European J. of International Management (191 papers in press)
Glocal corporate social responsibility and co-creation of shared values in the mining industry
by João Leitão, Margarida Rodrigues, José Manuel Rodríguez-Carrasco
Abstract: This article studies how in mining multinationals the shareholders' perspective of the creation of economic value combines with social and environmental values in the perspective of the local community, following a glocal corporate social responsibility founded on a simultaneous exercise of shared values co-creation. To do so, a case study is presented about a mining subsidiary in Portugal, in two historical periods where changes in capital ownership and governance were recorded. The results show that from the shareholders' perspective, in the subsidiary studied, strict adherence to the host country's legislation was observed. From the local community's perspective, some social investment was found, but less than that expected by private and public entities at the local level.
Keywords: corporate social responsibility; co-creation; institutional theory; stakeholder theory; mines.
The interplay between empathy, learning, and opportunity in the process of entrepreneurial value co-creation
by Amir Emami, Peter G. Klein, Veland Ramadani, Robert D. Hisrich
Abstract: This study investigates value co-creation in entrepreneurship: it focuses practically on the process through which the entrepreneur's new value proposition meets the customer's problem and pain. It argues that successful entrepreneurs tend to be more empathic than unsuccessful entrepreneurs. Entrepreneurs who offer their new values through an empathic relationship tend to learn vital market knowledge that shapes a shared mental model between themselves and the consumer that increases the likelihood of value co-creation. The performance of this relationship improves when there is a match between the entrepreneur's learning approach and her initial perception of the opportunity pursued. Matching between learning skills and empathy also enhances the empathy capacity of the entrepreneur. Both matching mechanisms are important for value co-creation.
Keywords: empathy; entrepreneurial value co-creation; market knowledge; personality style.
Socioemotional wealth of family firms: the theoretical perspective and challenges.
by Orlando Llanos Contreras, Muayyad Jabri
Abstract: Using the socioemotional wealth perspective has resulted in significant advances in the understanding of family firms since this model was proposed in 2007. It is considered the most challenging theoretical framework for these organisations developed in recent years. Based on a systematic literature review from the Web of Science, 120 articles published from 2007 to 2018 were reviewed. The results show that an increasing number of works based on socioemotional wealth have been published to respond to research questions on various topics regarding family businesses. The citations of these articles have also increased greatly, confirming the pervasive influence this perspective has had. This article explains the principles behind the socioemotional wealth perspective and how it has been used in a number of empirical and theoretical studies. It also proposes an initial discussion of two research questions on a new topic where this perspective has potential to close gaps in existing research.
Keywords: socioemotional wealth perspective; family businesses’ behaviour; family firm theory.
CRMs effect on the customer knowledge creation process and innovation
by Saeed Safari, Seyed Rohollah Hosseini Mehrabadi, Ali Hossein Keshavarzi
Abstract: This study has investigated the effect of customer relationship management systems (CRM) on the customer knowledge creation process to produce innovative products or deliver innovative services in Parsian Insurance Company in a unique Iranian culture with completely different features from Islamic and Middle-East countries, in terms of research factors. Data was collected using a questionnaire, in a research population of 600 managers of the companys headquarter, and representatives in Tehran province. The sample size was calculated 243 using Cochran formula; 280 questionnaires was distributed and 250 was returned. The Structural Equation Modeling was used for statistical analysis of data. The research findings showed that CRM systems, have affected the process of customer knowledge creation. The findings also confirmed that all components of customer knowledge creation process affect the innovative product/service production.
Keywords: customer relationship management; customer knowledge; knowledge creation; knowledge creation theory; innovative product/service.
Garut value co-creator: fostering growth of SMEs in Garut to attract more customers
by Grisna Anggadwita, Dini Turipanam Alamanda, Gadaf Rexhepi, Abdullah Ramdhani
Abstract: Garut is one of the districts in Indonesia that is known to have great potential in small and creative industries. Some small industries have been formed into industrial centres, including leather, batik garutan, fragrant roots and woven bamboo. Some industries have been changed from small industries into national scale industries, such as Dodol Garut and Chocodot. But, unfortunately, the development of local industry still faces obstacles in market development, owing to the lack of synergy and cooperation between industries. Co-creation superior product of Garut is offered as a stepping method that can be applied. The DART model, consisting of dialogue, access, transparency and technology, is used as a tool to map potential and evaluation tools that can be adopted in the future by value co-creators (Garut District Government). Full government support is absolutely necessary as a centre of co-creation (value co-creator).
Keywords: Garut; potential local industries; small industry; DART model; value co-creation.
Moderating effects of related experience and firm size: will multinationals opt for acquisitions in high informal institutional settings?
by Zakari Abubakari, Min Wang, Iddrisu Abubakari
Abstract: This study examines the influence of informal institutional distance on the establishment mode strategies of foreign multinational enterprises (MNEs) in Ghana with the moderation role of experiential knowledge (related experience) and parent firm size. The empirical analysis is based on a sample of 223 greenfield and acquisition market entries over the period 2001-2016, drawn from 20 countries. The study employs binomial logistic regression to establish the relationships among the variables and, the results reveal that high informal institutional distance leads to the preference for acquisitions over greenfield investments. The study also finds that high level of experiential knowledge (related experience) and large parent firm size have positive relationship with acquisition establishment as compared to greenfield investment. We therefore argue that strong related experience and large parent firm size strengthen the choice for acquisitions in relation to high informal institutional distance.
Keywords: institutions; institutional distance; informal institutional distance; institution-based view; related experience; establishment mode; acquisition; green-field investment; international management".
Riding the storm out: the short- and long-term effects of export promotion on firm performance during an economic downturn
by Joan Freixanet, I.Y.A. Churakova, Josep Rialp, Hsin-Chen Lin
Abstract: This study evaluates the short- and long-term impact of export
promotion by focusing on a Spanish program to support beginning exporters.
Based on the observations of 1884 firms over the period of 20052014, the
findings demonstrate that the program had a positive impact on participants
export and economic performance, and the effects were persistent. The paper
concludes that focusing export promotion towards SMEs and beginning
exporters and ensuring a balanced mix of various forms of assistance are
critical to the effectiveness and lasting effects of export promotion.
It also shows that, during the recent great trade collapse starting in 2008, firms
using this type of assistance outperformed firms in the control group and the
national average regarding both export growth and survival rates. These results
are encouraging regarding the countercyclical potential of export promotion.
The findings have significant implications for scholars, managers and
Keywords: export promotion; impact evaluation; propensity-score matching; small and medium-sized enterprise; longitudinal study; economic downturn.
ISO 9001 effectiveness and financial performance of Bosnian exporters: investigating mediators
by Ensar Mekić, M. Sait Dinc
Abstract: Despite the fact that the relationship between quality practices and financial performance was significantly addressed in managerial literature, few studies investigated mediators in this relationship, and very few of them focused on the ISO 9001 Effectiveness. This study aimed to explore mediators of the relationship between ISO 9001 Effectiveness and Financial Performance of the Bosnian exporting companies. Based on the recent literature, second-order structural equation model was proposed and tested. The empirical data was obtained from a questionnaire of 126 ISO 9001-certified Bosnian exporting companies. Once data was collected, factory data analysis was made in SPSS to purify scales through items' loadings and Cronbach's Alpha values. Convergent validity and confirmatory factor analysis has been done through partial least-square path modelling using Smart PLS 3 software. Results indicated that total effects of ISO 9001 Effectiveness on Financial Performance were significant and positive, and that Organizational Learning Capability fully mediated this relationship.
Keywords: quality management; ISO 9001; business innovativeness; path modelling; organisational learning capability; financial performance; exporters; mediator.
The impact of networks on value co-creation for women-owned businesses
by Dianne H.B. Welsh, Eugene Kaciak, Izabela Koladkiewicz, Ezra Memili, Lakshmi Iyer, Veland Ramadani
Abstract: Researchers have called for more attention to the issues surrounding women entrepreneurs and their businesses that impact their success and the value co-creation it brings to stakeholders. This study examines the moderation effect of social networks on the relationships between women entrepreneurs specific entrepreneurial skills sets in information technology, management, and securing funding, value co-creation and the effect on firm performance. Social network support is considered a proxy for value co-creation. Our findings show that IT skills are positively related to firm performance. Results showed a positive interaction effect of network support with management skills and with the ability to obtain financing on firm performance. Implications and future research are discussed.
Keywords: networks; value co-creation; firm performance; women entrepreneurs; developing economy; Poland.
Barriers to ethical business in Slovakia: an exploratory study based on insights of top representatives of business and employer organisations
by Anna Lasakova, Anna Remisova, Alexandra Bohinska
Abstract: The article investigates unethical business practices and their causes in one of the CEE countries, in Slovakia. A qualitative research design was employed with focus group as the primary method. The sample consisted of top representatives of Slovak business and employer organisations. To address the complexity and interconnectedness of ethical issues identified in this study, a framework ('vicious circle of barriers to ethical business') was outlined, linking five components: (1) weak state as a bad role model for business community, (2) inadequate business regulations causing perceived injustice and lack of stability and predictability in business, (3) orientation of businesses to short-term quick gains, (4) mistreatment of stakeholders (society, competitors, suppliers, customers and employees) and (5) self-serving intrusion of business to politics, using alliances and networks to influence decision-makers in creating strategically important policies and business regulations. These five elements interfere with and reinforce each other, thus impeding advancement of business ethics in Slovakia.
Keywords: ethics; barriers; business ethics; unethical practices; business associations; employer organisations; entrepreneurship; stakeholders; Slovakia; CEE.
A study on the consumers' intention to purchase a social enterprises product
by Yi-Hsin Lin, Kuo-Hsiung Wang, Chang-Hua Tsai, Feng-Jyh Lin
Abstract: A social mission is usually a particularly hot issue as it can deliver
unique functional and emotional elements to build a strong relationship
between a social enterprise and its customers. The purpose of this study is to
examine the relationships between a social mission, product competitiveness
and purchase intentions in a social enterprise. Data were collected from 151
customers of Come True Coffee through the companys Facebook in January
and February 2017. Multiple regression analysis was used to examine the
relationships among the research variables and identify the final model. The
results show that good product competitiveness and a social mission will
improve the intention to purchase. Moreover, the social mission of a social
enterprise is an important issue in terms of encouraging consumers to feel
concern. Finally, product competitiveness is a mediating factor for a social
mission in regard to the purchase intention. The outcomes of this study could
help managers better understand the relationships among social mission,
product competitiveness and purchase intentions.
Keywords: social enterprise; social mission; coffee; product competitiveness; purchase intentions.
Testing critical levels in product and geographic diversification: A structural threshold approach
by Pablo Garrido-Prada, Maria Jesús Delgado-Rodriguez, Desiderio Romero-Jordán
Abstract: This paper performs a structural threshold regression analysis to test the existence of critical diversification levels in a study of the moderating effect of diversification strategies on performance. The method is applied to a novel panel dataset comprising a sample of Spanish multinational companies from non-financial sectors in 20062011. The results reveal that a critical level of geographic diversification is needed to influence positively the product diversification-performance relationship. Moreover, the geographic diversification-performance relationship is not influenced by the level of product diversification. Our results are relevant for understanding the complexity of these strategies
Keywords: geographic diversification; product diversification; firm performance; Spanish firms; structural threshold regression.
Factors affecting online purchase intention of consumers: a comparative approach between China and Uzbekistan
by Dawei Liu, Yuting Kang, Nodir Egamberdiev, Miao Shi, Anastassiya Bakhareva
Abstract: This study examined factors that encourage purchase intentions of Chinese and Uzbekistan online consumers. With a comparative approach, the research had three primary objectives to focus on exploring relationship of subjective (individual demands and consumers' attitude), objective factors (price, quality and website credibility) and online purchase intentions. The study revealed that the subjective factor wasn't relevant in affecting the Chinese consumers' online purchase intention and behaviour. The three objective factors including price, product quality and web trust, are found significant to affect both Chinese consumers' and Uzbek consumers' online purchase intention.
Keywords: e-commerce; consumer behaviour; trust; purchase intention; China; Uzbekistan.
Conceptualising involvement in fashion social media brand communities
by Ángel Hernández-García, Santiago Iglesias-Pradas
Abstract: This study addresses the lack of understanding of the different elements (fashion products, fashion brands, social media platforms) and types of involvement (enduring and situational) that interplay in the development of involvement with fashion brands in social media communities. The research revises the concept of involvement in fashion social media brand communities from a multidimensional approach, with three different dimensions: fashion involvement, fashion brand involvement (enduring) and involvement with social media brand communities (situational). The revised conceptualization of involvement is empirically tested using a sample (N = 451) of members of different luxury fashion and fast-fashion international brands in Indonesia, a country with one of the largest social media audiences in the world. The results show that a multidimensional view provides a more adequate framework to study involvement in social media, even though further investigation is required to fully understand the concept of involvement in social media brand communities.
Keywords: involvement; fashion brands; social media; social media marketing; social media communities.
Towards an integrated model for brand adoption: Insights from an organismic integration theory
by Naeem Gul Gilal, Jing Zhang, Faheem Gilal, Rukhsana Gul Gilal
Abstract: Drawing on organismic integration theory (OIT), this study investigates what kind of motivational regulations (e.g. intrinsic, identified, introjected, and external motivation) could influence brand adoption and what kind of advertisement appeals (e.g. hard-sell and soft-sell appeals) could influence consumers motivational regulations. To this end, participants (n = 657) from Pakistan were recruited, and the hypotheses were tested in the airline industry. Results show that hard-sell appeals had the strongest effect on identified motivation, whereas soft-sell appeals were more effective at capturing consumers intrinsic motivation. Consumers intrinsic motivation had the greatest effect on consumer brand adoption. The moderation results revealed that the effect of identified, introjected, and external motivations on consumer brand adoption were salient when perceived social influence was higher, but not when social influence was lower. Finally, the authors discuss in depth the implications of these results for theory and practice.
Keywords: brand adoption; hard-sell appeal; soft-sell appeal; motivation types; social influence.
The reliability of information systems in an organisation as a source of competitive advantage
by Katarzyna Tworek
Abstract: The notion of information systems (IS) reliability in an organisation is discussed in the paper. It is a relatively new concept, gaining importance because nowadays almost every organisation (including production ones) is using some kind of IS and it is no longer enough to just use it in order to gain competitive advantage. Empirical verification of the model is based on the study conducted among 400 organisations operating in Poland. A statistical multidimensional correspondence analysis (MCA) was used in order to determine that the proposed set of variables building the model is comprehensive, complete and can be used for further analysis of the IS reliability in an organisation.
Keywords: information system; reliability; organisation; empirical research.
The impact of systematic uncertainty on corporate cash holdings
by Tarek Miloud
Abstract: This paper aims at shedding light on the empirical relationship between cash holding and firm characteristics. We introduce a more detailed relationship between cash holdings and macroeconomic uncertainty. Contrary to previous research that supposes a partial inclusion of macroeconomic uncertainty, this research considers a full impact of the macroeconomic uncertainty measured by difference macroeconomic condition variables. Empirical results show that macroeconomic uncertainties are significant and contribute to the change in cash holdings. Furthermore, results show that the firms different level of exposure to macroeconomic uncertainty can cause the different degree of cash holdings and that firms with the higher level of exposure have the higher level of cash holdings. The study, therefore, contributes to the literature on the factors that determine the corporate cash holdings. The findings may be useful for the financial managers, investors, and financial management consultants.
Keywords: corporate cash holdings; corporate governance; macroeconomic uncertainty; firm characteristics; GARCH.
Exploring the determinants of acquisition integration capability: lessons from the acquisitions of Finnish multinational enterprises
by Nnamdi Oguji, Jorma Larimo, Richard Owusu
Abstract: The objective of the study is to explore how acquisition integration capabilities are developed in acquiring firms. Through empirical case studies of acquisitions of five Finnish MNEs in global markets, the study finds four determinants of acquisition integration capability: acquisition integration knowledge management, cultural competence, acquisition integration strategy, and acquisition performance review. The study extends dynamic capability theory to acquisition integration literature and provides a comprehensive and integrated perspective on the determinants of acquisition integration capability. Finally, five propositions are developed for future empirical research and we call for future studies to explore how acquisition integration capabilities become dynamic using longitudinal research design.
Keywords: mergers & acquisition; integration capability; integration level; dynamic capability; integration strategy; integration performance.
Educational credentials and career success of CEOs of Latin American firms
by Maria R. Blanco, Miguel A. Sastre Castillo
Abstract: This study investigates the influence of education (highest degree acquired, major field of study and awarding institutions) on the time taken by Chief Executive Officers (CEOs) to reach that position. For this purpose, we considered 169 CEOs of Latin American firms and employed multiple hierarchical regressions. The results do not support the influence of a high educational level on the time that took CEOs to be appointed to the position ('time to the top'). Furthermore, in family firms, it delays the appointment to the CEO role. Elite institutions do not exert an influence on 'time to the top'. Our findings offer partial support to the human capital theory education variable in Latin America, highlighting the importance of cultural, socio-economic and institutional factors.
Keywords: education; career success; CEOs; time to the top; elite credentials; human capital; Latin America; multilatinas; family firms.
High potentials in multilatinas: creation of Latin American-specific models or convergence towards existing ones?
by Maria Rita Blanco, Andrés Hatum, Mariela Golik
Abstract: Multilatinas are part of the emergent multinational enterprises that have arisen from Latin America. Even though these firms are becoming increasingly important in the global economy, little is known about their talent management strategies and practices. This article seeks to understand, through a qualitative approach, the way in which the talent identification models were conceived, where they were sourced from and who contributed to their design (actors). Seventeen semi-structured in-depth interviews were conducted with Senior Corporate Talent Management Executives working for Multilatinas from Argentina, Brazil, Chile, Colombia and Mexico. Our findings revealed a fragmented scenario. Most of the multilatinas do not copy a complete or best practice model, they create a new hybrid one. As Multilatinas draw upon some elements of European and US models in order to create their own, some mimetic and normative pressures were identified. Participant firms, in general, count on internal actors to build their talent identification models, downplaying the importance of international consultancy firms. Finally, relying on the obtained results, a classification is proposed.
