Abstract
A large and robust emperical literature demonstrates that there is a strong relationship between the performance of a multinational enterprise (MNE) and its degree of multinationality. We develop a new metric to capture the return on foreign assets (ROFA), which we use as an alternative metric to return on total assets (ROTA) as a dependent variable representing performance. We find a significant S-shaped realtion between ROFA and the degree of multinationality across a large set of UK firms.
| Original language | English |
|---|---|
| Title of host publication | The Multinational Business Review |
| Pages | 123-142 |
| Number of pages | 20 |
| Volume | 17 |
| Publication status | Published - 2009 |