The last two decades have witnessed substantial scholarly intere st in corporate boards, yetlittle research has been devoted to boards of international joint ventures (IJVs). We combinethe corporate governance and alliance governance literatures in order to study this importantex post governance mechanism for IJVs. We identify a fundamental tension inherent in IJVs,which arises from the unique features of this organizational form and influences the level ofinvolvement by their boards. International joint ventures are hybrid organizational forms that canrequire administrative control to facilitate monitoring and coordinated adaptation in the presenceof exchange hazards. At the same time, the fact that IJVs operate in different host countriescan make it efficient to delegate authority to local management for certain collaborations. Ininvestigating the determinants of IJV board involvement, we therefore examine characteristics ofIJVs that reflect this underlying tension. We conclude that board involvement reflects efficiencyconsiderations in individual ventures, and the administrative control provided by boards is animportant dimension of IJV governance.

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doi.org/10.1002/smj.2173, hdl.handle.net/1765/77788
ERIM Top-Core Articles
Strategic Management Journal
Rotterdam School of Management (RSM), Erasmus University

Reuer, J., Klijn, E., & Lioukas, C. (2014). Board involvement in international joint ventures. Strategic Management Journal, 35(11), 1626–1644. doi:10.1002/smj.2173