Keywords: high potentials; multilatinas; emerging multinational enterprises; talent identification.
Psychic distance, marketing strategy adaptation and export performance: the role of international experience
by Beata Seinauskiene, Regina Virvilaite, Ilan Alon
Abstract: This study theorises that a performance-enhancing strategic fit between a perceived psychic distance and an export marketing strategy adaptation applies under the boundary conditions of international experience. We model an export marketing strategy as a function of psychic distance and export performance as an outcome of export marketing strategy, moderated by international experience. To test the hypotheses, we carried out a survey of Lithuanian exporting companies that conduct business in the dairy and meat processing industries. The results did not support the existence of the conditional indirect effect of perceived psychic distance on export performance through export marketing strategy adaptation. Unlike the expectation, data indicated that export performance increases with an increase in distribution adaptation, but only: (a) among companies scored low in the length of experience in an export country and (b) under conditions of low export intensity.
Keywords: standardisation; adaptation; export marketing strategy; export performance; psychic distance; international experience; strategic fit; moderated mediation; international marketing.
A gendered analysis of Spanish SMEs' export managers in externalised channels
by Pedro Araújo-Pinzón, Florez Lopez Raquel, Jose M. Sánchez-Vázquez
Abstract: This study is intended to analyze the situation of female managers in a setting traditionally considered male as is export activities, although examining the position of boundary managers in externalized export channel management where female interpersonal skills could be particularly valuable. This research empirically carries out a gendered analysis of SMEs Spanish export managers, shedding light about actual barriers that female managers face in this setting and about determinants of export intensity. Examining human-capital, firm-level, and sociological and cultural attributes, results show that female export managers have less experience than men, are newer in managerial positions and are associated with the service sector; we also observe that export management experience, time in current position and firm export experience have different impacts on export intensity for women than for men. Women need to establish social professional networks and/or mentoring relationships and export stimulation programs should be sensitive to female differences.
Keywords: Glass ceiling; gender roles; export intensity; inter-organizational relationships; SMEs.
Testing the mediating role of POS between perceived AMO framework and deviant behaviours in the Indian IT sector
by Pooja Malik, Usha Lenka
Abstract: This study empirically investigates the impact of perceived abilities-motivation-opportunities-enhancing HRM practices (AMO framework) on destructive and constructive deviance. Additionally, this study explores the mediating role of perceived organisational support (POS) between AMO framework and destructive and constructive deviance. Data was collected from 265 entry-level IT employees. Structural equation modelling was used to test direct, indirect, and mediating effects. Results revealed a significant negative relationship between AMO framework and destructive deviance and a significant positive relationship with constructive deviance. Furthermore, results revealed the significant positive impact of AMO framework on POS. Similarly, POS exhibited a significant negative relationship with destructive and positive relationship with constructive deviance. Using organisational support theory (OST), results indicated partial mediation of POS between AMO framework and destructive and constructive deviance. This study implies that managers must enhance the skills and abilities of employees, motivate them to strive harder, and provide equal access to opportunities to reduce destructive deviance and facilitate constructive deviance among employees.
Keywords: ability-motivation-opportunity-enhancing HRM practices; AMO framework; constructive deviance; destructive deviance; perceived organisational support; structural equation modelling.
Is a higher minimum wage associated with a higher youth employment rate? A panel data analysis
by Ana Iolanda Voda, Ana-Maria Bercu, Jarmila Sebestová
Abstract: The successful integration of young members of the workforce into the labour market has been a topic of great interest for European decision makers since the onset of the recent financial and economic crisis. Although in EU member states, particularly in Central and Eastern Europe, the statutory minimum wage has recently been increased, there are concerns among decision makers that this policy may have negative effects on employment. This paper examines the effect of the minimum wage on the regional youth employment rate, using a panel of 628 NUTS II regions from various European states, during 2008-2014. We began by using the methodology introduced by Neumark and Wascher, were labour market outcomes at regional levels are related to the relative minimum wage (Kaitz index). Our results indicate that increases in the minimum wage have a significant effect on employment.
Keywords: youth unemployment rate; minimum wage; economic development; EU countries; econometric models; labour market.
Fluent in change: enabling strategic change in an established firm
by Ei (Emily) Shu
Abstract: While extant research has highlighted the role of leadership in strategic change, there continues to be a scarcity of empirical research on how and in what way that top management can influence a firm's strategic transformation. Based on a case study of Haier Group Company, a global leader in home appliances industry, this study examines how top managers can deliberately influence a firm's strategic change process by designing and implementing a specific enabling mechanism that supports change. The findings reveal that top managers align the management process to transformation through a process model by articulating, embedding and reinforcing the changes.
Keywords: strategic change; top management; enabling mechanism; microfoundations of strategy.
Failure prediction models for Slovak small companies
by Lucia Svabova, Marek Durica, Katarina Valaskova
Abstract: Prediction of the financial difficulties of companies has been over the last years dealt with by scientists and economists in many countries over the world. Several prediction models, mostly focused on a particular sector of the national economy, have so far been created also in Slovakia. The most common methods used to derive prediction models include, among others, discriminant analysis and logistic regression. The main aim of this paper is to create new prediction models for small companies in Slovakia using these two statistical methods. These predictive models are created by using real data for Slovak small companies coming from Amadeus database. The results of these models can be used to classify a company into the group of prosperous companies or into the group of companies threatened by bankruptcy, based on the company financial results.
Keywords: company's failure; Slovak companies; prediction models; bankruptcy prediction; discriminant analysis; logistic regression; international management; failure prediction; small companies.
The mediating role of ambidextrous organisational culture on absorptive capacity and innovative performance
by Mohammad Taghi Sadeghi, Rostam Derakhshan, Mohammad Reza Sanaei, Niloufar Khosravi Rad
Abstract: Today, identifying knowledge and creating innovation in organisations are of great importance The presence of absorptive capacity, which means the ability to discover new knowledge, affects the improvement of innovative performance in organisations Ambidextrous organisational culture can play a significant role in the relationship between absorptive capacity and innovative performance. Owing to the significance of this study in SMEs, it is aimed at investigating the effect of absorptive capacity on innovative performance and explaining the mediating role of ambidextrous organisational culture in this relationship The statistical population of this study included SMEs in Iran, and 57 companies participated in this research. Three questionnaires were used for data collection. The data were analysed by LISREL to evaluate the structural equations model. The obtained findings showed a positive and significant the relationship between the research variables and ambidextrous organisational culture having a mediating role in the relationship between absorptive capacity and innovative performance.
Keywords: absorptive capacity; ambidextrous organizational culture; innovative performance; small and medium-sized enterprises; structural equation modelling.
The effect of governance mechanisms on the financial and stock market performance: the case of Canadian companies
by Hanen Ghorbel, Manel Kolsi
Abstract: The main contribution of this paper is to revisit the governance performance relationship, by highlighting the non-linearity of the model expressing the effect of governance on the performance. The study was conducted over a 5-year period between 2011 and 2015 using panel regressions on a sample of Canadian publicly traded firms. Our estimations suggest that the effect of governance on the financial and the stock market performance remains undetermined. Using Hansen's (2000) model we show the presence of a threshold in the relationship between performance, measured by Tobins Q and corporate governance. We conclude that the link between governance and firm performance is not linear and depends on the level of disclosure about governance. Our results are useful for regulators and investors by emphasising the impact that disclosure of governance information may have on firms performance. Investors should therefore use the level of disclosure of governance information as performance indicators in their investment decision.
Keywords: corporate governance; financial performance; stock market performance; disclosure; effect threshold.
Media branding and value co-creation: effect of user participation in social media of newsmedia on attitudinal and behavioural loyalty
by Datis Khajeheian, Pejman Ebrahimi
Abstract: By pervasiveness of social media, co-creation of value becomes a significant trend in media industry. Newsmedia organisations are one of the sectors significantly influenced by user participation in blogs, citizen journalism and user-generated content. This study investigates effect of value co-creation on the loyalty of media consumers, by a survey on users of social media of Press-TV. The research model proposes that user participation associates with three different types of value: relational, economic and emotional values; to media brand enforcement and this associates with two types of loyalty: attitudinal and behavioural loyalties. 274 users of Press-TV social media were offered the questionnaire. FIMIX was used to measure the unobserved heterogeneity of the sample. Results show that users' participation in value co-creation significantly affects their loyalty to the media brand. Results also show that media enforcement is the most important variable in media consumers' loyalty.
Keywords: media brand; co-creation; value proposition; customer loyalty; social media; branding; user participation.
Which corporate social responsibility issues do consumers perceive as relevant to be evaluated in the hotel sector?
by José A. Pérez-Aranda, Montserrat Boronat-Navarro
Abstract: The aim of this research is to develop a measure for consumer-based perceptions of corporate social responsibility (CSR) to better understand which CSR attributes consumers consider valuable in the hotel sector. It is precisely this stakeholder group that eventually legitimises the firm's actions through its purchasing behaviour. To develop the measure, indicators proposed in previous studies are reviewed, and six dimensions are proposed, taking into account three theoretical perspectives. Previous studies have found some weaknesses in the validation of the traditional economic dimension of CSR, and therefore, this area requires further analysis. The measure for consumer-based perceptions of CSR is tested using a large and representative sample of Spanish consumers and is further validated using a second sample of foreign tourists in Spain, confirming the economic, legal, ethical, philanthropic, environmental, and stakeholder dimensions. This study provides managers with greater insight into how hotel consumers perceive the overall CSR concept.
Keywords: consumer perceptions; corporate social responsibility; measure development.
Exploring the role of organisational learning and leadership in developing dynamic capabilities
by Chang Hoon Oh, Jeong-Yang Park, Reem Muaid, Yong Kyu Lew
Abstract: Previous research has acknowledged that the interplay between organizational learning and leadership is vital. In this research, we combine organizational learning and leadership research within a dynamic capability (DC) framework to understand the nature of, and interaction between them. Drawing on a single case study, this paper develops a conceptual framework of how learning mechanisms in organizational learning and different leadership styles influence the DCs. We find that the roles of leadership foster the development of organizational learning, environmental structures and underlying processes. To cultivate DC, designing different learning processes and systematic learning mechanisms to capture each aspect of DC, at individual and collective level, is essential. We also find that the transformational visionary leadership stimulates organizations to systematically address learning mechanisms and construct organizational learning environment.
Keywords: dynamic capabilities; leadership; learning mechanism; organisational learning; pharmaceuticals.
Consumer trust and repurchase intention in B2C e-commerce: a moderation model
by Quang Ngo Van, Zhi Yang
Abstract: An important question when researching B2C e-commerce is how about the relationship between customers trust and their repurchase intention. The main purpose of this research is to divide up customer trust into three types and clarify its role in the customer decision-making process. Basing on the different targets of trust and antecedent-trust-outcome model with a sample of 518 online customers in Vietnam, the results showed that ethics of e-retailers significantly impact on customer trust which in turn influence on customer repurchase intention. Moreover, product types and customer online shopping habit act as the moderating variables in determining customer repurchase intention.
Keywords: consumer trust; repurchase intention; perceived ethics; product types; shopping habit; attitude.
Manufacturing backsourcing: a case study of a company's process framework
by Hans Solli-Sæther, Jan Terje Karlson, Andrea Slyngstad
Abstract: The purpose of this study is to examine the backsourcing process. Based on previous research and lessons learned from a case study of a supplier of maritime equipment in a Scandinavian cluster, important drivers, activities and challenges related to the backsourcing process are identified. The key contribution of this research is the development of a stepwise model of how companies can backsource. It is a framework describing how companies can conduct the backsourcing process, which consists of four phases comprising different objectives and activities. Moreover, three main challenges are identified, namely limitations in capacity, re-building knowledge, and adapting the backsourced product to the production site. In addition to filling a gap in the existing literature, the framework can also be used as an analytic tool to help managers deal with the decisions and challenges related to the backsourcing process.
Keywords: backsourcing; manufacturing industry; backsourcing process.
Persistence and strengths of informal networks: clientelism in the post-Soviet Union
by Sven Horak, Verena Bader
Abstract: In this theoretical study, we challenge two prevalent assumptions in
the international business domain: the disappearance of informal networks
and the strength of weak ties assumption. Drawing on cultural as well as
informality studies, we explore the phenomenon of clientelism and its
characteristics in the post-Soviet Union. We argue that informal ties based on
patron-client relations are neither disappearing nor is weakness a characteristic
that makes them strong. We propose that diverse clientelistic ties appear
to persist in the post-Soviet Union, as they are culturally embedded and
dynamically adjust to changes in the environment. Finally, we argue that the
nature of clientelism is paradoxical: on the one hand, it is prone to favouritism,
but when it comes to weak governments, clientelistic practices may, on the
other hand, be seen as an effective means to overcome social boundaries by
connecting persons of different social classes.
Keywords: clientelism; corruption; patronage; informality; informal institutions; blat/svyazi; post-Soviet Union; emerging markets; Russia.
Strategic HRM and environmental performance: the role of corporate environmental policies and employee's eco-initiatives
by Annam Bibi, Bilal Afsar, Waheed Ali Umrani
Abstract: Healthcare organisations that 'embrace' environmental sustainability tend to gain significant performance improvements and decrease costs related to waste recycling and disposal. This study examined the relationship between strategic human resource management, hospitals' environmental policies, nurses' eco-initiatives, and environmental performance. Data were collected from all registered nurses who worked at three public and general hospitals located in Islamabad, the capital of Pakistan, numbering around 800 nurses. A total of 450 questionnaires were distributed among nurses, and 263 were returned. The main results indicated that nurses' eco-initiatives fully mediated the effect of strategic human resource management on environmental performance, and that hospitals' environmental policies moderated the effect of strategic human resource management on nurses' eco-initiatives. By implementing appropriate HRM practices at the strategic level that can help nurses to repeatedly engage in eco-initiatives, the environmental performance of hospitals can be enhanced.
Keywords: environmental performance; eco-initiatives; pro-environmental behaviour; green behaviour; corporate environmental policies; strategic human resource management.
Factors affecting the decision and the degree of the internationalisation of franchises
by J.M. Ramirez-Hurtado, Bernardino Quattrociocchi, Juan Manuel Berbel Pineda
Abstract: The franchise concept is present in many countries around the world. However, the franchising systems have different levels of development among countries. The purpose of this paper is to analyse the influence of a series of factors in the internationalisation of Italian franchises. The results show that the only two variables that affect internationalisation are size and sector. On the other hand, the results obtained via the Tobit analysis show that the franchise's degree of internationalisation is determined by the number of franchisees in the domestic market, by the investment that the franchisee has to make to open an establishment, by the time the franchisor has been operating with a franchise formula, and by the sector. This work's conclusions can be very valuable for firms to be able to correctly define their internationalisation strategy.
Keywords: franchising; internationalisation; strategy; Italy.
Sustainability reporting practices of media companies - the case of Europe
by Justyna Berniak-Wo?ny, Katarzyna Walotek-?cia?ska, Magdalena Wójcik-Jurkiewicz
Abstract: Despite the dynamic development of sustainability reporting, there is a limited amount of practical and academic knowledge on sustainability reporting practices in the media industry. The aim of this paper is to investigate on the scope and quality of sustainability reporting practices of the companies operating in the European media industry. The empirical part of the paper will be based on a qualitative descriptive research design. In this study a content analysis was conducted on 33 sustainability reports issued in 2017 by European media companies. The nature of the study will be descriptive and based solely on information from secondary data sources. Based on the findings, the media industry sustainability reporting practices will be characterised.
Keywords: Sustainability reporting; CSR reporting; Non-financial reporting; GRI; media industry; content analysis.
The determinants of foreign investment size: the role of parent firm advantage and cross-national distance
by Nan Zhou, Tianyou Hu, Andrew Delios.
Abstract: This study investigates the determinants of foreign investment size by considering the role of both parent firm advantage and cross-national distance. We first develop an economic model of foreign investment size. Building on this model and theories in international business, we derive hypotheses on the determinants of foreign investment size: it is positively related to parent firm-specific advantage, while it follows an inverted U-shape relationship with different dimensions of cross-national distances. Moreover, parent firm advantage and cross-national distance interact with each other to influence investment size. Our empirical analysis of Japanese firms foreign direct investment (FDI) data from 1990 to 2009 supports our hypotheses. Our study contributes to the literature on FDI by examining an overlooked aspect of FDI: investment size. We also integrate economic model and international business theories to explain firm-level and country-level determinants of foreign investment size.
Keywords: FDI; investment size; parent firm advantage; cross-national distance.
Feeling the fit and self-determination? A PLS-SEM approach for self-initiated expatriates' self-determination, person-environment fit, and turnover intention
by Shih Yung Chou, Tree Chang, Bo Han
Abstract: The purpose of this study is to investigate the impact of self-initiated expatriates perceived person-environment (P-E) fit on their psychological need fulfilment as well as the impact of self-initiated expatriates perceived psychological need fulfilment on their turnover intentions through the lens of self-determination theory. Utilising an online cross-sectional survey approach, this study tests the proposed hypotheses via the PLS-SEM approach with a sample of 40 self-initiated expatriates in Taiwan. Results illustrate that self-initiated expatriates person-vocation fit significantly affects their autonomy need fulfilment. Moreover, self-initiated expatriates person-organisation fit influences their autonomy need fulfilment. Furthermore, self-initiated expatriates relatedness need fulfilment is predictive of their turnover intention. Limitations and implications are discussed.
Keywords: person-environment fit; self-determination theory; turnover intention; self-initiated expatriates.
