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We examine whether firms' multinationality leads to better performance and what the role of R&D investment is in the multinationality performance linkage. Unlike the previous studies, we employ both accounting‐ and market‐based measures of firm performance for a large sample of U.S. manufacturing firms. Our results show that the empirical relation between multinationality and performance is not monotonic but varies with the phase of a firm's multinationality, starting with a negative relation initially, followed by a positive one, and then again a negative one. This horizontal S‐shaped curvilinear relation of multinationality is more pronounced for the market‐based performance measure and is supportive of the three‐stage theory of internationalization. We also find that a firm's multinationality is related to greater firm performance when the firm possesses R&D investment, and that the effect of R&D increases with the extent of a firm's multinationality. These results lend strong support for the Internalization theory and the resource‐based view of firms' international expansion. Our results are robust to different model specifications with an alternative measure of multinationality.

In the past zoonoses that caused serious human illness also caused serious loss of animal production, but there is growing awareness of the public health problems arising from infections that cause little or no such loss. Much can be learnt from the history of the control of bovine tuberculosis and brucellosis. In both cases there was reluctance to accept that animals were the principal cause of infection, and the earliest attempts at control failed because measures were taken only against clinical cases of the disease. The essential features in control of both infections were: official recognition of a problem, willingness of governments to allocate resources, and cooperation between the medical and veterinary professions. Salmonellosis is the most important zoonotic infection in Britain today, though several Orders have reduced the reservoir of infection in food animals. It is suggested that a national team of doctors should be set up to investigate and control zoonoses, that this team should be answerable to a central agency, and that it should build up close working relationships with the nominated officers of the veterinary profession.