Bounded Reliability and the termination of international joint ventures–insights from the Mid-Med Bank, 1975–1979

Lu, Qing

Abstract

In the late twentieth century, the international joint venture (IJV) became an increasingly important yet unstable organisational form of international business. Based on insights provided by the Mid-Med Bank of Malta during the period 1975-1979, this article argues that the unanticipated termination of IJVs has endogeneity due to the bounded reliability of their partners’ decision makers, developed from the formative stage and influenced by inter/intra organisational relationships along the evolution of the IJVs. The findings thus contribute to our understanding of the nature of bounded reliability, contractual governance and the bargaining process.

Citation

Lu, Q. (2021). Bounded Reliability and the termination of international joint ventures–insights from the Mid-Med Bank, 1975–1979. Business history, 63(2), 205-224. https://doi.org/10.1080/00076791.2018.1552679

• Journal Article Type: Article
• Acceptance Date: Nov 25, 2018
• Online Publication Date: Jan 15, 2019
• Publication Date: 2021
• Deposit Date: Jan 28, 2019
• Publicly Available Date: Jul 16, 2020
• Journal: Business History
• Print ISSN: 0007-6791
• Electronic ISSN: 1743-7938
• Publisher: Routledge
• Peer Reviewed: Peer Reviewed
• Volume: 63
• Issue: 2
• Pages: 205-224
• DOI: https://doi.org/10.1080/00076791.2018.1552679
• Keywords: Bounded reliability; International joint venture termination; Contractual governance; Obsolescing bargain; Barclays
• Public URL: https://hull-repository.worktribe.com/output/1243832
• Publisher URL: https://www.tandfonline.com/doi/full/10.1080/00076791.2018.1552679
• Additional Information: Peer Review Statement: The publishing and review policy for this title is described in its Aims & Scope.; Aim & Scope: http://www.tandfonline.com/action/journalInformation?show=aimsScope&journalCode=fbsh20; Published: 2019-01-15