Martín Martín, Óscar
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Martín Martín
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Óscar
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Gestión de Empresas
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INARBE. Institute for Advanced Research in Business and Economics
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Publication Open Access Country distance (COD): development and validation of a new objective measure(Wiley, 2014) Martín Martín, Óscar; Drogendijk, Rian; Gestión de Empresas; Enpresen KudeaketaWe propose a multidimensional and objective measure, Country Distance (COD), as a comprehensive measure of distance between countries. Although the literature has called for a measure like this, in particular to support international decision-making by SMEs, the research carried out so far has relied on measures of limited focus. We use Partial Least Squares (PLS) to develop the COD index and investigate the relative importance of its three dimensions: socio-economic development, physical, and cultural and historical distance. We externally validate the measure in an analysis of the international market selection decisions of a sample of SMEs and country-level export flows.Publication Open Access Relevant dimensions and contextual weights of distance in international business decisions: evidence from Spanish and Chinese outward FDI(Elsevier, 2015) Drogendijk, Rian; Martín Martín, Óscar; Gestión de Empresas; Enpresen KudeaketaWe investigate how distance and different dimensions of distance between countries explain the outward FDI of firms according to distinct home country contexts. We identify three important dimensions of country distance: socio-economic development distance, cultural and historical distance and physical distance. We then empirically explore whether these dimensions receive different weights when explaining the location of FDI depending on its origin by comparing the outward FDI of China and Spain using partial least squares-based structural equations modelling (SEM-PLS). We find that although country distance significantly explains the FDI of both countries, the weights of the three dimensions of distance depend on the home country context. More specifically, we find that all three dimensions of distance explain the direction of Spanish investments, whereas only cultural and historical distance significantly explains Chinese outward FDI. Our research advances the understanding of distance between countries, the dimensions of distance, and how context influences the impact of the dimensions of distance.Publication Open Access Country distance: an objective measure and its impact on international market selection(AIB Executive Secretariat, 2008) Drogendijk, Rian; Martín Martín, Óscar; Gestión de Empresas; Enpresen KudeaketaWe develop a construct, country distance, which we define as the objective differences between countries and that can be measured using secondary information sources. Our research advances understanding of country distance and its dimensions, and the impact thereof on market selection decisions. The results of our empirical study on a sample of 170 Spanish SMEs and 99 potential export markets support the hypothesis that larger country distance negatively impacts IMS. The main implication of our findings, however, is that country distance can be measured using a multidimensional and comprehensive set of reliable and valid constructs, all based on objective data. We further provide insights into the differential weights of dimensions of country distance in the context of our sample: more than physical distance, socio-economic factors and cultural and historical linkages determine country distance and its impact on IMS.