Resource Allocation, Level of International Diversification, and Firm Performance
Table 2. Correlation Matrix
|
Diversification (Foreign Sales/Total Sales) |
Diversification (Foreign Assets/Total Assets) |
Return on Assets | R&D Expenditure | Capital Expenditure | |
|---|---|---|---|---|---|
|
Diversification (Foreign Sales/Total Sales) |
1 | ||||
|
Diversification (Foreign Assets/Total Assets) |
0.80 * | 1 | |||
| Return on Assets | -0.07 * | -0.02 | 1 | ||
| R&D Expenditure | 0.09 * | -0.07 * | -0.04 | 1 | |
| Capital Expenditure | -0.03 | -0.003 | 0.21 * | -0.07 * | 1 |
Significance level (5%). Number of observations is 1415.