An integrated approach to the global strategy of entertainment firm: motivation, process, and management
by Yeon W. Lee, Hwy-Chang Moon
Abstract: Korea's entertainment firms demonstrated fast entry and success in the global markets, starting with Japan and Asia and then gradually expanding their globalisation to the USA and Europe. The successful entry into these global markets has led to tremendous growth among Korea's entertainment companies, not only in profits but also in enhancing their competitiveness. This paper explains the unique strategy of how Korea's leading entertainment firm has succeeded in globalisation. By comparing conventional theories on firms' motivations and strategies for investing in foreign markets, this study makes two contributions: (1) this paper extends earlier international business theories by capturing the unique investment motivations that are related to the explorative and absorptive strategies of market and technology learning; (2) this paper highlights process-based strategies that often override the advantages of physical resources. The case study on the entertainment industry in this paper provides new implications for a comprehensive global strategy.
Keywords: international business strategy; entertainment firm; upward foreign direct investment; imbalance theory; learning.
Disentangling the antecedents of relationship between dynamic internationalisation capability and international performance: the moderating role of absorptive capacity
by Michael Yao-Ping Peng, Chunchun Chen, Ku-Ho Lin
Abstract: This study distinguishes between international exploitation and international exploration and extends the literature on dynamic internationalisation capability by introducing absorptive capacity as a moderator. This study empirically examines the research framework using survey data from 211 manufacturing firms in Taiwan. Informants' (CEOs, vice presidents, senior managers) knowledge about and shouldering of firm responsibilities are explored. The findings confirm previous studies that claim a positive relationship among overseas market orientation, dynamic internationalisation capability, and international performance. In addition, the results indicate that absorptive capacity positively moderates the relationship among overseas market orientation international exploration and exploitation. This study contributes to both dynamic capability and international marketing strategy literature by extending recent studies through investigating the relationships between overseas market orientation, dynamic internationalisation capability, absorptive capacity, and international performance.
Keywords: absorptive capacity; dynamic internationalisation capability; international performance; internationalisation; overseas market orientation.
System dynamics simulation model for inventory optimisation of manufacturers: a case study in electrical industry
by Masoud Rahiminezhad Galankashi, Syed Ahmad Helmi, Maryam Mofarrahi, Farimah Mokhatab Rafiei
Abstract: System Dynamics (SD) is an approach to understand the behavior of complex systems over the time. Although SD has been applied in different areas, its integration with fuzzy inventory optimization is less investigated. In addition, customers demand fluctuation is a significant factor in inventory optimization which is not studied in previous literature. Therefore, this study applies SD to consider customers demand fluctuation and improve the inventory level of companies. Particularly, a SD model is constructed in iThink software to represent the inventory level of the companies. Following, the Stock and Flow Diagrams (SFDs) are applied to represent the structure of the system. Next, three variables of demand variation, demand average and the highest demand are modelled in Matlab Simulink fuzzy controller to optimize the inventory. According to the obtained results, the inventory level of the considered case study is optimized by applying the developed model. Finally, obtained results are compared with the current inventory level of the company and some managerial implications are suggested.
Keywords: inventory optimisation; system dynamics; iThink software; Matlab Simulink.
Achieving regional sustainable development: a bibliometric analysis on firm migration
by Liu Fan, Yichen Wang, Zhongchao Zhao, Xinmin Liu, Lei Wang
Abstract: Firm migration has significant influence on the local industrial transformation and regional economic development. Meanwhile, the impetus of globalization has intensified firm migration, which, in turn contributes to business formation and diversification. Therefore, this study conducts a comprehensive literature review pertaining to this area through bibliometric analysis and further discusses the bidirectional relationship between firm migration and regional economic development. Top-tier journals, important institutes and hot topics are taken into analysis by CiteSpaceV to quantitatively and visually evaluate scientific documents from Web of Science (WoS) published between 2000-2017. The results identified that major studies of firm migration mainly concentrate on the United States, the United Kingdom and China. Using co-citation analysis, hot topics are found mainly focusing on theoretical research, driving factors on firm migration and related economic phenomena caused by firm migration.
Keywords: firm migration; bibliometric analysis; co-citation analysis; burst detection; sustainable regional development.
Corporate responsibilities and values in codes of ethics: an exploratory study of the Global Fortune companies
by Yücel Öztürkoğlu, Omer Ozturkoglu, Ebru Saygılı
Abstract: This study aims to develop a common language for code of ethics (CofE) statements and explore whether Global Fortune companies have expanded their CofE statements by including all stakeholder responsibilities and universal values. The results of the exploratory factor analysis demonstrated that even though compliance and other first generation CSR were the dominant concepts, second and third generation stakeholders were included in the first factor which was named as core values and responsibilities. In the four-factor model with 30 sub-factors, the second factor was community issues, the third factor was internal conduct and the fourth factor was employee rights. The findings indicated the complete presence of trustworthiness, citizenship, and respect values whereas responsibility, fairness and caring values can be improved in CofE statements. Further, due to the dynamic nature of CofE companies should give more importance to new concepts like risks, fair dealing, fair competition, industry issues, training and education.
Keywords: codes of ethics; codes of conduct; corporate values; exploratory factor analysis; corporate responsibilities; Global Fortune companies.
Internationalisation of family firms: the role of networks and coopetition
by Sascha Kraus, Andrea Mauracher, Andreas Kallmuenzer, Johanna Gast, Andrea Calabro
Abstract: Whether and to what extent socioemotional wealth (SEW) influences family firm internationalisation is currently a highly debated topic in family business research. We add the network approach to the debate and, specifically, investigate whether business networks affect family firm internationalisation. We also examine how international entrepreneurial orientation (IEO), as an internal factor, and coopetition, as an external factor, mediate that relationship. We test our hypotheses on a sample of 122 internationally active family firms. Our main findings suggest that business networks positively affect family firm internationalisation if mediated by IEO and negatively if mediated by coopetition. Strong SEW concerns moderate these effects divergently: while SEW negatively affects the positive mediation of IEO, it strengthens the negative mediation of coopetition. These results contribute to our understanding of the importance of networks and entrepreneurship in family firm internationalisation, as well as to the context-specific relevance of socioemotional and coopetitive behaviour.
Keywords: internationalisation; family firm; SEW; IEO; coopetition; networks.
Goodbye to determinism: the circle of innovation
by Fred Phillips
Abstract: An argument, lasting from the 19th century through the present day, has to do with whether social changes create technological innovation (technological determinism) or vice versa (social determinism). Advocates of either argued that both could not be true. Modern interactive information technology allows us to see that neither view is fully correct, and that there is full circular feedback from social and organizational effects to technological innovation and back again. This paper offers instances of the Circle of Innovation. It analyzes and attempts to resolve the nuances of both determinist positions. It ties a third determinist tradition, linguistic determinism, to technology management practice. Implications of this theoretical discussion for research, for public policy, and for business include the need for renewed dialog between economics and sociology; the need for a new embrace of nonlinear analysis; and the potential for greater profits from looking anew at technology assessment and market segmentation.
Keywords: Technology; Technological determinism; Social determinism; Feedback; Nonlinear economics; Sapir-Whorf hypothesis; innovation; technology assessment; interactive technology; technology colonisation.
Assessing the impact of marketing and advertisement as strategic approaches to Euro-cities' development: an Iberian case study approach.
by Rui Alexandre Castanho, Ana Vulevic, José Manuel Naranjo Gómez, José Cabezas, Luis Fernández-Pozo, Luís Loures, Sérgio Lousada, Patrícia Escórcio, Joanna Kurowska-Pysz
Abstract: It is taken for granted that new challenges require new approaches. Based on such principles, new methods and strategies allow spatial planning to still evolve as the specific case of the cooperation between sovereign territories. Euro-cities are one of those examples. To reach higher growth and development performances, cross-border cooperation projects of Euro-cities are carrying out several marketing and advertisement efforts to achieve these purposes. Considering the reflection of acquired knowledge in terms of supporting border region developments, especially from the viewpoint of the marketing communication (advertising) organisations in these regions. Throughout the analyses of five Iberian Euro-cities projects, which are based on pivotal processes of the EU cohesion policy - cross-border cooperation. In this regard, the research is able to assess and determinate how those factors, marketing and advertisement, could influence the regional and cross-border development.
Keywords: advertisement; cross-border cooperation; Euro-cities; marketing; regional development.
Foreign motivation? Managerial international exposure and international regional involvement effects on firms' entrepreneurial orientation
by Karina Bogatyreva, Galina Shirokova, William Wales, Richard Germain
Abstract: Despite increasing recognition of the importance of entrepreneurial orientation (EO), insufficient attention has been devoted to international factors which foster EO. In this paper, we examine managerial international exposure and regional involvement in international economic activity as two potential key drivers of firms' EO formation. We explore these focal relationships using a robust sample of 769 manufacturing firms from Russia, a BRIC country and emerging economy that has received relatively scant attention within the literature. Our findings indicate that managerial international exposure increases a firm's EO, and that this effect is weakened as regional involvement in international activity increases.
Keywords: entrepreneurial orientation; managerial international exposure; regional effects; emerging markets; Russia.
The relationship between the structure of the board of directors and firm performance in family versus non-family firms
by Rebeca Garcia-Ramos, Belén Díaz Díaz, Myriam García Olalla
Abstract: This paper investigates the impact of four characteristics of the board of directors (board size, board independence, leadership structure, board meetings) on firm performance (Tobins Q). Accordingly, four hypotheses have been developed. The analysis is based on data (objective variables) from 221 firms operating in three countries (Spain, Portugal, Italy) and differentiates between non-family-controlled businesses (NFCBs) and family-controlled businesses (FCBs). Considering the cross-sectional (three countries) and the time series (six years) nature of the data, we used a panel data estimation approach. Our findings show that, although corporate governance recommendations advocate larger, more independent and proactive boards, as well as structures that ensure the separation of the chairperson and CEO roles, these board features do not always result in more effective boards. Indeed, smaller, less independent and less active boards and dual leadership structures are tied to better performance by the FCBs in our sample as compared with the NFCBs.
Keywords: corporate governance; board of directors; family ownership structure; firm performance.
Determinants of relocation mode choice: effect of resource endowment, competitive intensity and activity character
by Marlena Dzikowska, Radoslaw Malik
Abstract: The study investigates the factors determining relocation mode choice (in-house sourcing, outsourcing, captive offshoring, offshore outsourcing) and provides an insight into the behaviour of companies from a transition economy. A multinomial logit model run on a sample of 150 Polish companies from the automotive and clothing industries allows us to refer to four hypotheses based on strategic management literature emphasising core activities, resource endowment and competition intensity. Our research indicates that relocations undertaken by firms operating in a transition economy are characterised with unique qualities that are not frequently associated with business entities from developed economies and require special consideration.
Keywords: Relocation; relocation mode choice; offshoring; outsourcing; core activities; competitive intensity; resource endowment; in-house sourcing; offshore outsourcing; captive offshoring.
International management of customer orientation.
by José Luis Gonzalez Porras, José Luis Ruiz-Alba Robledo, Miguel A. Rodriguez-Molina, Vanesa F. Guzmán-Parra
Abstract: This study investigates, with a focus on international management, the role of customer orientation of service employees (COSE) and its influence on customer satisfaction and on electronic word of mouth (e-WOM). An empirical study was conducted amongst hotel customers with a final valid sample of 265 respondents Digital capabilities have been included in the COSE model for the first time. Findings indicate that digital capabilities have a positive influence on customer satisfaction that is mediated by COSE. This study has also compared differences between international and national firms and also in considering family business and non-family business criteria. Results show that international hotels have a higher level of COSE than nationals, mainly due to the technical skills of the employees, and the presence of a higher level of COSE in FBs rather than in NFBs. Some contributions to academia and to international management have been discussed.
Keywords: international management; hotels; digital capabilities; customer orientation; customer satisfaction; e-WOM; family business.
When hotels go abroad: the internationalisation of the Portuguese hospitality
by Vitor Braga, Anabela Oliveira, Eliana Silva
Abstract: The tourism sector in Portugal has been experiencing unequal levels of development in its different counties. These different regions display different natural, economic and social characteristics that impact on the internationalisation process and affect the attractiveness of foreign hotel chains. Supported by the existing literature, in this article, we present logistic models, based on data from 2015, to estimate the probability associated to the decision for internationalisation of the hotels' industry or to the establishment of foreign hotel chains in Portuguese territory. The logistic regression model concludes that the existence of a high degree of knowledge, access to inherited or developed resources and the participation on the international trade, affect the probability of internationalisation of hotels. In turn, the probability of foreign hotels establish their activity in a certain region varies according to the international trade, the endowment of natural and historical-cultural resources and its climate.
Keywords: iinternationalisation; tourism; foreign direct investment; logistic regression; OLI paradigm.
Teamwork competence and collaborative learning in entrepreneurship training
by Mauricio Jara, Melany Hebles, Concepción Yániz Alvarez-de-E
Abstract: Given the dynamics of the business environment, training in teamwork competence is becoming increasingly important vis-
Keywords: teamwork competence; university teaching; cooperative learning; innovation; entrepreneurship.
Does internationalisation give firms a second life? Evidence from turnaround attempts of declining firms during performance decline
by Xin Liang, Rongji Zhou, Jugang Yan, Sibin Wu
Abstract: Based upon a sample of 97 US public firms that attempted turnaround from performance decline, we tested the influence of internationalisation on the outcomes of turnaround attempts of firms. We found that internationalised firms had a better chance to recover from performance decline than their domestic counterparts. In addition, the greater the degree of internationalisation, the better chance a firm would recover from performance drop. The chances of recovery do not demonstrate a tendency to decrease even as a firm moves into very high stages of internationalisation. We discuss our results and conclude on what strategies managers can take to achieve successful turnaround.
Keywords: turnaround; internationalisation; strategic option.
Customer information search in the context of e-commerce: a cross-cultural analysis
by Alexandru Capatana, Federica Codignola, Jessica Lichy, Kiyohiro Yamazaki
Abstract: Over recent decades, the internet has emerged as a widely-used e-commerce tool for information searching and decision-making concerning consumer goods and services. Taking into account B2C consumers, greater access to information has generated significant competitive advantage for the firms that operate in the global marketplace. Recognizing the knowledge-intensive nature of online business, information is managed with the intention of delivering unique customer experience. The existing literature puts forward that the search for information represents a fundamental step in the decision-making process. Research shows that in the global marketplace, individuals from different cultures rely on different typologies of information for making shopping decisions. However, few studies have investigated whether, in order to fulfill different information needs, e-commerce informative elements should be localized or standardised depending on the cultural context. In an attempt to fill this gap in knowledge, this paper takes a customer behavior approach to investigate how individuals from Finland, Italy and Japan search for information within the specific context of e-commerce.
Keywords: e-commerce; cross-cultural studies; information search; online customer behaviour.
Immigrants and natives export benefitting from business collaborations: a global study
by Shayegheh Ashourizadeh, Mehrzad Saeedikiya
Abstract: The authors hypothesised that export develops in the network of business collaborations that are embedded in migration status. In that, collaborative networking positively affects export performance and immigrant entrepreneurs enjoy higher collaborative networking than native entrepreneurs due to their advantage of being embedded in the home and the host country. Moreover, the advantage of being an immigrant promotes the benefits of collaborative networking for export compared to those of native entrepreneurs. 47,200 entrepreneurs starting, running and owning firms in 71 countries were surveyed by Global Entrepreneurship Monitor and analysed through hierarchical linear modelling technique. Collaborative networking facilitated export and migration status influenced entrepreneurs networking, in that, immigrant entrepreneurs had a higher level of collaborative networking than native entrepreneurs. Consequently, immigrant entrepreneurs seemed to have benefited from their network collaborations more than their native counterparts did. This study sheds light on how immigrant entrepreneurs network collaborations can be effective for their exporting.
Keywords: export; immigrant entrepreneurs; native entrepreneurs; business collaborations; dual embeddedness.
An empirical assessment of antecedents able to attract the prospective talented workforce for information technology industry across borders
by Bhartrihari Pandiya, Vijayshri Tiwari, Chandra Kant Upadhyay
Abstract: In the present corporate scenario, attracting and retaining highly skilled and talented employees is one of the key to competitive advantage. Employer branding is the latest concept which is being practised by some organisations to create an attractive brand as an employer. The review of the existing literature in the emerging area of employer branding found the antecedents capable of alluring the prospective employees by their employers. A survey instrument was developed with a scale of employer branding to empirically evaluate the employer attractiveness in the Information Technology (IT) sector. The uniqueness of the research is a novel and comprehensive scale in employer branding in the IT sector that will not only help to attract the talented workforce in cross border but also retain them. The findings can be useful for policy-makers in other national borders and Asian countries as they have related and somewhat similar situations.
Keywords: employer; branding; talent management; antecedent; information technology sector.
Born Global phenomenon: a critical review and avenues for future research
by Md Imtiaz Mostafiz, Murali Sambasivan, See-Kwong Goh
Abstract: The phenomenon of Born Global has received significant attention by international business scholars because of its distinctive characteristics. Several theories, perspectives and frameworks have been adapted to investigate and scrutinise the characteristics of Born Global phenomenon. This study aims to review and evaluate critically the literature to (1) discuss the diverse theoretical approaches, (2) discuss the findings from qualitative and quantitative studies, (3) develop holistic conceptual framework, and (4) propose avenues for future research. The in-depth critical literature review includes the analysis of 230 articles published in peer-reviewed journals over a 24-year time-span between 1993 and 2017. The result shows that the interest in the Born Global research has increased gradually. Both theoretical and empirical scholarships have contributed significantly to this interest. Based on the results, a theoretical model has been developed to describe the unrivalled factors to achieve Born Globals' success.
Keywords: Born Global firms; international new ventures; early internationalising firms; Born Global characteristics.
