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Failures and foreign divestment in a broader context of corporate international business strategy : The case study of foreign divestments by MNCs in retail industry.Chkhartishvili, Georgy January 2014 (has links)
An important problem in present academic research on foreign divestment is to understand how foreign divestments fit in a concept of international business strategy. The purpose of this paper is to research if characteristics of foreign divestment differ according to the corporate international business strategy and if so what these differences are.This paper is unique of its kind because cases presented here have never been mentioned in any academic literature before. In this paper I am using case study method in order to compare characteristics of foreign divestment experienced by two MNCs pursuing two opposite international business strategies.The results of the paper are inline with previous suggestions in the academic literature on foreign divestment. It was proved that international business strategy affects the characteristics of foreign divestment. These results were proved using comparable analysis of case studies. Analysis of the findings shows that differences in foreign divestment characteristics exist in dependence of corporate international business strategy. This paper also describes these differences and draws propositions for further research in the topic.The implications of this research are of particular interest both in practical and theoretical terms. Practically, results of the study can contribute to building better planning and predictive models of foreign divestments. Theoretically, results of the paper can be seen as a contribution to understanding and more detailed definition of relationships between international business strategy and foreign divestments.
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