Expatriate Managers, Product Relatedness, and IJV Performance: A Resource and Knowledge-based Perspective

Drawing from the resource and knowledge-based perspectives, we examine the role expatriates play as a critical managerial resource within the multinational's international joint-venture (IJV). By using a large sample (3772 IJV annual performance years) of Japanese IJVs in the USA from 1991 to 2001, we find that expatriate deployment shows a curvilinear (inverted-U) relationship with IJV performance. Further, this relationship is positively moderated by product relatedness between the parent and the IJV.