Conceptualizing and measuring distance in international business research: Recurring questions and best practice guidelines
Journal
Journal of International Business Studies
ISSN
0047-2506
Type
journal article
Date Issued
2018-10-15
Author(s)
Abstract
Distance is a central concept in international business research, yet there is debate about the construct as well as its operationalization. In this editorial, we address three of the most important recurring questions posed by authors, editors, and reviewers by examining the theory, methods, and data of distance research. We discuss (1) how to theorize on distance, and (2) what method and (3) what data to use when constructing a distance index. We develop practical recommendations grounded in theory, illustrating and supporting them by calculating cross-country distance indices for all available country pairs and two of the most used distance indices: cultural and institutional. We show that, whereas a specific method to calculate distance may matter to some extent, the choice for a specific cultural or institutional framework to measure cultural or institutional distance has a major impact on country–pair distances. Overall, this editorial highlights the importance of matching data and method to the theoretical argument.
Language
English
Keywords
distance
cultural distance
institutional distance
Euclidean
Mahalanobis
Kogut–Singh index
Refereed
Yes
Publisher
Palgrave Macmillan
Volume
49
Number
9
Start page
1113
End page
1137
Subject(s)
Division(s)
Eprints ID
256231