The Effect of Internationalization on Firm Performance: A Moderating Role of Heterogeneity in TMTs’ Nationality

Sujin Song, Seoki Lee

Research output: Contribution to journalArticlepeer-review

1 Scopus citations

Abstract

The effect of internationalization on firm performance has been investigated in the hospitality literature in a relatively extensive manner. However, the literature has still provided mixed findings. Furthermore, the moderating role of top management teams (TMTs) on the relationship between internationalization and firm performance has not been explored yet in the hospitality literature. Considering the increasing importance of internationalization in the hospitality industry and a significant role of TMTs in implementing this internationalization, this study performs a comprehensive examination on the effect of internationalization on firm performance using three different internationalization measures (i.e., degree, diversification, and speed) and three different performance measures (i.e., Tobin’s q, return on assets, and international returns). This study also tests the moderating role of heterogeneity in TMTs’ nationality based on the upper echelons theory, employing hierarchical linear modeling (HLM) to test the proposed hypotheses.

Original languageEnglish (US)
Pages (from-to)482-497
Number of pages16
JournalCornell Hospitality Quarterly
Volume62
Issue number4
DOIs
StatePublished - Nov 2021

All Science Journal Classification (ASJC) codes

  • Tourism, Leisure and Hospitality Management

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