Abstract:
This study explores the effect of firm cost saving strategy on the relationship between degree of
internationalization firm performance in the context of Pakistani firms. The study uses a sample
of 180 Pakistani firms. The data collected for the study is spread over a period of 11 years i.e.
1980 company-year observations. Findings suggest that a U-shaped relationship between degree
of internationalization performance, already found by the previous studies
(Lu & Beamish , 2001; Mauri & Sambharya , 2001; Kotabe et. al, 2002) for established market
firms is applicable in the context of Pakistan as well which is basically an emerging market . The
firm cost saving strategy has been found to have a moderating effect on the relationship between
degree of internationalization firm performance.
Keywords: Pakistani firms, degree of internationalization, firm cost saving strategy.
