Risk Reduction by International Diversification

Alan Rugman

Journal of International Business Studies, 1976, vol. 7, issue 2, 75-80

Abstract: It is possible for multinational firms to reduce the risk of their profits by engaging in foreign operations (F/T). Empirical rests show that the (F/T) variable is inversely related to risk after allowing for size, industry classification, and other factors. This implies that international diversification offers to a multinational firm significant risk reduction advantages that are not available to a nonmultinational.© 1976 JIBS. Journal of International Business Studies (1976) 7, 70–80

Date: 1976
References: Add references at CitEc
Citations: View citations in EconPapers (90)

Downloads: (external link)
http://www.palgrave-journals.com/jibs/journal/v7/n2/pdf/8490702a.pdf Link to full text PDF (application/pdf)
http://www.palgrave-journals.com/jibs/journal/v7/n2/full/8490702a.html Link to full text HTML (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:jintbs:v:7:y:1976:i:2:p:75-80

Ordering information: This journal article can be ordered from
http://www.springer. ... nt/journal/41267/PS2

Access Statistics for this article

Journal of International Business Studies is currently edited by John Cantwell

More articles in Journal of International Business Studies from Palgrave Macmillan, Academy of International Business
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().