Conventional explanations of diversification and multinationality both point to size/growth related motives and firm-specific intangible assets as the driving forces. However, previous empirical studies have rarely exploited this commonality by investigating multinationality and diversification...

This paper provides empirical evidence on how EU leading firms adjusted to European economic integration with respect to the following strategic variables: entry/exit decisions in the product/geographic space (diversification/multinationality). A novel dataset, including detailed information on...