Instability and Failure in International Joint Ventures in Post-Socialist Societies: Power, Politics and Strategic Orientations

International business researchers have identified the tendency of international joint ventures (IJVs) to fail and recognized that explaining the process of failure can benefit from inductive qualitative research. This article offers a processual account of instability in and the dissolution of an IJV, taking the perspective of the local parent in an IJV with a powerful Western multinational corporation in order to understand more fully their experience of participating in the venture. The case study findings offer empirical support for an emergent theoretical framework that highlights the role of contextual factors and explores the internal process of dissolution and 'failure' as the socio-political enactment of parents' strategic orientations.