Interdependence Relationship Internationalization-Performance in Manufacturing Firms Listed in Indonesia Stock Exchange and Chinese Stock Exchanges

The purpose of this paper is to investigate the interrelationship between performance and internationalization of Indonesian and Chinese manufacturing firms. This paper uses a sample of 88 Indonesian firms and 989 Chinese firms from Indonesia stock exchange, Shanghai stock exchange and Shenzhen stock exchange for the period 2014 to 2018, and applies the methods of panel least squares regression to examine the relationships. The results show that the firm's internationalization degree has inverted S-shaped relationship on firm's performance in Indonesia firms and has U-shaped relationship in Chinese firms. The firm's oversea expansion speed has N-shaped relationship on firm's performance both in Indonesia firms and Chinese firms. In turn, the firm's performance has S-shaped on firm's internationalization degree in Indonesia firms and has inverted U-shaped in Chinese firms. The firm's performance doesn't have a significant relationship on firm's internationalization oversea expansion speed in Indonesia firms and Chinese firms