These assumed benefits all need testing. The underlying research question is as follows. In the
context of international management, does knowledge about the relational capital inherent in local
linkages determine the benefits (or otherwise) that an MNC might derive from its foreign investments?
We might expect the trust that exists in business networks to be beneficial either because the
other parties genuinely care about a "trustor's" welfare, or it might exist from a more self-interested
view (Saparito, Chen, & Sapienza, 2004). These different motivations should influence the ability
to share and create knowledge within the network. Despite the growth of technology, face-to-face
contacts with foreign partners are still crucial in cultivating trust, providing access to the flow of
information within the network, and providing the opportunity to create new relationships (Dyer
& Chu, 2000). Nonetheless, brokering knowledge across these organizational boundaries and
These assumed benefits all need testing. The underlying research question is as follows. In thecontext of international management, does knowledge about the relational capital inherent in locallinkages determine the benefits (or otherwise) that an MNC might derive from its foreign investments?We might expect the trust that exists in business networks to be beneficial either because theother parties genuinely care about a "trustor's" welfare, or it might exist from a more self-interestedview (Saparito, Chen, & Sapienza, 2004). These different motivations should influence the abilityto share and create knowledge within the network. Despite the growth of technology, face-to-facecontacts with foreign partners are still crucial in cultivating trust, providing access to the flow ofinformation within the network, and providing the opportunity to create new relationships (Dyer& Chu, 2000). Nonetheless, brokering knowledge across these organizational boundaries and
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