Title: Particularistic ties and internationalisation: evidence from Taiwanese family business groups

Authors: Hsi-Mei Chung; Sven Dahms

Addresses: Department of Business Administration, I-Shou University, Kaohsiung 840, Taiwan ' Department of International Business Administration, I-Shou University, Kaohsiung 840, Taiwan

Abstract: Based on a panel data analysis of family business groups in Taiwan, this study investigates the relationship between location specificity and particularistic ties from the resource-based view of the firm. The results indicate that a family-owned status has a positive effect on a business group's engagement in China. It provides indicative evidence that family business groups as a whole prefer cultural and economic proximate locations. By contrast, the use of particularistic ties in foreign affiliations has a negative effect on businesses groups' engagement in the Mainland Chinese market. The results suggest that a business group's decision to engage in a foreign market is embedded in its specific socioeconomic background and the use of particularistic ties as an indigenous management practice.

Keywords: semi-globalisation; particularistic ties; resource-based view; RBV; family business groups; internationalisation; developing countries; Asia; Taiwan; family firms; location specificity; China; cultural locations; economic locations; foreign affiliations; foreign markets; socioeconomic background; indigenous management.

DOI: 10.1504/EJIM.2016.078792

European Journal of International Management, 2016 Vol.10 No.5, pp.558 - 580

Available online: 01 Sep 2016 *

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