Board gender diversity and strategic change in high-tech firms: evidence from an emerging economy
by Abubakr Saeed, Syed Shafqat Mukarram
Abstract: This article examines the effect of board gender diversity on strategic change in high-tech industries which are associated with high propensity of competition and uncertainty. A sample of 60 Indian high-tech firms listed on the National stock exchange over the period of 2008-2014 is used. First-difference generalized method of moment (GMM) estimation technique is applied for data analysis. Using upper echelon and social identity theories, results reveal that women directors positively affect strategic change in high-tech firms and their industry expertise further strengthens this relationship. Our study offers new insight to managers and policy makers that strategic involvement of women directors enables board to deal effectively industry environmental changes in high-tech firms suggesting that women directors contribution in board strategy is contingent upon industry of the firm.
Keywords: women directors; strategic change; high-tech sector; industry expertise.
Linking diversity on audit committees and financial reporting quality in Poland
by Dorota Dobija, Karolina Pu?awska
Abstract: This study investigates the influential effects of diversity among audit committee members on the quality of financial reporting. We use an insider corporate governance model characterised by high ownership concentration, low minority shareholder protection, and a two-tier corporate governance system to show how different environments affect the efficiency of boards and their AC. Our findings highlight how various diversity characteristics influence a board's monitoring function and can, therefore, help supervisory bodies and regulators promote corporate governance practices, especially the responsibilities of ACs, in both Central and Eastern Europe and other emerging economies.
Keywords: corporate governance; audit committees; international experts; diversity; financial reporting quality; audit reporting lag; Poland; CEE.
Human resources and internationalisation processes. A cognitive based view
by Francesco Caputo, Marco Pironti, Roberto Chierici, Roberto Quaglia
Abstract: The paper aims at contributing to the complex debate about the role of human resources in advancing or hampering companies' internationalisation processes. Adopting a cognitive-based view, a set of variables for coding the role of human resources in internationalisation processes are identified, and their relations with companies' return on sales (ROS) in foreign countries are tested using structural equation modelling. From empirical research involving 638 employees from 45 Italian small and medium enterprises, the findings extend the managerial literature on internationalisation processes and human resource management, highlighting the impact of employees' previous international job experience, culture of origin, cultural orientation toward globalisation, and educational background on companies' ROS in foreign countries.
Keywords: human resources management; internationalisation; cognitive view.
Technological knowledge intensity and entry modes in the European automotive industry
by Denis Lacoste, Pierre-André Buigues
Abstract: In this research, the entry modes (export or foreign direct investments) into foreign markets and the R&D strategies of the major European car manufacturers are analysed over an 11-year period. Three strategic groups are identified and the differences in technological knowledge intensity (TKI) between these three groups are tested. The research indicates that firms with high (low) technological knowledge intensity favour exports (FDI) over FDI (export). Additionally, a decrease of TKI over time is associated with a decrease in export intensity and an increase of FDI. As companies analysed in this study belong to a single industry in a homogeneous economic area, the effect of many variables is neutralised, enabling an in-depth understanding of the phenomena. The study also allows an analysis of the dynamic links between TKI and internationalisation.
Keywords: export; foreign direct investments; internationalisation; technological knowledge intensity; R&D; automobile industry.
Applying a company stakeholder responsibility approach to human resources management: the external human resources model
by Cecilia Casalegno, Chiara Civera, Jerome Couturier
Abstract: This paper uses a stakeholder theory perspective to investigate the phenomenon of External Human Resource Management (EHRM) by amalgamating the concepts of company stakeholder responsibility and strategic and international HRM. We propose a theoretical model based on a literature review, interviews and focus groups to support the emergence of an HRM approach to external resources. Global and complex supply chains are used to develop our study, such as the coffee supply chain, where we demonstrate that vulnerable and low-power stakeholders can turn into valuable and talented external human resources, through specific initiatives of company stakeholder responsibility. Our model illustrates the benefits of adopting such an approach on stakeholder engagement among vulnerable and low-power stakeholders. We discuss that embracing a stakeholder relational approach based on engagement is key to favouring self-initiatives, cooperative strategic posture, fair relationships in society, and attributing social legitimacy to the company.
Keywords: international human resources management; global supply chain; company stakeholder responsibility; external human resources.
Male trailing spouses in the United Arab Emirates: adding novel insight to the prevailing expatriate spouse adjustment frameworks
by Rizwan Tahir, Zarine Chamas
Abstract: Nowadays, female expatriates with male trailing partners have been on the increase and it is likely that this trend will continue in the future. The present study attempts to comprehend the challenges in the adjustment process of the Western male spouses during their time in the UAE. We believe that instead of problematising it as an impediment to be managed, spouses are the partners who stand to gain as much as from the expatriation process as the expatriate employee. This paper extends beyond the conventional trailing female spouses to consider Westerner male spouses of the female expatriates in the UAE where the domestic conditions are very different from China and the USA that have dominated the past research attention. We conclude that this matter will pose a dramatic challenge for the MNC in the coming decade and failure to do so could jeopardise their endeavours in countries such as the UAE.
Keywords: male expatriate spouses; female expatriates; international assignments; UAE .
The interaction of board network structure and network content on firm innovation.
by Tatevik Poghosyan, Kamal Badar, Julie M. Hite
Abstract: This study, extending prior research on the effect of strategic networks on firm performance, examines the impact of board networks on firm innovation. This research examines firm innovation based on the roles and interactions of the debated network structures of structural holes and cohesion and network content available through board ties with partner firms Employing social network data of board interlocks in year 2005, an innovation survey for the period 2008-2010 and the firms financial variables for the period 2000-2010 the hypothesized model was tested using a probit model Findings from the board network of 192 Armenian firms provide empirical evidence of the influence of the interaction between network structure and network content on firm innovation Hence, this study finds that while board network structure does matter, structure alone does not explain firm innovation Rather, the combination of specific network structures, and types of network content stand to provide
Keywords: structural holes; network closure; industry diversity; partners’ assets; partners’ exports; firm innovation; interaction.
Leaders' emotional labour strategies and followers' emotional engagement: mediating effect of perceived transformational leadership
by Qasim Ali Nisar, Noraini Othman, Bidayatul Akmal, Muhammad Sarfraz, Kamal Badar, Muhammad Saeed Aas Meo
Abstract: The purpose of this study is to explore the nature of relationship between leaders emotional labour strategies (surface acting and deep acting) and followers emotional engagement at work; the mediating role of transformational leadership on the relationship is investigated as well. Using mail and personal surveys, data were collected from 372 employees (33 supervisors and 339 subordinates/followers) of 87 NGOs in Malaysia. We employed confirmatory factor analysis (CFA) and structure equation modelling (SEM) techniques for statistical analysis. Findings reveal that leaders' emotional labour strategies (surface acting and deep acting) play a significant role to influence their subordinates' emotional engagement. Specifically, leaders surface acting negatively effects to followers emotional engagement and deep acting has a positive relationship with followers emotional engagement. Moreover, perceived transformational leadership significantly mediates the relationship between leaders' emotional labour strategies (surface acting and deep acting) and followers' emotional engagement. This study gives an insightful understanding of the crucial roles of leaders emotions and followers emotional engagement in the workplace.
Keywords: emotional labour strategies; surface acting; deep acting; perceived transformational leadership; emotional engagement.
Big Five, entrepreneurial orientation, and entrepreneurial intentions
by Edit Terek, Milan Nikolic, Vladimir Brtka, Sanja Bozic, Ivan Tasic, Jelena Rajkovic
Abstract: The paper presents the results of research into the influence of the Big Five, enterprise potential, individual entrepreneurial orientation and entrepreneurial intention (three dimensions: personal attitude, subjective norm and perceived behavioural control) on the entrepreneurial intentions of students in Serbia. There were 488 questionnaires completed by students from seven faculties in Serbia. Perceived behavioural control, and then personal attitude have the strongest statistically significant and positive correlations with the entrepreneurial intentions dimension. Although the possession of finance is a basic need for launching an entrepreneurial venture, it is not crucial: a strong desire for achievement and willingness to take risks may compensate for the possible lack of finance.
Keywords: Big Five; enterprise potential; individual entrepreneurial orientation; entrepreneurial intention; students; Serbia.
Augmented Popperian experiments: a framework for sustainability knowledge development across contexts
by Fred Phillips, Hsing-Er Lin, Trudi Schifter, Nicholas Folse
Abstract: The challenges to sustainability governance across multiple geographical/cultural contexts lead us to the piecemeal engineering idea advocated by the philosopher Karl Popper, which explicitly considers context We argue for adopting the Popperian approach, augmented by adaptive policies and modern collaboration platforms to maximize the prospects of sustainable practices worldwide This recommended course is not intended to be a theory in itself Rather, it is a well-grounded, practicable stop-gap measure in times when complexity and change outpace theories and strategies We present a philosophical foundation for this Augmented Popperian Experimentation Focusing on The Water Network (the largest collaborative platform for water researchers and professionals), we show that sustainability-oriented organizations in the water realm and others are inching toward the practice we advocate Policy and practice implications include speeding informed response to climate change through online collaboration and flexible policies, and the need to tolerate multiple, possibly incommensurate measurement streams.
Keywords: sustainability; governance; piecemeal engineering; collaboration; Karl Popper.
Impact of the interactive mechanism between resource transfer and absorptive capacity on innovation performance: evidence from two Ghanaian automobile clusters
by Michael Addai, Hu Xuhua, Adelaide Spio-kwofie, Chosniel Elikem Ocloo, Abdul-aziz Ibn Musah
Abstract: This study examined the impact of the interactive mechanism between resource transfer and absorptive capacity on innovation performance. The significance of this study is to expatiate on the knowledge, the positioning and the role of absorptive capacity in the process of resource transfer and innovation performance. Data was procured through questionnaire administration using a two-stage cluster sampling procedure in selecting 561 small-scale automobile firms from two automobile clusters in Ghana. We employed the Structural Equation Modelling analytical tool for our analysis. Our result explicitly revealed that the interactive mechanism (A_X_B) between resource transfer and AC results in a far more positive and significant impact on innovation performance than AC acting as a mere moderator. We recommended that Ghanaian automobile cluster-based firms should develop their absorptive capacity to ensure that, at all times they possess the capacity to identify resources that only have the grounded potential to enhance innovation performance.
Keywords: resource transfer; absorptive capacity; innovation performance; automobile clusters; interactivity mechanism.
When silence creates noise: an analytical review of manifest, hidden, and silent trends in self-initiated expatriate studies
by Kamila Moulaï
Abstract: Self-initiated expatriates (SIEs), people who decide to expatriate without organisational support, are a valuable resource for companies and a rich source of human capital. Today, understanding these workers remains challenging for academic experts and managerial structures. Therefore, in order to better understand the enigma posed by this demographic, the present paper offers an investigation of the theoretical approach to SIEs that has been used in previous management studies. This review contributes to the literature by exploring and analysing research methods and studies that have been developed over time to understand this population. Indeed, this contribution goes further than identifying theoretical advances made in studying these mobile workers; it examines the challenges and shortcomings encountered in knowledge advancement on SIEs. It also provides valuable material to aid scholars to not only overcome some barriers to studying this population, but also to shape stronger managerial recommendations.
Keywords: self-initiated expatriation; expatriates; analytical review; international mobility; talent; globalisation; global mobility; international HRM; organisations; management; theorisation; conceptual development.
The missing link between governance factors and entrepreneurial internationalisation of family SMEs: an empirical analysis for an emerging economy
by Waleed Omri, Pinar Sener, Abdoulkarim Idi Cheffou
Abstract: This study aims to clarify the conflicting results regarding the influence of family ownership on international entrepreneurial strategies. Drawing on the stewardship, resource-based view, and principal-principal perspectives, we hypothesise an indirect relationship between family ownership concentration and international entrepreneurial orientation through the proportion of the independent directors in the board. We tested our hypotheses using structural equation modelling on data drawn from 194 family small- and mid-sized enterprises in Tunisia. Our analyses confirmed the positive association between family ownership concentration and international entrepreneurial orientation, as well as a partial mediating effect of board independence on this association. We provide several practical implications and future research themes based on our findings.
Keywords: international entrepreneurship; international entrepreneurial orientation; family ownership; board independence; family business.
Asymmetrical influence of personality on entrepreneurship
by Manuel Alonso Dos Santos, Jorge Espinoza Benavides, Karla Soria-Barreto
Abstract: The objective of this study is to explore the antecedents of the formation of entrepreneurial intention from a linear, causal and asymmetrical perspective. We have combined the Ajzen model applied to entrepreneurship, including two personality variables (self-confidence and creativity). This study involves a structural equation model based on partial least squares (PLS) and fuzzy set qualitative comparative analysis (fsQCA). All of the hypotheses were supported except for the influence of the variables subjective norms and self-confidence on EI. The PLS model explains 68.7% of the variance of EI. According to the QCA results, four models explain 88.1% of the existence of EI. The two models with the greatest degree of coverage are: Self-Confidence
Keywords: entrepreneurial intention; Ajzen theory; creativity; self-confidence; Chile; asymmetrical perspective; partial least squares; PLS; fuzzy set qualitative comparative analysis; fsQCA; QCA.
Disengagement factors associated with creativity in organisations: a conceptual framework
by William McDowell, Gerald Burch, John Batchelor, Jana Burch
Abstract: This research develops and presents a model of creativity disengagement by integrating research in the fields of New Product Development (NPD), Technology and Innovation Management (TIM) research, and Organisational Behaviour (OB). This deliberate approach of taking an antithetical view of creativity takes into consideration the process of innovation and the psychological conditions that must be present for employees to decide to engage in creative tasks. A full conceptual model is developed to identify mechanisms that remove roadblocks that stand in the way of creativity within organisations. Finally, the article concludes with over 100 specific disengagement factors for diagnosing creativity issues within organisations.
Keywords: creativity disengagement; new product development; technology; organisational behaviour; innovation.
Mediation effect of work-life balance between big five personality traits and eudaimonic wellbeing among Indian business school teachers
by Pooja Soni, Kanupriya Misra Bakhru
Abstract: Much research has been done in understanding the concept of eudaimonia but it lacks identifying correlates and predictors that have a significant impact on eudaimonic wellbeing. The aim of the study is to examine whether work-life balance mediates the relationship between big five personality traits and eudaimonic wellbeing of Indian business school teachers. The result indicates a full mediation effect of work-life balance between big five personality traits and eudaimonic wellbeing. It implies when business school teachers possess a positive personality they may perceive better work-life balance, which in turn may lead to a higher eudaimonic aspect of wellbeing. This work makes an original contribution to the limited research towards identifying significant factors affecting eudaimonic wellbeing. Work-life balance as a mediator of the relationship between big five personality traits and eudaimonic wellbeing has not been explored earlier and thus this study adds to the body of knowledge. The outcome can be used for dispositional job redesign, work-life policies and intervention planning for a eudaimonic interface.
Keywords: eudaimonic wellbeing; work-life balance; big five personality traits; bootstrap; business school teachers.
An analysis of the socioeconomic characteristics that determine religious choice.
by Jose Manuel Guaita Martínez, Jose María Martín Martín, Andrea Burgos Mascarell
Abstract: This paper analyses the relationship between religious choice and the socioeconomic characteristics of citizens. The data were obtained from an ad-hoc survey involving 2,708 people, a representative sample of the population in the Andalusian region of Spain. The existing literature indicates that some socioeconomic determinants have an influence on social and religious contexts; therefore, by conducting the research in a different context, this study is an extension to the existing bibliography. The correlations, both simple and multiple, between age, gender, level of studies and income, and the choice of religion were analysed. The results show that income and educational level have a significant effect on religious choice; however, despite both being interrelated, it is a higher level of income that causes people to move away from Catholicism and towards atheism, whereas higher educational attainment results in more individuals defining themselves as agnostics and a few as non-practising Catholics.
Keywords: religious choice; socioeconomic determinants; education; income; Spain.
SMEs prefer JVs: why SMEs' equity entry mode choices are different from those of large firms
by Maria Cristina Sestu, Alfredo D'Angelo, Antonio Majocchi
Abstract: Using a sample of 770 foreign market entries in the time period 2005-2015 we examine whether the entry mode strategies chosen by SMEs are different from those of large firms. Our findings reveal that when compared to large firms, SMEs tend to rely more on cooperative entry modes. More specifically, SMEs prefer equity joint venture rather than wholly owned subsidiary. Using a propensity score matching approach to avoid sample bias issues, our results show that the choice between joint venture and wholly owned subsidiary is strongly influenced by the size of the investing firm and by their financial resources, while the family ownership structure is not a significant discriminant. We discuss the theoretical underpinnings of our findings along with the managerial implications emerged from this research
Keywords: entry modes; joint venture; wholly owned subsidiary; SMEs.
Exports and firm growth: the moderating effect of innovation
by David Rodeiro-Pazos, María Jesús Rodríguez-Gulías, Sara Fernández-López, Manuel Nogueira
Abstract: It has been claimed that innovation and export activities are important performance vehicles that can increase firm growth. Previous research has ignored how the links between firms' exports and innovation simultaneously affect employment growth at the micro level. In this paper, using a sample of 3267 Spanish manufacturing firms over the period 2004 to 2014, we explore the combined effect of exports and innovation on firm employment growth by using quantile regression dynamic panel models. Our results reveal that exporting has different effects on employment growth depending on firm size and the types of innovative activity carried out by firms. The authors find that the employment growth of innovative firms is negatively affected by export activities. Furthermore, the firm growth driven by R&D activities is slightly more pronounced in non-exporter SMEs and in large innovative firms, export activities are positively associated with employment growth in the upper quantiles.
Keywords: exports; innovation; employment growth; Spain; panel data; quantile regressions; manufacturing firms.
