We study the relationship between a multinational corporation (MNC) and a domestic firm under demand uncertainty. The MNC possesses a superior production technology, but the domestic firm is better at predicting market demand. We examine the MNC’s preference for, and the ownership structure...

We analyse the formation of an international joint venture (IJV) between a multinational corporation (MNC) and a domestic firm with double-sided moral hazard. The MNC can imperfectly adapt a superior production technology, and the domestic firm can reduce set-up costs, for the IJV. We examine...

We study the relationship between a multinational corporation (MNC) and a domestic firm under demand uncertainty. The MNC possesses a superior production technology, but the domestic firm is better at predicting market demand. We examine how the MNC's preference for, and the ownership structure...

We analyze the formation of an export-oriented international joint venture (IJV) between a multinational corporation (MNC) and a domestic firm under demand uncertainty and in a principal-agent framework. The MNC possesses a superior production technology and is better at predicting foreign...