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Is Dunning's Eclectic Framework Descriptive Or Normative?

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Abstract

Can Dunning's OLI (Ownership, Location, Internalization) framework be used to predict the best performing international entry modes or merely the most commonly selected modes? Using data from German and Dutch firms investing in Central and Eastern Europe, we investigate the relationship between Dunning's OLI variables, entry mode selection and managerial satisfaction with firm performance. We found empirical support for Dunning's framework as both a descriptive and a normative model.

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*Lance Eliot Brouthers (Ph.D., University of Florida) is an associate professor in the Division of Management and Marketing at the University of Texas at San Antonio.

**Keith D. Brouthers (DBA, U.S. International University) is a Reader in Strategic and International Management at the University of East London, U.K.

***Steve Werner (Ph.D., University of Florida) is an associate professor in the Department of Management at the University of Houston

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Brouthers, L., Brouthers, K. & Werner, S. Is Dunning's Eclectic Framework Descriptive Or Normative?. J Int Bus Stud 30, 831–844 (1999). https://doi.org/10.1057/palgrave.jibs.8490842

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  • DOI: https://doi.org/10.1057/palgrave.jibs.8490842

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