Evaluating the role of Confucian virtues in Chinese negotiation strategies using a Yin Yang cultural perspective
by Gregor Pfajfar, Agnieszka Malecka
Abstract: The purpose of the paper is to assess the dynamic and paradoxical nature of Chinese culture and Confucian virtues; particularly how deeply rooted they are in the culture and how they impact negotiation strategies of Chinese negotiators. A multiple case study method revealed important implications for negotiations with the Chinese. Just a few of the identified factors impacting negotiation strategies of the Chinese were location within China, industry, business partner personal characteristics, hierarchy, age, seniority, and guanxi. More importantly, their negotiation strategies are changing in time, depending on the context and situation. In the case of high hierarchy and power distance, Chinese negotiators will resort to rites and rituals (li) as a tactic of a more competitive or distributive (win-lose) negotiation strategy. However, when they expect and seek long-term relationships (win-win negotiations), Confucian virtues of benevolence and compassion (ren), honesty and righteousness (yi) and faithfulness (xin) will be amplified.
Keywords: negotiation strategies; Confucian virtues; Yin Yang conceptualisation of culture; guanxi; Chinese negotiator's personality; case studies.
From brain drain to brain gain in emerging markets: exploring the new agenda for global talent management in talent migration
by Yanbing Mao, Marina Latukha, Louisa Selivanovskikh
Abstract: The research aims to provide a review of the brain gain and brain drain phenomena in the emerging market context. Specifically, we investigate the push and pull factors of talent migration focusing at society-, firm-, industry- and location-specific determinants, and develop a theoretical framework that establishes the relationships between different types of factors and global talent management. The paper extends the understanding of the role of global talent management and global talent mobility in non-Western contexts. Through a series of propositions, we claim that global talent management, as a system of practices aimed at attracting, developing and retaining talented workers on a global scale, may serve as a mediator in transforming outward talent migration into inward talent migration, thus stimulating future empirical research on the topic.
Keywords: brain drain; brain gain; emerging markets; global talent management; talent migration.
Investors' knowledge and interlocking directorship: the domino effect of media news on corporate performance
by Elvira Anna Graziano, Lucrezia Fattobene, Vincenzo Farina
Abstract: Owing to social structures that promote different types of connection, including investments and vertical relationships, boards of directors of international large companies often have some directors in sharing. Managing these complex relationships is very relevant both in terms of human resource management and knowledge management. Investors' knowledge usually is influenced by the news on interlocked directors affecting financial market trends. Using an event-study methodology, this paper aims to investigate whether newspaper articles (1999-2013) mentioning CEOs and Chairmen affiliated to multiple organisations influence the stock market prices of the companies where they are appointed. Results highlight that when the directors serve two different companies, they work as a transmission channel in influencing investors' knowledge and behaviour through media.
Keywords: investors' knowledge; interlocking directorship; human resource management; media effect; text analysis; event study; investors' behaviour; knowledge management; board of directors; domino effect.
The impact of ecosystem on the speedy internationalisation of born global firms in emerging markets
by Mohammad Falahat, Zizah Che Senik, Yan Yin Lee, Melissa W. Migin
Abstract: This study presents the ecosystem of born global firms in emerging markets by combining international entrepreneurship, born global perspective, and the forces contributing to the advancement of competitive capabilities. The qualitative approach through in-person interviews with six born global firms was employed. Thematic coding was performed to facilitate model building required for this study. Findings reveal that triggering facets of push and pull factors, government support initiatives, enabling factors of entrepreneurial characteristics, market orientation, learning orientation and networking strongly contribute to building the competitive capabilities of born global that leads to speedy internationalisation. This study extends the research agenda in the field of international entrepreneurship in emerging markets by presenting the ecosystem comprising seven triggering, supporting, and enabling forces contributing to competitive capabilities that lead to the speed of internationalisation of export-oriented enterprises in emerging markets.
Keywords: early internationalisation; speedy internationalisation; ecosystem; born globals; institutional voids; competitive capabilities; emerging markets.
A longitudinal study of birth, death and survival rates of micro companies in the European Union
by Fernando Almeida
Abstract: Micro companies play an extremely important role in the economy being the main driver of economic growth. They contribute decisively for employability, business innovation and in reducing social asymmetries. This role of micro companies in particular, and small and medium enterprises in general, is widely recognised in the literature. Nevertheless, the number of longitudinal studies that explicitly address the contribution of micro companies to the European economy is small, and most of them are essentially reports produced by European and national agencies that analyse the importance of this phenomenon in their economies. This study intends to characterise the birth, death and survival rates of micro companies in the European Union. The study adopts a quantitative and statistical approach in data analysis between 2008 and 2016, which allows us to characterise the evolution of these indicators and to understand which countries have the best and the worst performances.
Keywords: micro companies; small and medium enterprises; economic performance; European Union; European economy.
Effect of internal knowledge sourcing on multinational enterprise subsidiaries' service innovation performance: the mediating role of organisational learning
by Charles Oduro Acheampong Otoo, Wenyuan Li, Wisdom Wise Kwabla Pomegbe, Courage Simon Kofi Dogbe
Abstract: The study assesses the mediating role of organisational learning on the relationship between internal knowledge sourcing and MNE subsidiaries' service innovation performance. The study was based on primary data gathered from 156 MNE subsidiaries. We found exploratory learning had a partial mediating effect on the relationship between internal knowledge sourcing and MNE subsidiaries service innovation performance, but the effect was negative. Exploitative learning had a positive mediating effect on the relationship between internal knowledge sourcing and MNE subsidiaries' service innovation performance. Although previous studies have focused on the combined effect of exploratory and exploitative learnings (thereby considering organisational learning as a single construct), this study points out that the relationships of the two dimensions with internal knowledge sourcing were different.
Keywords: internal knowledge sourcing; organisational learning; exploratory learning; exploitative learning; service innovation performance; multinational enterprises.
Host country factors and international joint venture survival in the Middle East and North Africa
by Emna Moalla, Dora Triki, Ulrike Mayrhofer
Abstract: The purpose of this article is to analyse the influence of three host country-specific variables (political risk, cultural distance, level of economic development) on international joint venture (IJV) survival in the Middle East and North Africa (MENA). The authors compiled a database of 124 IJVs established in MENA countries. The findings demonstrate that cultural distance and the level of economic development have an impact on IJV survival, whereas political risk does not seem to affect IJV sustainability in this region. The study contributes to the debate about the role of host country factors for IJV survival, indicating that these factors may vary across geographic regions.
Keywords: survival; international joint ventures; political risk; cultural distance; level of economic development; MENA region.
Do institutional quality, innovation and ICT technologies promote financial market development?
by Muhammad Asif Khan, Domicián Máté, Mohamued Elyas Abdulahi, Rabeea Sadaf, Muhammad Atif Khan, Jozsef Popp, Judit Oláh
Abstract: Over the last two decades, emerging markets have received much attention due to their substantial development relative to the rest of the world This is mainly based on the progress of the financial sector Considering these facts, this study investigates whether the quality of financial institutions, and the innovative and technological environment stimulated financial development in various (22) emerging markets during period from 2006 to 2017 The analyses are based on distinctive competitiveness pillars, and additional control variables from the World Economic Forum?s publication, the Global Competitiveness Index, and the World Bank?s Development Indicators Another novelty of this research is its investigation of the moderation effect of innovation and ICT technologies on the quality of institutions The empirical findings of the linear and dynamic regressions (generalized method of moments) affirm that the interaction of innovation and technology with well-functioning institutions can accelerate the development of financial markets in emerging economies
Keywords: ICT Technologies; Institutional quality; Innovation; Financial market development.
Bibliometric analysis of the theory of effectuation and the internationalisation of small and medium-sized enterprises
by Juan Gil-Barragan, Jose Antonio Belso Martinez, Francisco Mas
Abstract: This article presents a review of the literature on the theory of effectuation and the internationalisation of small and medium-sized enterprises. Bibliometric analysis of 30 articles collected from the Web of Science database was performed. Using Bibexcel, VOSviewer, Pajek and Tree of Science to analyse the data, mathematical and statistical methods were applied to classify the literature and identify its structure and key trends. The results of the bibliometric analysis are based on evaluation of the most influential authors, articles and journals. The impact of the articles was evaluated, and the structure of the research field was identified. To test the robustness of the results, we also run a bibliometric analysis of 25 articles collected from Scopus database. This analysis revealed substantial similarities that allow us to identify the conceptual structure of this research field. The results can be used to support further research in this area.
Keywords: effectuation; internationalisation; SMEs; bibliometric analysis; co-citation analysis; intellectual structure; Born global; Uppsala model.
The effect of internal and external practices of green supply chain management on performance and competitiveness of a company
by Ali Nazeri, Soodabeh Gholami, Nasser Safaie
Abstract: The purpose of this paper is to evaluate the effect of internal and external practices of green supply chain management on organisational performance and competitiveness. The validity of the questionnaire was approved based on the views and comments of academic and industrial experts In addition, Cronbach's alpha for this questionnaire was more than 0.7. The obtained data were statistically analysed in Amos software application. Then, the research hypotheses were tested in order to find out whether they are confirmed or rejected. The results showed that, out of 31 hypotheses, eight were rejected, as the significance level of the impact factor was greater than 0.05, and the others were confirmed. In other words, company size and ISO certificate showed no moderating effect on environmental, social, and operational performance. Hence, green supply chain management provides an opportunity for a company to invest in the design and production of green products.
Keywords: green supply chain management; performance; competitiveness.
How open are SMEs? Exploring the impact of different open innovation practices
by Ignacio Odriozola-Fernandez, Jasmina Berbegal-Mirabent
Abstract: SMEs tend to collaborate with many other economic agents to gain new ideas and build a solid network, with the ultimate purpose of increasing their profitability and sales, and expanding their market share. Rooted in this context, this paper aims at shedding new light on the adoption of open innovation in SMEs. Specifically, we examine the combined effect of open innovation practices, innovation performance and the characteristics of the firm that, according to the literature, have been found to shape firms' performance. Given the heterogeneity inherent in SMEs, we expect to find different patterns that firms follow based on their capabilities, vision and characteristics. The empirical application is based on a sample of 32 SMEs located in the Spanish region of Valencia. The methodology we use is qualitative comparative analysis, which has been found to be suitable when assuming causal complexity, as it is the case in this study
Keywords: SMEs; open innovation; qualitative comparative analysis; strategic choices.
Coopetition strategies of start-ups: evidence from a Spanish regional innovation system
by Jasmina Berbegal-Mirabent, Dolors Gil-Doménech, Carolina Senent-Bailach
Abstract: Start-ups operate in a highly competitive environment, surrounded by companies that offer similar products and services. In this context, collaboration between competitors has been found to help companies reduce risk and share costs, resources and expertise. Despite its relevance, coopetition (i.e. the simultaneous pursuit of cooperation and competition) in entrepreneurship has attracted little scholarly attention. This study aims at filling this theoretical and empirical gap by exploring the impact of coopetition on the performance of start-ups. Drawing on the existing literature, this study also considers innovation and knowledge sharing as key factors that can shape business performance. The analysis is based on qualitative comparative analysis because the focus is on the combined effect of the determinants of firm performance rather than their net effects. This approach enables us identifying different start-up strategies. The results indicate that coopetition and innovation are key factors. However, knowledge sharing is only relevant when coopeting start-ups either have solid market experience or are highly innovative.
Keywords: coopetition; innovation; knowledge sharing; performance; start-ups.
Institutional theory and outward foreign direct investment: a review and future directions
by Bernardo Silva-Rêgo, Ariane Figueira
Abstract: This study aims to map what we know and what we do not know concerning both the institutional theory and OFDI in order to elucidate how this subject has been treated in the international business arena and how it could help us to understand not only the emerging markets phenomena, but also how institutions and OFDI can open new research venues to the understanding of IB. To do so, we reviewed 140 papers concerning the relationship between institutions and OFDI. By applying both keyword co-occurrence and content analysis, our review showed that the main researches are distributed into five sub-fields: government support, location choice, market strategy, political institutions, and specific advantages. This article not only maps studies, but also shows underexplored research streams and how each one impacts the IB studies. Additionally, our study can help develop future studies by pointing out research gaps.
Keywords: institutional theory; OFDI; bibliometrics; review; determinants; entry mode; location choice; ownership; international trade; qualitative content analysis.
Ethics of retailer and customer citizenship behaviour in e-commerce: the role of perceived reputation and identification
by Quang Ngo Van, Zhi Yang
Abstract: The main purpose of this research is to examine the influence of the ethics of online retailers on consumer citizenship behaviour (CCB), and the role of perceived reputation and customerretailer identification (CRI) in this relationship as well. This research collected data from a survey with the participants who had online purchase experiences. Finally, 318 valid and usable questionnaires collected are tested by applying partial least squares (PLS) approach. The results showed that the ethics of online retailers have both direct and indirect influences on CCB through the mediating effect of consumer perceived reputation. Especially, CRI positively moderates the relationship between the ethics of online retailers and CCB. This is among the first researches that focus on the importance of ethics in terms of significant effects on customer perceived reputation and CCB.
Keywords: perceived ethics; perceived reputation; customer citizenship behavior; customer-retailer identification; e-commerce.
Investigation of earnings management based on unique country samples
by Katarina Valaskova, Maria Kovacova, Peter Adamko, Elvira Nica, Tomas Kliestik
Abstract: Earnings management is the use of accounting techniques to produce financial reports that present an overly positive view of corporate business activities and financial position. Earnings management creates financial statements that inflate earnings, revenue, or total assets. This paper describes the basic concepts of the earnings management phenomenon, reviews the mainstream studies and portrays the genesis of earnings models development. The main aim of the paper is to assess the ability of selected earnings models applied in the national environment of Slovakia and Poland to reveal the earnings manipulation and to identify which of them reflect the country specificities more appropriately. The results show that the Jones modified model should be used in Slovakia and the Key model in Poland to detect the earnings management. Moreover, it was revealed that companies in both countries tend to manipulate earnings upwards and verified a difference in earnings manipulation over the years.
Keywords: accounting principles; discretionary and non-discretionary accruals; earnings management; earnings models.
'No saints', 'No sinners': corporate social responsibility impact on occupational embeddedness and corporate brand trust with extrinsic motivation as a moderating construct
by Evans Asante Boadi, Yongan Xu, Josephine Bosompem, Enock Mintah Ampaw, James Agyei
Abstract: Drawing on a conservation of resource theory perspective, this study investigates the effects of corporate social responsibility (CSR) on employees occupational embeddedness and corporate brand trust with the moderating role of extrinsic motivation in these relationships. A sample of 273 subordinate employees drawn from the banking sector in Ghana was analysed using hierarchical regression. The empirical results indicated that: (1) these employees' favourable perception of CSR related positively to their occupational embeddedness and corporate brand trust; and (2) the moderating effect of extrinsic motivation on CSR-occupational embeddedness link was stronger than the CSR-corporate brand trust link. Based on these results, recommendations are made to HR managers on the strategic impact of CSR on employees in times of trust deficit in the service industry and beyond. Recommendations on the extent to which employees can be motivated extrinsically with less compromise on the focus of the work itself are also articulated
Keywords: corporate social responsibility; occupational embeddedness; corporate brand trust; extrinsic motivation; Ghana.
The role of HR best practices of graduate Saudis from foreign universities on the performance of the a mining company.
by Naif Allruwaili
Abstract: This study examines the impact of implementing human resources best practices in hiring Saudi nationals who are graduates from prestigious US and British universities on the performance of Ma'aden Company in terms of technology control, English proficiency and adaptation to globalisation. The study population and sample are national graduates who are working for the Ma'aden Company and who have graduated from US or British universities. The data were collected through a field study (questionnaire) and subjected to statistical analysis using factor analysis. The study highlights the role of Saudi graduates from foreign universities in changing human resource practices as well as improving the performance of the Ma'aden Company.
Keywords: Human resource management; HR best practice; Saudi Arabia national graduates.
Strategic analysis of e-book pricing models in the presence of network externalities
by Linlan Zhang, Lidan Fan
Abstract: In the presence of network externalities, we consider a two-echelon supply chain which consists of a publisher and a retailer, both e-books and physical books are simultaneously sold to consumers in this setting. We analyse pricing strategies of the publisher and the retailer under two different models that are widely used in the real market: agency and wholesale. We find retail prices of both e-books and physical books in the agency model are lower than those in the wholesale model. Our results may explain why retail prices of books in China are much lower than in developed countries to some extent. As Chinese consumers' acceptance of e-books rises, the wholesale model and higher retail price of books maybe the trends in the future e-books industry in China. Further, we identify that e-reader and e-books are complementary.
Keywords: e-book; e-reader; agency model; wholesale model; network externalities.
Development and fit of HRM over time in foreign subsidiaries: The case of Japanese subsidiaries in Poland
by Fabian Froese, Tomasz Olejniczak
Abstract: Human resource management (HRM) is a critical function in the management of foreign subsidiaries, yet we know little about how it is established and developed over time. This study investigates how HRM develops over time in a foreign subsidiary and how HRM fit is maintained and managed during this process. Based on a longitudinal, in-depth study of twelve Japanese manufacturing subsidiaries located in Poland, we propose a stage model of subsidiary HRM development, delineating changes in various types of HRM fit. Furthermore, we identify internal and external contingency factors (industry, mode of establishment, regional headquarters, and key organizational actors) that influence the development and fit of HRM.
Keywords: human resource management; Japan; Poland; subsidiary; organisational life cycle; fit; stage models.
