Abstract This study seeks to understand the adverse impact of related party transactions (RPTs) on the internationalization of emerging economy firms. The study further explores how a firm’s ownership structure… Click to show full abstract
Abstract This study seeks to understand the adverse impact of related party transactions (RPTs) on the internationalization of emerging economy firms. The study further explores how a firm’s ownership structure moderates the relationship between RPT and internationalization. Based on a sample of 367 Indian manufacturing firms, the study finds that RPTs have a negative influence on internationalization. Business group ownership is found to strengthen the negative relationship between RPTs and internationalization, whereas foreign shareholding weakens this relationship.
               
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