their own domestic market. The domestic market is the country in which the focal firm is originally established, and where…
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