Heterogeneity in top management teams and outward foreign direct investment: evidence from Chinese listed companies

Cao, Xuebing

doi:10.1186/s11782-019-0063-0

Heterogeneity in top management teams and outward foreign direct investment: evidence from Chinese listed companies

Cao, Xuebing

Authors

Xuebing Cao x.cao@keele.ac.uk

Abstract

Drawing upon the knowledge-based view and team learning, we investigated how heterogeneity in top management teams (TMTs) in China influences global expansion strategies. Using panel data from Chinese listed firms from 2008 to 2014, we found that TMT functional background heterogeneity could positively affect firms’ commitment to outward foreign direct investment (OFDI), as the diversification of TMT members can enrich the team’s knowledge, facilitate efficient team learning, and enhance the decision-making capacity on overseas expansion. However, tenure heterogeneity may hinder knowledge acquisition and team learning among TMT members, hence undermining firms’ OFDI commitment.

Journal Article Type	Article
Acceptance Date	Jul 23, 2019
Publication Date	Sep 26, 2019
Journal	Frontiers of Business Research in China
Print ISSN	1673-7326
Publisher	Brill Academic Publishers
Peer Reviewed	Peer Reviewed
Volume	13
Article Number	16
Pages	16 - 16
DOI	https://doi.org/10.1186/s11782-019-0063-0
Publisher URL	http://doi.org/10.1186/s11782-019-0063-0