(The) Effect of Entry Timing on Foreign Subsidiary Survival and Growth : An Empirical Study of Korean Firms in China = 진입시점은 해외자회사의 생존과 생장에 미치는 영향 : 한국기업은 대중국투자에 관한 실증연구

다국어 초록 (Multilingual Abstract)

Although there has been much earlier research conducted on entry timing and performance, the studies have had their limitations.
Firstly, most of the earlier studies used measures such as market share or subsidiary profitability, but many neglected to control for a survival bias. In this paper we check the effect of entry timing on survival and subsidiary growth.
Second, most of the earlier empirical studies on survival were based on American and western European firms. Because these countries are very developed and have well established industries structure and business environments, the results do not necessarily apply to Asian countries that have unique cultures, business environments and developing economies. Since the previous studies findings are limited in their scope, empirical research on survival in Asia is required.
In addition to the shortcomings already mentioned, several of the earlier studies used technology-based asset advantage as a moderator in the relationship between entry timing and performance, but these studies ignored other factors that could play an important role. Firm-level variables can provide important strategic resources in foreign market entry, and help the firm in risk reduction.
This paper tries to study the effect of entry timing on subsidiary survival and growth with firm-level advantages as moderators.
Using a sample of 173 Korean FDI firms in China, the paper uses two regression models to develop and test hypotheses about firm-level advantage moderators of entry timing's influence on a subsidiary's growth and survival.
The results show that early entry brings a higher long-term growth but has a lower survival likelihood than late entry. The magnitude of these effects depends on the type of firm-level advantages of a foreign investing firm possesses.
First, when we use technology-based asset advantage as the moderator to check the effect of entry timing on survival and growth, the results show that it has positive influence on growth and survival, and early entrants with high technology-based asset advantage would be survived and get high sale growth in foreign entry.
Second, if we use marketing intensity as the moderator, the results show that it can not ensure early entrants to get the high growth in local market, but very high marketing intensity may cause failure when a firm goes abroad to expand new market.
Third, we use firm size as the moderator, the results show that firm size has positive relationship with the subsidiary survival. But it is not clear for the relationship between firm size and subsidiary growth.

국문 초록 (Abstract)

지금까지 학자들은 해외자회사의 성과에 대한 연구를 많이 해 왔다. 하지만 선행연구를 살펴보면 아래와 같은 한계점이 있다.
첫째, 많은 선행연구에서 성과에 대한 측정할 때 항상 시장 점유율, 자회사의 이익소득 과 매출액 생장 3가지 변수를 이용해서 분석했고 자회사 생존 여부에 관한 문제 무시했다. 사실은 해외자회사 생존해야 그의 생장에 대한 연구만 이익적일 수 있다. 그래서 본 연구에서 생존과 생장 2가지 변수 분석한다.
둘째, 선행연구는 주로 미국, 유럽 등 선진국 투자국 아니면 피 투자국 대상으로 연구했다. 선진국 같은 경우는 완벽한 사회, 문화 와 경제체계를 제정했기 때문에 북미와 유럽을 바탕으로 실증연구 결과는 전 세계 적으로 적용할 수 없다.
셋째, 기술우위 조절변수로써 진입시점은 자회사의 성과에 미치는 영향에 대한 연구 많이 했지만 다른 중요한 변수 조절변수로써 연구하는 것은 많이 않다.
그래서 본 연구는 회사적 변수 조절변수로써 한국기업 대중국투자의 진입시점은 자회사의 생존과 생장에 미치는 영향을 연구한다. 173개 중국에 투자한 한국기업을 표본으로 의해서 2가지 회귀분석 방법을 이용해서 분석한다.
이런 분석을 통해서 얻은 결과는 선발진입자가 자회사 장기적인 생장을 유지할 수 있지만 생존가능성 후발진입자보다 낮다. 이런 관계가 조절변수에 따른 다를 수 있다.

목차 (Table of Contents)

• 1. INTRODUCTION = 1
• 2. LITERATURE REVIEW = 4
• A. Entry timing strategy = 4
• 1) First-mover advantage = 4
• 2) Late-mover advantage = 6
• B. Resource-based view = 7
• 3. MODEL AND HYPOTHESIS = 10
• A. Entry timing and survival = 10
• B. Entry timing and subsidiary growth = 12
• C. The moderating effect of firm-level advantage = 14
• 1) Technology-based asset advantage = 16
• 2) market intensity = 17
• 3) firm size = 17
• D. Hypotheses = 19
• 1) Entry timing = 19
• 2) Technology-based asset advantage = 22
• 3) market intensity = 25
• 4) firm size = 26
• 4. RESEARCH METHODOLOGY = 30
• A. Data collection = 30
• B. Variables = 32
• 1) Dependent variables = 32
• 2) Independent variable = 34
• 3) Moderate variables = 35
• C. Statistical methods = 36
• 5. RESULTS AND DISCUSSION = 37
• A. Descriptive analysis = 37
• B. Correlation analysis = 38
• C. Multiple regression analysis = 39
• D. Logistic regression analysis = 42
• E. Discussion = 45
• 6. CONCLUSION = 48
• A. Conclusions = 48
• B. Limitations and Suggestions for future research = 49
• REFERENCES = 51
• ABSTRACT in KOREAN = 68
• APPENDIX = 69