The process of the process of internationalisation: cognitive and behavioural perspectives in small ventures
by Bozidar Vlacic, Miguel González-Loureiro, Jonas Eduardsen
Abstract: This paper investigates the internationalisation decision-making process from the perspective of the decision makers cognition. The aim is to advance the theoretical arguments that help explain the heterogeneous patterns of internationalisation for smaller ventures. Our framework includes the four-stage psychological process of decision-making: perception, options, evaluation and choice under the interactive effect of two-cognitive systems, namely experiential (Sys-1) and analytical (Sys-2). Based on interviews with six owners operating small ventures in high-tech industries, we found that accelerated patterns of internationalisation can be associated with increased levels of decision-makers experiential reasoning combined with lower levels of analytical reasoning interventions through the entire decision-making process of internationalising. Conversely, incremental and slower patterns of internationalisation can be associated with increased levels of analytical reasoning and lower levels of experiential interventions. Overall, we supplement the extant approaches to internationalisation with the Dual Process Theory of how individuals process information to make decisions.
Keywords: internationalisation process; dual-process theory; decision-making; managerial cognition; analytical reasoning; experiential reasoning; INV; Uppsala model; earliness; speed of internationalisation.
Institutional learning, cultural differences and the motivation of syndication among cross-border venture capital firms in China
by Xiaoli Wang, Ye Yang, Linlu Tang
Abstract: Along with the globalisation trend, cross-border venture capital (VC) investments in emerging markets have also attracted many scholars' attentions. Confronted with the uncertainties of cultural distance and institutional difference, cross-border VC firms choose syndication as an effective investment strategy to reduce the risk. In this paper, we systematically investigate the motivation of the cross-border venture capitalists to form syndication with local VC firms when they invest in China's venture capital market, i.e. the determinants of their syndication decisions. To our knowledge, we are the first to incorporate cultural distance and institutional learning into the analysis of cross-border syndication decisions, and we believe our research will help investors better understand the foreign VC firms' syndication behaviours under the unique culture and institutional environment of China.
Keywords: cross-border venture capital; syndication; cultural distance; institutional learning.
The impact of innovation on the export activity of 'born global' firms: a configurational approach
by Valeska V. Geldres-Weiss, Joaquín Monreal-Pérez, Peter Hwang, Ana F. Moraga-Pumarino
Abstract: Born global firms have to be innovative to boost their international competitiveness. Using a sample of 744 firms from Chile, we studied the effects of innovation (measured by R&D, product innovation and business model innovation) on firms export activity in the context of born globals. We used a configurational approach (fsQCA) to disentangle the complex relationship between born globals and export performance. The approach is appropriate for examining causal relationships and information asymmetry. With the robustness of fsQCA, we found that there are three configurations that link several born global attributes (mainly young and small firms), together with the three indicators of firm innovation performance (R&D, product innovation and business model innovation), and lead to intense export activity. This may be because these firms, with their shortage of resources, must take advantage of the resources they do have through innovation and achieve high international competitiveness by exporting.
Keywords: born global firms; export activity; R&D; product innovation; business model innovation; configurational approach.
The influence of the multilingual environment on multinational team decision-making processes: a literature review and proposed conceptual model
by Albert Krisskoy, Matevz Raskovi?
Abstract: Following a recent research call by leading authorities in the field of language-related international business (IB) research, we focus on multilingualism in multinational teams (MNTs). We approach multilingualism as an organizational environment (not as a skillset). We explore how the multilingual organizational environment influences decision-making processes within MNTs. We start with a bibliometric literature review which shows to what extent team-level aspects of language and multilingualism have been explored so far in the literature. This is followed by a focused literature review examining the influence of the multilingual organizational environment on decision-making processes within MNTs in a balanced manner (positive and negative outcomes) at both the individual and team level. We present a 2-by-2 multi-level dynamic conceptual model (with positive/negative effects) of multilingual environment phenomena, mechanisms and outcomes focusing on MNT decision-making. We finish with future directions and questions to guide research on multilingualism in MNTs.
Keywords: language; socio-linguistics; the multilingual environment; multinational teams; decision-making; cognition; bibliometric review; literature review; future research.
The use of English as corporate language in global knowledge work over a 15-year business career
by Tiina Räisänen, Anne Kankaanranta
Abstract: This paper investigates the use of English as corporate language in the everyday global knowledge work of a business practitioner over his 15-year career. The data, collected over the practitioner's career, include both authentic data such as recordings of work practices and email communication, as well as interviews and ethnographic field notes. Applying content and genre analysis, we investigate how the practitioner's use of different genres of English as corporate language changes over time and how his experiences follow suit, enabling agency, participation and engagement in the global knowledge economy. While at the beginning of his career the trainee practitioner produces backstage genres only, as a manager he needs to navigate between official, frontstage genres and the mixed genres falling between the two extremes. Over his 15-year career the novice practitioner becomes a global knowledge worker who is empowered by his competence in English as corporate language.
Keywords: corporate language; English; lingua franca; MNC; knowledge work; genre; language-sensitive management research; ethnography; authentic text data.
Do multiple commitments predict job satisfaction in non-profit organisations? A longitudinal analysis
by Anat Freund, Amit Zriker
Abstract: This longitudinal study examined the relationship between multiple commitments (affective and continuance organisational commitments, career commitment, and job involvement) and job satisfaction at three time intervals. Participants were 122 employees working at an Israeli non-profit organisation. Results showed that the time elapsed between the measurement of multiple commitments and that of job satisfaction was a significant factor affecting the value of multiple commitments as predictors of job satisfaction. A short interval between the measurement of multiple commitments and the measurement of job satisfaction correlated with a better prediction value. Implications for future research on commitment and job satisfaction are discussed.
Keywords: multiple commitments; job satisfaction; third sector organisations; longitudinal analysis; management.
Do organisations' aims affect entrepreneurial orientation and inter-organisational cooperation? A report on Polish cooperatives and for-profit enterprises
by Rafal Kusa, Joanna Duda
Abstract: The aim of this study is to examine inter-organisational cooperation and the entrepreneurial orientation of an organisation in the context of its aims. This is shown with the example of cooperatives. Three hypotheses are tested; they pertain to the similarities and differences between cooperatives and for-profit enterprises in terms of entrepreneurial orientation, inter-organisational cooperation, and internationalisation. The hypotheses are tested with a U-Mann-Whitney analysis on a sample of 28 cooperatives and 44 small and medium-sized enterprises operating within the region of Lesser Poland. The findings confirm that entrepreneurial orientation is a universal characteristic of an organisation (regardless of its aims) and plays an important role in the performance of cooperatives. Additionally, the findings show the similarity in terms of cooperation as well as the differences in terms of the degree of internationalisation between cooperatives and for-profit enterprises. With its findings, this paper contributes to entrepreneurship theory and social economy theory.
Keywords: entrepreneurial orientation; entrepreneurship; inter-organisational cooperation; internationalisation; innovativeness; risk-taking; proactiveness; cooperatives; social economy; emerging economy.
The role of user experience in shaping employees' dynamic capabilities based model of job performance
by Katarzyna Tworek, Agnieszka Bienkowska, Anna Sa?amacha
Abstract: This paper concerns inclusion of the User Experience (UX) in the Employees' Dynamic Capabilities (EDC) based model of job performance, as a construct related to the currently changing job characteristics with potential to strengthen the indirect relation between EDC and job performance. The proposed theoretical framework is verified empirically on the sample of 550 organisations operating in Poland and in the USA. The verification shows that UX is a moderator of the relation between EDC, person-job fit, job satisfaction, work motivation, work engagement and job performance, and therefore might strengthen the overall impact of EDC on job performance.
Keywords: management; employees' dynamic capabilities; user experience; job performance; job satisfaction; person-job fit; work motivation; work engagement.
Pain points and challenges of cores return management among German and French automotive aftermarket companies
by Michal Pla?ek, Alena Klapalová, Gabriela Vaceková, Radoslav Skapa
Abstract: In the last years, circular economy is receiving increasing attention from politicians and business stakeholders worldwide including the automotive industry. Demand for the remanufactured spare parts for vehicles is forecast to grow in the following decade and one way to satisfy demand is to increase the efficiency and effectiveness of reverse logistics and core return management. There is a need to identify potential problems and barriers for circular economy business in general, and to ascertain the specific obstacles in industries that go through marked changes. The aim of this paper is to help to fill in this gap and to gain knowledge and understanding of pain points and challenges perceived by French and German representatives from the automotive aftermarket when managing the return of cores for remanufacturing. In-depth face-to-face and telephone interviews within 18 multiple-case studies were employed in both countries.
Keywords: cores return management; automotive aftermarket; pain points; challenges.
The impact of business method plagiarism on customer trust: a cultural comparison
by Hsiaoping Yeh
Abstract: Owing to the furious pace and volume of new business methods in the competitive e-marketplace, plagiarism, for time saving, seems to be an easy and quick alternative to success. Business methods could be developed for e-commerce applications simultaneously. The developers might not know another's work and may think that the idea is common and obvious. While the plagiarism is treated as a cheat and causes the loss of public trust toward the plagiarist, this study has verified that this phenomenon is also applicable to e-businesses and provides evidence that plagiarism would harm customers' trust in the plagiarising e-retailers. The reaction of customers in the USA is more noteworthy than that of the Taiwanese customers. Taiwanese customers tend to forgive the plagiarism when they perceive a higher reputation and quality experiences gained from the plagiarists; yet, American customers will not change much of their attitude under these conditions.
Keywords: plagiarism; customer trust; customer experience; benefit; reputation.
Chief Executive Officers' characteristics and the internationalisation of small and medium-sized enterprises: a quantile regression approach
by Abubakr Saeed, Ishtiaq Ahmad, Muhammad Saad Baloch, Judit Oláh, Jozsef Popp, Domicián Máté
Abstract: Chief Executive Officers (CEOs) play a crucial role in the managerial decisions of firms. The objective of this study is to analyse the role of CEOs in the internationalisation process of SMEs (small and medium-sized enterprises). Explicitly, the study investigates the impact of CEOs' demographic characteristics on the internationalisation process of SMEs. Based on the theoretical perspective of the resource-based view, the upper echelons theory, and the information processing theory, the study assumes that CEOs' characteristics, including tenure, education, age, and political connectedness affect the international performance of SMEs. Applying a novel (quantile) regression technique on UK-based small and medium-sized enterprises for the period from 2004 to 2015, the study offers evidence of CEOs' political connections. Moreover, the results show that educational levels positively influence the internationalisation process, while tenure and age negatively influence the internationalisation of SMEs.
Keywords: Chief Executive Officer; internationalisation; SMEs; tenure; age; political connectedness; education.
A comparison of the impact of high performance work practices in Pakistan and the UK
by Sadia Nadeem, Sharmeen Nasir
Abstract: Two key debates in the high performance work practices (HPWPs) literature relate to the comparison of HPWPs and high performance work systems (HPWSs), and the cultural effectiveness of these practices. This study contributes to both these discussions through examining the impact of HPWPs and HPWSs on individual and organisational level outcomes in Pakistan and the United Kingdom (UK). The study is based on multi-level models on primary data from 3,460 employees nested in 222 organisations in Pakistan, and secondary data from 21,981 employees nested in 1,923 organisations from the British Workplace Employment Relations Survey (WERS) in the UK. Overall, individual practices explained greater variance in desired outcomes than HPWSs in both countries, suggesting that HPWSs do not necessarily work effectively. Furthermore, complexity is added in terms of understanding the effectiveness of practices when used across cultures, as results indicate differences in the impact of various HPWPs between the two countries.
Keywords: high performance work practices; high performance work system; social exchange theory; cultural dimensions; cross-cultural HRM; employee outcomes; organisational outcomes; WERS 2011; Pakistan; UK.
In search of the contribution of non-traditional expatriation to global talent management
by Joanna Purgal-Popiela
Abstract: This paper aims to define the role of non-traditional expatriation in global talent management (GTM) by exploring how particular forms of global mobility contribute to GTM and identifying the key challenges they pose in this context. For this purpose, a systematic literature review has been conducted. Adopting the GTM perspective, this study highlights potential benefits from self-initiated expatriation, inpatriation, flexpatriation and other alternative types of international assignments. It also addresses the major problems arising in this context faced by the organisations and the individuals. Based on the aforementioned review, conclusions concerning the current state of knowledge and implications for future studies have been formulated.
Keywords: short-term international assignments; flexpatriates; international commuting; inpatriates; self-initiated expatriation; global mobility; global talent management.
The influence of organisational climate on organisational silence: a comparison of public and private organisations in Turkey
by Cihan Cobanoglu, Mehmet Sariisik, Orhan Akova, Guliz Coskun
Abstract: Technological developments and globalisation have led to a significant change in the competitive environment in which companies operate. Companies that are successful at acquiring maximum benefits from their employees will gain a competitive advantage over other companies. Therefore employees, especially qualified ones, are important assets for organisations. However, control mechanisms need to work efficiently in order to ensure there is a maximum gain from qualified employees, which would not be possible unless employees trust their respective supervisors. One of the factors that influence trust is organisational silence, which consequently influences organisational commitment and employee turnover. In order to increase organisational commitment and trust, organisations need to understand the factors that promote organisational silence. The purpose of this research is twofold: 1) to understand the relationship between the organisational environment and organisational silence in public and private companies in Turkey; 2) to compare the organisational environment and organisational silence behaviour.
Keywords: organisational silence; organisational climate; Turkey; public organisations; private organisations; influence of organisational climate; organisational environment; competitive environment.
Competence development in crowdsourcing: examining the impact of different evaluation standards.
by Andrey Barashev, Guoxin Li
Abstract: The paper aims to extend our understanding of solvers' motivation in a crowdsourcing contest by examining differential effects of competence development in terms of absolute, interpersonal, and intrapersonal standards, as well as to distinguish the influence of competence striving on effort and engagement on the crowdsourcing platform. We conduct an analytic study using an online survey on the massive Chinese platform - taskcn.com. Participants were selected on the criterion of their experience on the platform. Data were analysed using structural equation modelling. Based on a survey of 291 crowdsourcing participants, the study indicates that striving to demonstrate competence related to others does not enhance engagement or effort. However, self-based and task-based competence striving both predicted crowdsourcing participants' effort positively. Furthermore, engagement was only predicted by mastery competence development when individuals tried to enhance their skills and knowledge relative to selves. In this case, engagement also mediated the relation between self-based striving and effort. These findings shed light on the complex mechanisms underlying participants motivation, effort, and engagement in crowdsourcing and provide implications for the theory and practice of crowdsourcing management.
Keywords: crowdsourcing; work engagement; effort; achievement motivation; competence development; motivation.
Learning and strategic flexibility as drivers of the internationalisation process of firms in emerging countries
by M. Teresa Canet-Giner, Francisco Balbastre, Naira Escriba, Juan Antonio Gudziol-Vidal
Abstract: The purpose of this study is to gain a better understanding of strategic flexibility in the relationship between learning and the first stage of company internationalisation, that is, exports. We propose a mediating effect of strategic flexibility in this link. The empirical study consisted of a survey conducted among exporting Colombian firms. We used a structural model to analyse data, which was estimated through partial least squares path modelling (PLSPM). The sample involved 206 Colombian companies. Results confirmed that the relationship between learning and the export intensity and scope takes place when the company develops the capability to be strategically flexible. Our findings support the mediating effect of strategic flexibility in the relationship between learning and a firm's exports. The results obtained in this study may serve as a reference for organisations that are strategically expanding their activities in the international arena, particularly for Latin-American firms.
Keywords: learning; exports; strategic flexibility; emerging economy.
Understanding the differences between Chinese and Western business practices: insights into Confucian philosophy
by Zhilin Yang, Nibing Zhu, Shaohan Cai, Haohao Sun
Abstract: Confucian philosophy, which lies at the root of Chinese culture, has been attracting attention from both business practitioners and academia owing to China's tremendous influence on the global economy. In this paper, we review the historical development of Confucianism and its managerial implications in China. We first identify key differences between Confucian and Anglo-American culture in terms of values and beliefs, power distance, cognitive patterns, social orientation, trust, communication, expression-orientation, and social environment. We then highlight managerial implications of the five constant virtues inherent in Confucian philosophy, namely benevolence ('ren'), righteousness ('yi'), rites ('li'), wisdom ('zhi') and trustworthiness ('xin'). A deep understanding of differences between Confucian and Anglo-American culture forms the foundation for mutually acceptable behavioral communication codes encompassing values and norms, cognitive patterns, social orientation patterns, modes, and expression-orientation models. Finally, a case study is presented to illustrate how these principles are embedded within customer relations and organisational management.
Keywords: Confucian philosophy; Anglo-American culture; comparative analyses; international business.
The impact of digitalisation on the profitability of large US banks
by Giusy Chesini, Elisa Giaretta
Abstract: According to knowledge-based theory, we propose a model to explain how digitalisation impacts bank performance. We identify four capabilities stemming from the digitalisation process that create sustainable competitive advantage: market-learning digital capabilities, organisational digital capabilities, technical digital capabilities and industry digital capabilities. Using a sample of 96 large listed US banks from 2007-2017, we create a unique new multisource dataset (Annual reports, Bloomberg, World Bank, and OECD EMI) that enables mapping the digitalisation of the US banking industry and testing the proposed model. The results of our empirical analysis demonstrate that digitalisation positively affects bank profitability; specifically, digitalisation leads to sustainable competitive advantages for banks through market-learning digital capabilities, technical digital capabilities and industry digital capabilities. Furthermore, we provide evidence that the digitalisation process both reduces and increases banks' numbers of branches and employees, as is common when strong technological innovations emerge through creative-disruptive mechanisms.
Keywords: digitalisation; digital banking; bank profitability; knowledge-based theory; content analytic studies; US banking system.
