Abstract
Purpose This study analyzes the effect of partner fit between international joint venture (IJV) partners on IJV performance as a nonlinear relationship. Design/Methodology/Approach A survey was conducted on international joint venture companies belonging to the manufacturing industry in Korea formed between Korean and foreign companies, and multiple regression analysis was conducted. Findings As a result of empirical analysis, it was confirmed that there was an inverted U-shape relationship between partner fit and IJV performance. Research Implications This study suggest that partner fit has a positive effect on IJV performance to a certain level, but excessive partner fit may lead to a decline in IJV performance because over-embeddedness hinders new learning and innovation between partners.
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