Akdeniz Examines How Globalization Gaps Can Make or Break International Partnerships

Amid rising global tensions fueled by protectionist trade policies, increased tariffs, and a resurgence of economic nationalism, new research by Billur Akdeniz, professor of marketing, and her co-authors offers timely insights.  

Their recently published study in International Business Review explores how differences in globalization exposure—across economic, political, and social dimensions—between partner firms can affect the success or early termination of international joint ventures (IJVs).

While IJVs have long been a strategic mechanism for firms to enter foreign markets, a stark divide marks today's landscape: some countries retreat into isolationism, while others aim to deepen their integration into the global economy.  

Based on 24,957 IJVs formed across over 50 countries, empirical evidence suggests that differences between countries that enhance learning and cooperation are beneficial, and that the host country's economic development moderates the impact of these differences.  

The findings underscore the need for firms to move beyond simple “distance” metrics and adopt a granular, context-sensitive approach to their international collaboration efforts. The link to the paper can be found here