THE INFLUENCE OF POWER, LEARNING, AND CONFLICT ON THE INTERNALIZATION OF INTERNATIONAL JOINT VENTURES.

The article discusses research relating to the influence of power, learning, and conflict on international joint ventures. The research indicates that conflict between parent companies plays an indirect role as to whether ventures become wholly-owned subsidiaries and which partner (local or foreign) gains control. An imbalance in power between the parents over the venture does not independently influence the stability of the venture. When combined with high levels of conflict between the parents, the international joint venture is more likely to convert to a wholly-owned subsidiary.