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Boundaries of the Firm: Insights From International Entry Mode Research

Keith D. Brouthers

King's College London, University of London, 150 Stamford St., London SE1 9NH, United Kingdom, keith.brouthers{at}kcl.ac.uk

Jean-François Hennart

Department of Organization and Strategy, Tilburg University, P.O. Box 90153, 5000 LE Tilburg, the Netherlands

Deciding on the boundaries of a firm as it expands abroad is a critical decision for managers. Despite the rapid growth in research addressing this issue, many questions remain unanswered. In this article, the authors review the international entry mode choice literature, identify weaknesses and shortcomings, and provide suggestions on how researchers can add to the knowledge of mode choice and help managers make better international boundary decisions.

Key Words: transaction cost • resource-based view • institutional theory • entry mode choice • strategic decision making

Journal of Management, Vol. 33, No. 3, 395-425 (2007)
DOI: 10.1177/0149206307300817
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