A study of the self-view and achievement motivation of Taiwanese, Indonesian and Vietnamese workers: a cross-national study
by Ming-Chang Wu, Farhad Abdul Kader Cassim, Ibnu Siswanto, Chenju Ko
Abstract: Taiwanese industries and universities recruit a lot of foreign workers and students from Southeast Asian countries. Unfortunately, a lack of research by local academics on understanding them in terms of psychological variables, such as self-view and achievement motivation, can lead to a neglect of their ability and skills development. As a result, this study investigated three groups of Asian workers, namely Taiwanese, Indonesians, and Vietnamese, on self-view and achievement motivation. A cross-national survey study of 895 respondents led us to conclude that although the three Asian groups are generally social-oriented in terms of their self-view and achievement motivation, Indonesian workers have a higher individual-oriented self-view (IOSV), social-oriented self-view (SOSV), individual-oriented achievement motivation (IOAM), and social-oriented achievement motivation (SOAM). Also, while there is a significantly positive relationship between self-view and achievement motivation, the nature of this relationship is different in each country.
Keywords: self-view; achievement motivation; individual-oriented self-view; social-oriented self-view; individual-oriented achievement motivation; social-oriented achievement motivation; cross-national study.
Commercial diplomacy as a mechanism for passive-reactive SME internationalisation: overcoming liabilities of outsidership
by Elena Georgiadou, Mathew Hughes, Céline Viala
Abstract: This study contributes to SME internationalisation literature by conceptualising commercial diplomacy (CD) as a mechanism enabling SME internationalisation. CD remedies for SMEs' liabilities of outsidership when those SMEs are compelled to internationalise under conditions of abrupt environmental shock in their domestic market. Using the Greek economic crisis as a research setting, we examine a situation in which established SMEs previously apathetic to internationalisation had to assume the risks of internationalising or face extinction. With data generated through 35 open-ended semi-structured interviews with commercial diplomats between 2013 and 2017, we conceptualise and empirically validate CD as a missing link in staged and network-revised theories of internationalisation. In turn, this paper overcomes the current inability of extant SME internationalisation literature to account for forced internationalisation of established SMEs as a reaction to environmental shocks in which building networks is unfeasible and accessing established networks requires time that these firms do not have.
Keywords: SME internationalization; commercial diplomacy; passive-reactive internationalization; liability of outsidership; international business networks; Uppsala; network theory.
Knowledge against credit market restrictions. Which is the problem for SMEs internationalisation?
by Carlos Cea, José Antonio Gonzalo-Angulo, Jose Luis Crespo
Abstract: Small and medium-sized enterprises (SMEs) can improve their export performance by adopting appropriate marketing strategies. However, firms' lack of resources, such as the unavailability of credit, can make this endeavour much more difficult. In this paper, we analyse the role of collaborations and the possibility of using non-financial tailored resource-based institutional support, as a tool that managers may use to try to overcome liquidity constraints provoked by tough credit market restrictions. To achieve this, the analysis should be carried out using a contrafactual framework. Therefore, we use firm-level data of 1585 firms that have used this type of support during the 2000-2013 period, to which we match non-benefitting firms correcting for selection bias using matching techniques and evaluating effects three years after receiving support. Our results show that SMEs that developed their international marketing strategies this way had better export performance, especially during the period with credit market restrictions.
Keywords: small and medium-sized enterprises; international marketing strategy; export performance; resource-based view; credit restrictions; export programme; propensity score matching; Spain.
Chinese social capital in a business context: the impact of business ethics, business etiquette and business orientation on relationship building and performance
by Kim-Shyan Fam, Djavlonbek Kadirov, Ahmet Bardakci, Davor Vuchkovski, James Richard
Abstract: This research explores the extent to which business ethics and etiquette influence relationship performance across the business relationship lifecycle. Based on a survey from 583 business people from several major Chinese business hubs, this research finds that business ethics and etiquette significantly influence relationship performance success. Dimensions of business ethics such as relationship fairness and relationship stability are found to be significantly associated with relationship performance at the growth and maintenance stages, respectively. Commitment/loyalty business etiquette protocols are found to be important at all stages of the business relationship lifecycle. Additionally, the study found that goal-oriented males and females are more likely to use business ethics and etiquette in comparison to apathy-driven males and females to build successful relationship performance.
Keywords: business ethics; business etiquettes; relationship performance; Guanxi; business in China.
International students as tourists: exploring impressions of Ghana's destination image
by Adjoa Ocran, Ogechi Adeola, Awele Achi, Robert E. Hinson
Abstract: This study explores how tourists' impressions of destination attributes influence the image formation of Ghana as a destination. A qualitative approach was used to conduct the research, owing to the exploratory nature of the investigation. The study employed focus group discussions and semi-structured interviews of a sample of 28 international students. Findings show that Ghana has a positive image in the minds of the tourists as a destination. In addition, most of the participants were willing to return to Ghana and even recommend Ghana as a vacation destination. Theoretically, the study discussed the meaning of destination image from three dimensions: perceptual, image and outcome. The practical implication of the study's findings is that Ghanaian destination marketing organisations should consider country of origin and travel motivation as factors that exert the greatest influence on how tourists assess the value of tourist destination.
Keywords: destination image; Ghana; country of origin; tourists' impressions; historical heritage; information sources; tourism; international students; internationalisation.
Can Confucian norms raise enterprise performance? Evidence from Chinese industrial enterprises
by Hongjun Zhao, Zhonghui Ding
Abstract: The literature shows that Confucian norms foster social trust in Chinese society. This is considered to have contributed to the East Asian economic miracle. However, no study has been conducted on the impact of Confucianism on firm performance. Based on a National Bureau of Statistics database of Chinese industrial enterprises in Shandong province, this study finds that enterprises in a strongly Confucian environment have lower business costs, financial costs, and interest costs, but higher operational costs and administration costs. They tend to trust their business partners more and pay higher wages to their employees, but also have higher debts. We confirm that Confucian norms are usually government-friendly. State investment and subsidies seem to be an important mediation mechanism between Confucian norms and enterprise performance.
Keywords: Confucian norms; enterprise performance; China; economic miracle; state intervention; Confucian temples; Confucian chaste women; Shandong; social trust; enterprise efficiency.
Confucian values' influences on Chinese customer relationships in product crisis recovery
by Hongjing Cui, Feng Yao, Tai-yang Zhao, Tjong Budisantoso, Er-shuai Huang, Xiao Yang
Abstract: Confucian values have been a topic of increased discourse in the business and management literature and have important influences on Chinese consumers' customer relationships in the context of product crises. This paper focuses on the effect that Confucian values have has on customer loyalty and forgiveness. The mediation of empathy and attribution, and the moderation of purchase experience, country of manufacture, and perceived severity are also considered. The results show that Confucian values have a positive influence on customer loyalty and forgiveness; empathy and attribution play a mediating role; and purchase experience and perceived severity have a moderation effect. This paper suggests that European companies should design campaign remedies from the perspective of Confucian cultural values to prime consumer empathy and unstable attribution.
Keywords: Confucian value; Chinese customer relationships; product crisis recovery; consumer loyalty; consumer forgiveness; empathy; attribution; purchase experience; country of manufacture; perceived severity.
Antecedents of knowledge transfer effectiveness in international teams
by Torbjørn Bjorvatn, Andreas Wald
Abstract: We present the results of a study on the impact of geographical distance, native-language diversity and national cultural diversity on within-team knowledge transfer effectiveness. Further, we analyse the mediating effect of group-level absorptive capacity. Using a sample of 196 internationally dispersed project teams, we found geographical distance and cultural diversity to impede knowledge transfer effectiveness. In contrast, language diversity was positively associated with both absorptive capacity and knowledge transfer effectiveness, suggesting that the effects of the international business environment on team outcomes are more complex, layered and conflicting than commonly assumed. The paper contributes to theory in three ways. First, it synthesises the academic discourse on intra-team cross-border knowledge transfer effectiveness in the fields of international business, virtual teams and project management. Second, the effects of key features of the international business environment on such knowledge transfer are assessed. Third, context-specific drivers of absorptive capacity in international teams are determined.
Keywords: knowledge; knowledge transfer; distance; language; culture; diversity; international; team.
Revisiting the link between information technology and supply chain management practices among manufacturing firms
by Charles Muango, Eugene Abrokwah, Qu Shaojian
Abstract: This study explores the impact of information technology practices on the relationship between supply chain management practice (SCMP) variables (leadership information sharing, management strategic planning, continuous improvement and innovation) and operational performance among manufacturing firms in a developing setting. Structured questionnaires totalling 470 were administered through managers and departmental heads in the manufacturing firms located in Thika and Athi-river towns within Kiambu and Machakos counties, respectively, in Kenya. The analysis was conducted using SPSS Amos software version 22. The results show that leadership information sharing, management strategic planning, continuous improvement and innovation relate significantly with the information technology practices. Also, that information technology had a positive influence on operational performance. In addition, leadership information sharing influences the operational performance through information technology, while management strategic planning, continuous improvement and innovation moderately influence the operational performance among the Kenyan manufacturing firms. These outcomes provide important insight into why information technology influences the manufacturing firms performance.
Keywords: information technology; supply chain management; firm performance.
A meta-analysis of main, moderating and mediating effects of ethical leadership on employees' work outcomes
by Li Shuwen, Jia Ruiqian, L.U.O. Jinlian, Linmin Guo, Juergen H. Seufert
Abstract: This study employs a meta-analysis method to test the influence, boundaries and paths of ethical leadership on employees' work outcomes. Results suggest that ethical leadership is related positively to numerous outcomes such as employee voice and job performance. Furthermore, it is explored how ethical leadership influences these outcomes from moderators and mediators. Results reveal that, compared with the Anglo culture, ethical leadership in the Asian Confucian culture can stimulate employees' voice better while ethical leadership in the Anglo culture is more effective in enhancing leader-member exchange (LMX) and job satisfaction better. Ethical leadership is more likely to improve the performance of male subordinates rather than their female counterparts. Compared with public agents, ethical leadership in private organizations can promote employees voice and self-efficacy better. Organizational identity and LMX play mediating roles between ethical leadership, job performance and job satisfaction, respectively, while employee voice merely plays a mediating role.
Keywords: ethical leadership; employee voice; organisational identity; LMX; job satisfaction.
The influence of informal and foreign competition on innovation: does size matter?
by Ebru Ozturk Kose
Abstract: This study examines whether micro or large firms in emerging economies produce innovation as a response to threats from informal and foreign competitors. This research focuses on firm size because it captures micro and large firms' resource similarity and market commonality with informal and foreign competitors. Specifically, this study theorises how threats from informal and foreign competitors influence emerging economy firms' engagement in innovation activities depending on firm size, such as micro and large firms. Results from the empirical analyses, with survey data of a large sample of firms located across Eastern Europe and Central Asia, provide support for the hypotheses.
Keywords: informal competition; foreign competition; firm size; innovation.
Success or Paradox? Explaining South-Korean Export Behavior: Spatial Spillover Effects and Destination Markets
by Yi-cheng Liu, Wen Yang
Abstract: This paper aims to apply spatial econometric models to provide empirical evidence that is necessary to explain the expansion of the destination markets and spillover effects of Korean exports during the period of this study between 1995 and 2015 while no similar study exists for Korea exports so far. We found that the rapid growth of Korean exports is significantly and positively correlated to GDP per capita and the political stability of the destination markets, and outward foreign direct investment from Korea to one or two of the member countries which have signed regional free trade agreements. Its exports reached and covered most countries in three regions: East Asia, the European Union (EU) and North America towards the end period of this study. Intriguingly, it is distinctively noticeable that its exports are highly risk aversion because its destination markets exclude countries in Africa, most countries in South America and south Asia with relatively lower political stability and income per person. These findings have important implications to corporate strategy and government policy.
Keywords: spillover effects; spatial econometrics; Korean exports destinations; export determinants.
Conversation about social responsibility: CSR reporting in SMEs
by Kjartan Sigurdsson
Abstract: The literature on Corporate Social Responsibility (CSR) reporting suggests that while large firms are likely to adopt formal approaches to reporting on their CSR activities to stakeholders, SMEs are likely to be more informal in their approaches. This research examines how SMEs report on their CSR activities and how this relates to three attributes of stakeholder theory: descriptive, instrumental and normative. Using a multiple case study research strategy, CSR reporting was examined in fifteen SMEs. The three attributes of stakeholder theory form the theoretical framework for analysing the case data. While descriptive attributes of stakeholder theory reflect how SMEs operate
Keywords: CSR reporting; SMEs; CSR strategy; stakeholders; multiple case study.
The predictive power of university pedigree on the graduates performance in global virtual teams
by Marjaana Gunkel, Vas Taras, Alexander Assouad, Ernesto Tavoletti, Alfredo Jimenez, Weng Si Lei, Anna Svirina, Grishma Shah, Justin Kraemer
Abstract: The rank of the university a student graduates from is commonly used as an indicator of the students future job performance. Likewise, students seek admission to the highest-ranked universities thinking that the university rank is an indicator of the quality of training the university offers. This study tests whether or not university rankings relate to the performance of their students. The focus is laid on the performance of the graduates in global virtual teams while working on an international business consulting project. We developed and tested a theoretical model considering both positive and negative effects of the academic pedigree on the graduates performance. The results show that graduates from top-ranked universities generally perform better. However, the academic pedigree can also be associated with envy, arrogance, and excessive focus on tasks assigned. These could damage personal relationships, co-worker support, and ultimately undermine the performance potential of graduates from top universities.
Keywords: global virtual teams; international business students; performance; talent identification; university rank.
Impact of workplace ostracism on voice behaviour in sustainable organisations: a mediated moderation model
by Ghulam Abid, Asma Nisar, Saira Ahmed, Saira Farooqi, Natasha Saman Elahi
Abstract: Employee voice is the communication that is constructive and change oriented and which is planned to improve a problematic situation. Drawing on conservation of resources (COR) theory, our study investigates the direct influence of workplace ostracism on employee energy. Moreover, this study also examines the mediating impact of energy in between the relationship of ostracism and voice behavior and the moderating impact of incivility among energy and voice behavior. Data was collected in three waves covering a 2-month time period at regular intervals of three weeks from employees and their immediate supervisors working in public sector financial institutions. By employing the PROCESS macro developed by Hayes on the actual sample of 300 employees and 19 supervisors from different job functions, strong empirical support has been established for all the direct and indirect hypothesised relationships. Theoretical and practical implications alongside recommendations for further empirical research on voice behaviour have also been suggested.
Keywords: workplace ostracism; energy; incivility; voice behaviour; conservation of resources.
The flourish, failure and future phases of joint internationalisation: A longitudinal case study on collective international opportunity recognition
by Eini Haaja, Niina Nummela
Abstract: This study explores how collective international opportunity recognition emerges and evolves over time. We investigate the role of mental images and sensemaking in such a process among a group of Finnish maritime sector SMEs. We propose that collective international opportunity recognition builds on encountered events, individual sensemaking and inter-firm sensemaking. Critical events trigger sensemaking which is based on managers' mental images of the opportunity context. Sensemaking emerges at the individual-level as auspicious or ominous sensemaking, and at the inter-firm-level as collective or fragmented sensemaking. Auspicious, collective sensemaking supports continued collective international opportunity recognition and the joint internationalisation of SMEs. Managers' mental images evolve with sensemaking, which together with new events affects the recognition of joint internationalisation opportunities in the future.
Keywords: collective international opportunity; opportunity recognition; joint internationalisation; failure; mental image; sensemaking.
The role of the entrepreneur's characteristics to be a born global firm
by Carlos-Javier Prieto-Sánchez, Fernando Merino
Abstract: This paper examines how some key features of an entrepreneur lead early-stage firms (ESF) to become born globals (BG). Specifically, it focuses on human capital, the scope and novelty of the product and the opportunities of the business environment in the early stages of a firm. It contributes to the literature by focusing on some characteristics of the entrepreneur as a possible determinant. We apply logistic regression techniques to a sample obtained from the Global Entrepreneurship Monitor for the period 20072014. The results
reveal that the relationship with other entrepreneurs that are becoming aware of
good opportunities to start a business and commitment and exploratory
innovation contribute to a higher probability of being a BG. Meanwhile, some
of the professional skills of the entrepreneur as well as the exploitative
innovation in which it operates are not determinants for an ESF to be a BG.
Keywords: born global; international entrepreneurship; global entrepreneurship Monitor; GEM; internationalisation; Spain; international new ventures.
Power distance and supervisor ostracism: the moderating effect of procedural fairness
by Zhixia Chen, Jie Xu, Yanghang Yu, Shangan Ke, Yi Zhao
Abstract: This study aims to examine the link between power distance and supervisor ostracism in the Chinese Confucian cultural context and whether procedural fairness plays a moderating effect on the process. Data was collected in China through a survey using a questionnaire, and hierarchical regression analyses were used to test the hypothesis. Results from 396 employees revealed that power distance is positively related to supervisor ostracism, procedural fairness is negatively related to supervisor ostracism, and procedural fairness plays a moderating role in the relationship between power distance and supervisor ostracism.
Keywords: power distance; supervisor ostracism; procedural fairness; Confucian culture; Mpmoderating effect.
Successful knowledge transfer through HRM practices and absorptive capacity: empirical evidence from cross-border M&As
by Shahbaz Haider, Qasim Ali Nisar, Sonaina Saif Gill, Waseem Ul-Hameed, Kamal Badar, Muhammad Saeed Aas Meo
Abstract: This study examined the effect of HRM practices on knowledge transfer with the mediating effect of absorptive capacity that facilitates the post-acquisition or merger integration regarding the knowledge transfer. Data were collected from 45 acquired organisations of multinational corporations from different countries. The findings revealed that HRM practices (internal communication, training, performance-based compensation, and performance appraisal) have a significant relationship with the different dimensions of absorptive capacity (acquisition, assimilation, transformation, and exploitation) and knowledge transfer (knowledge inflow and knowledge implementation). Moreover, this was one of the firm's attempts to examine the mediating role of absorptive capacity, and the results postulated that the components of absorptive capacity significantly mediate the association between HRM practices and knowledge transfer. These results have contributed to the existing literature by providing empirical evidence on the role of absorptive capacity in a more successful knowledge transfer.
Keywords: mergers and acquisitions; absorptive capacity; knowledge transfer; knowledge inflow; knowledge implementation; organisations; HRM practices; assimilation; exploitation; transformation; PLS-SEM.
Combining Korean Confucianism with European values to build successful business relationships
by Alison Pearce, Katarzyna Dziewanowska, Rose Quan, Ilsang Ko
Abstract: Confucian and Buddhist influences in Korea combine to create a paradoxical culture in which different ideas work together harmoniously. Confucian philosophys legacy in Korea remains strong compared to China, for example. With increasing opportunities and collaborations between European Union (EU) countries and Korea, developing enduring and successful business relationships has become imperative. This paper addresses the lack of focus on Korean Confucianism and its effect on relations with Europe. It emerges from the unique opportunity to evaluate a series of highly successful EU-Korean collaborations conducted over a period of 11 years in higher education institutions and commercial industries. Using the thematic analysis of in-depth interviews with
Keywords: Korean Confucianism; European values; international collaboration; cultural intelligence;.
Testing the external monitoring hypothesis on earnings management: a case of business groups in South Korea
by Young Kyun Chang, Pyung Kyung Kang, Won-Yong Oh, Minsup Song
Abstract: Previous studies on earnings management largely focused on the roles of internal governance mechanisms. However, an important but underexplored issue in the earnings management literature is how external stakeholders affect a firm's earnings management practice. We propose an external monitoring hypothesis ? earnings management is better monitored by external stakeholders when internal governance mechanisms are weak. Using a dataset of Korean Chaebol (business group) firms, we found that earnings management practices decrease when group-level and firm-level visibilities are salient. Our findings are consistent with the external monitoring hypothesis, suggesting that external monitoring mechanisms play significant roles in shaping a firm's behaviour.
Keywords: external monitoring; earnings management; corporate governance; business group; Chaebol.
Marshall plan or a mediator: the intellectual structure of management studies in Europe
by Hulusi Cenk Sozen, Erdem Kirkbesoglu, Sule Tuzlukaya, Mehmet Cakar
Abstract: This study aims at examining the role of the European Management Review (EMR) within the on-going paradigmatic debates between Europe and North America concerning management and organisational research. Ten years' worth of bibliometric data of the journal were gathered. Citation patterns of EMR authors were analysed according to journals they prefer to refer more frequently. Citation patterns of the authors from sub-regions of Europe were also compared to test whether heterogeneity exists in terms of academic resource usage. The findings highlight that EMR has successfully constructed a bridge between research traditions of two continents. Qualitative, macro and theoretical articles, which are significant characteristics of the European paradigm, have a considerable rate of acceptance in EMR. Besides obeying local rules of scientific inquiry, the majority of European authors have decided to use influential North American journals. EMR has partially found a way to unify fragmented research efforts in different parts of Europe.
Keywords: bibliometric; social network analysis; management studies.
The impact of total quality management and business networks on company export performance in emerging vs developed economies: evidence from furniture enterprises in Pakistan and the UK
by Mariusz Urbanski, Adnan Ul Haque, John Lang, Eugene Kozlovski
Abstract: This comparative research drawing on complementary theoretical perspective examines the moderating role of business networks (BN) in relation to total quality management (TQM) and company export performance (CEP) in the furniture business of the UK (developed economy) and Pakistan (emerging economy). By employing the PLS-SEM technique, we gathered data from a total of 230 export managers (115 each from economies) using network, connection, referral and purposive sampling. The findings revealed that there is a significant, positive relationship between TQM and CEP. Results also confirmed that BN statistically significantly moderates the relationship between TQM and CEP. We theorised that BN is an influential variable in enhancing the effectiveness of TQM that leads to an increase in the companys export performance. The present research contributes to the literature by providing an insight into the effectiveness of TQM and BN in the process of improving export performances in both emerging and developed economies.
Keywords: business networks; company export performance; contrasting economies; furniture industry; total quality management.
Cross-border M&As and early subordinate-leader trust: a social identity approach
by Diana W. P. Kwok
Abstract: Cross-border M&As are characterised by uncertainty and complexity, with identities and cultural differences that interconnect at multiple levels. This paper addresses subordinate-leader trust, an essential element for post-acquisition integration, and takes the perspective of the multicultural acquired-firm subordinate as the basic unit of analysis. Drawing on social identity and the concept of multiculturalism in M&As, the paper develops a model of trust in foreign-acquirer leaders based on ethnic similarity or religious similarity. The central argument is that ethnic and religious principles represent the work-related values of subordinates and leaders alike. The theoretical model offers an insight into the cognitive processes behind new subordinate-leader relationships that result from cross-border M&As. Factors that may be relevant to the context of post-acquisition integration are also suggested in order to explore the boundary conditions of the model.
Keywords: mergers and acquisitions; post-acquisition integration; subordinate-leader trust; social identity; multiculturalism; ethnic similarity; religious similarity.
Pro bono, cui bono, ex fida bona? Investigation on pro bono commitment of large US law firms in 1993-2007
by Tae-Hyun Kim, Young Kyun Chang
Abstract: Previous works have found the relationship between corporate philanthropy and financial performances inconclusive. This study proposes that such a mixed relationship should be better understood as how a firm's instrumental motive interacts with institutional pressures for philanthropy. To do so, this study focuses on large US law firms in 1993-2007 when the US legal service industry had been transformed into a highly commercialised for-profit market (instrumental motives), while having pressured law firms to provide philanthropic legal services known as pro bono (institutional pressures). We hypothesise that law firms would engage in pro bono when it is beneficial to the firm, and disengage from it otherwise, and such tendency would be moderated by the salience of institutional pressures on pro bono. We found overall support for the hypotheses. Theoretical contributions and practical implications are discussed.
Keywords: pro bono; law firm; commercialisation; instrumental motive; institutional pressure.
Mediating mechanism of thriving at work between family motivation, abusive supervision and organisational commitment
by Mariam Saleem, Ghulam Abid, Tahira Hassan Butt
Abstract: The current research empirically investigates the impact of family motivation, thriving and abusive supervision on organisational commitment. Data was collected in two waves (T1 and T2) over a one-month time period from 400 banking employees. Our results provide support for our hypothesised model. The results find that the family motivation and thriving are positively related to organisational commitment and also thriving mediates the association between family motivation and organisational commitment. Contrarily, abusive supervision has a negative impact on an employee's thriving and organisational commitment. Limitations and future directions have also been discussed.
Keywords: thriving; family motivation; organizational commitment; abusive supervision.
How emerging market firms can upgrade and develop into hidden champions: evidence from China
by Jingqin Su, Yibo Jia, Miao Cui, Xueke Du, Shuai Zhang
Abstract: This paper investigates how emerging market firms (EMFs) upgrade and develop into hidden champions in a context that differs from that of developed countries. With the perspective of global value chains (GVCs) theory, case studies of three Chinese hidden champions in different industries were conducted. The findings show that with the help of global lead firms, embedded depth and niche market breadth are key strategies for the EMFs to improve product competitiveness, technical capacities, global market share and bargaining power, and ultimately shape the development process and outcomes of hidden champions. Our results also suggest that both strategies are closely related to the distinctive characteristics and the subjective intention to improve performance of EMFs. This research is useful for both academics and practitioners and contributes to the theory of hidden champions by providing the GVC perspective. Furthermore, corresponding practical insights are offered to help more companies to be competitive.
Keywords: emerging market firms; hidden champions; global value chains; global lead firms; case study; upgrading.
Beauty product brand experimentation: how celebrities and reference groups influence South African female Generation Y consumers
by Riané C. Dalziel
Abstract: Consumers are exposed to a wide variety of products and brands because we live in an era characterised by globalisation. As such, consumers are inclined to exert brand experimentation tendencies, especially within the beauty product industry. This paper sought to determine the influence of celebrities and groups on the beauty product brand experimentation tendencies of South African female Generation Y students. Data was collected using a quantitative method, and analysed using SPSS and AMOS. According to the results, female Generation Y students' beauty product brand experimentation is a three-dimensional model including celebrity influence, group influence and brand experimentation. Path analysis signified that both celebrity and group influence have a significant positive and direct influence on female Generation Y students' brand experimentation tendencies. Therefore, brands, especially new brands entering the beauty product market, should make use of consumers' reference groups and celebrities to target these consumers.
Keywords: beauty product; brand experimentation; celebrity influence; female Generation Y; group influence; South Africa.
An innovation gap between family and non-family businesses: a case study of post-transition economies
by Polona Tominc, Karin Sirec
Abstract: We empirically explore the differences in innovativeness between family and nonfamily businesses in selected post-transition economies. The data for Bulgaria, Croatia, Poland, Slovakia and Slovenia are derived from the 2018 Global Entrepreneurship Monitor Adult Population Survey. We build a binary logistic regression model. Results suggest that family businesses are less likely to be innovators as compared with non-family businesses but, after including a combination of individual and environmental/institutional factors into the model, being a family business is not significant when comparing innovative and imitative businesses. We also find that gender, age, education, perceived opportunities and perceived entrepreneurial skills are not significant indicators of business innovativeness within the investigated sample.
Keywords: innovativeness; family businesses; post-transition economies; Global Entrepreneurship Monitor; individual characteristics; institutional framework conditions.
The link between ecological innovations and international competitiveness in the context of the Turkish chemical industry
by Esra Bal, Halim Kazan
Abstract: The link between eco-innovation and competitiveness has been the subject of extensive debate, with research shifting from a focus on the costs of greening firms to its implementation. This study attempts to contribute to the debate by highlighting the case of the Turkish chemical industry. Using data derived from computer-assisted telephone interviews across 159 companies, we explore the influence of three types of eco-innovation (organisational, process and product) on the international competitiveness of firms. Additionally, our study extends the scope of this tripartite model of eco-innovation by accounting for domestic market performance and the maturity level of innovations as moderating variables. Our findings indicate that, while it does not pay to be green in terms of competitive performance, several moderating variables mediate the influence of the organisational and process types of eco-innovation on international competitiveness. Furthermore, they indicate that eco-innovation activities in developing economies are unlikely to secure a competitive advantage in international markets. The findings may inform eco-innovative policies and business strategies in developing economies
Keywords: eco-innovation; international competitiveness; maturity level of innovation; domestic market performance.
Definition of financial distress supported by data in Slovak corporate conditions
by Martin Boďa, Vladimír Úradníček
Abstract: Any prediction of corporate financial condition requires a definition of financial distress. Using data on Slovak enterprises for the years 2010 to 2017, the paper discusses several definitions of financial distress conceivable for Slovak conditions and explores which definition is supported by data. It is inevitable to establish which of the variety of definitions adopted in recent research is actually supported by real financial traits of Slovak enterprises. To this end, Slovak enterprises are divided into separate groups by applying the OPTICS clustering algorithm on 10 common financial metrics depicting financial status one year prior to the assessment, and these groups are then confronted to those that arise from applying 25 different definitions of financial distress. It transpires that none of the definitions is reflected in the 10 financial indicators, which suggests that in Slovak conditions non-financial factors may be at work that cause eventually financial distress.
Keywords: definition of financial distress; Slovak enterprises; insolvency; overdebtedness; OPTICS.
Rural context favouring family business and urban context promoting non-family business in Egypt, Morocco and Turkey
by Seham Ghalwash, Esra Karadeniz, Fatima Boutaleb
Abstract: Family business has recently gained research attention, particularly in specific contexts. We extend the existing literature by exploring the urban and rural context of family business, focusing on a sample of 3935 family and non-family businesses in Egypt, Morocco, and Turkey. Family businesses are known to be more self-reliant than non-family businesses. Therefore, we expect them to thrive in a rural environment, where institutions are less elaborate, resources fewer, and networks sparser than in urban eco-systems, which are expected to be better for non-family businesses. We find that businesses governed by families are more frequently seen in rural areas than cities and those governed by non-family more often in urban than rural areas
Keywords: Egypt; family business; Morocco; rural context; Turkey; urban context.
Female borrowers and credit risk in microfinance institutions: an international study
by Michael Adusei
Abstract: This paper assesses the effect of lending to women on the credit risk of microfinance institutions (MFIs). It also investigates whether the effect is sensitive to board gender diversity and female loan officers. To pursue these objectives, the study engages a large dataset (2010-2018) covering 555 MFIs in 74 countries. The results from a battery of system GMM estimations suggest that female borrowers worsen the credit risk of MFIs and that the magnitude of this negative impact decreases when female borrowers and board gender diversity interact. Female loan officers come up as having no significant effect on the credit risk of MFIs. Emerging from these results is that whereas board gender diversity matters for the gender-credit risk nexus, female loan officers do not.
Keywords: Gender; credit risk; microfinance institutions; board gender diversity; female loan officers.
Institutionalisation of family business and its regulative, normative and cognitive pillars: embedded in traditional culture
by Ye Liu
Abstract: Family business is established as an institution in society. Neo-institutional theorising considers an institution to be sustained by regulative, normative and cognitive pillars. Such pillars are part of the eco-system for family business, and are expectedly embedded in culture, following eco-systemic theorising. Around the world, is the institution elaborated with coupled pillars, and is the institution shaped by culture? The Global Entrepreneurship Monitor surveyed a globally representative sample of 54 countries, measuring eco-systemic conditions for family business. These data are merged with measures of national culture, from the World Values Survey. Factor analyses reveal regulative, normative and cognitive pillars that are distinct, loosely coupled, and varying in elaboration across societies. The institution and its pillars are embedded in traditional culture, which is family-centered and promotes the institution, especially its regulative and normative pillars. These findings contribute to understanding the institutionalisation of family business and its embeddedness in culture.
Keywords: family business; institution; institutionalisation; pillars; coupling; neo-institutionalism; eco-system; traditional culture.
A factor model of family involvement in a business: familiness manifested in ownership, management and operation
by Hamideh Miriasl, Ahmet Ozcam
Abstract: Family involvement in a business is usually conceptualised dichotomously, family business or not. This is overly simplistic in that involvement encompasses several kinds. To overcome this we pursue multi-dimensional modelling. Our questions are, first, can family involvement be conceptualised as a latent property indicated by ownership, management and operation; second, is operationalisation by a factor model similar across societies; and, third, can this model predict outcomes, perhaps better than the simplistic dichotomy? The research design is to factor analyse measures of kinds of family involvement in businesses randomly sampled in four countries. Findings are that family involvement can be modelled as a latent variable indicated by ownership, management and operation. Within each country, the factor loadings are all positive, but their magnitudes differ across countries. The latent variable predicts outcomes, like the dichotomy, and occasionally better. The originality of the article is a reconceptualisation of family involvement as a latent property with manifestations. The contribution is a model of involvement that is more realistic and revealing than the dichotomy.
Keywords: family business; family involvement; ownership; management; operation; factor model.
Battle to win human capital through social media recruiting technology: an empirical revision of the UTAUT2
by Saqib Rehman, Ghulam Abid, Tahira Hassan Butt, Aman Ullah
Abstract: The trend of using social media recruitment has increased owing to the ubiquity and immediacy of social networking websites. The current study aims at examining how an organisation can win the battle of acquiring talented workforce. This study highlighted the role of technological factors such as performance expectancy, effort expectancy, hedonic motivation, price value and habit in recruiters' acceptance of social media recruiting technology. Primary data were collected through a survey questionnaire from HR managers of 224 organisations of Pakistan. The collected data were analysed by using structural equation modelling with AMOS 20. The results showed that performance expectancy, effort expectancy, hedonic motivation, price value and habit have significant impact on intention to adopt social media recruiting technology and the acceptance of social media recruiting technology.
Keywords: performance expectancy; effort expectancy; hedonic motivation; price value; habit; intention to adopt social media recruiting technology; social media recruiting technology acceptance.
Gender, family and cultural perspectives on venture growth aspiration
by Iñaki Peña Legazkue, Andrés Jung, Khalid E.L. Ouazzani, José L. González-Pernía
Abstract: The purpose of this study is to analyse how family and cultural context conditions shape the desire of female entrepreneurs to expand their businesses. Rather than actual growth, we examine the growth aspiration of entrepreneurs in two different contexts: the family context (i e , family-owned, family-managed, family-owned and family-managed, and non-family ventures) and the cultural environment context (i e , the northern African and southern European cultures). Using Global Entrepreneurship Monitor (GEM) data, after conducting empirical tests on more than one thousand entrepreneurs, our findings suggest that both family and culture contexts influence female entrepreneurs' motivation for venture growth. While growth aspiration, in general, is weaker for women compared with that for men, both a family-managed context and an Arab/Islamic environment positively moderate the negative gender effect of female entrepreneurs on their aspiration to grow.
Keywords: venture growth aspiration; female entrepreneurs; family firms; cultural context.
Conceptualising the leader-member emotional exchange model
by SeyedMohammad Toghra, Fatemeh Gheitarani, Mirali Seyednaghavi
Abstract: Leadership is indeed one of the most important organisational concepts in leading human resources in the organisation and gaining organisational goals. Different researchers have investigated the dimensions of leadership in the organisation in their papers. The present paper is trying to find the connection between Hochschild`s emotional work theory and Graen`s leader-member exchange theory. Few researchers have been investigating the effect of emotional work on leadership and its effect on the quality of exchange between leader and members in organisation. Therefore, presenting a model that consists of emotional exchanges between leader and members according to emotional work dimensions, such as surface and deep acting and emotional contagion, can be a good departure point to investigate in this area. This paper is trying to synthesise the results of other researchers in the area of emotional work, emotional regulation, emotional contagion and leader-member exchange theory into a single comprehensive model.
Keywords: emotional work; leadership; leader-member exchange theory; emotional contagion; emotional regulation; leader-follower emotional exchange model.
The impact of companies' capabilities on investment ability and performance
by Janez Prašnikar, Metka Tekavčič, Vladimir Bukvič, Velimir Bole
Abstract: Based on the contemporary literature, a constructed conceptual structural and measurement model serves to test whether resources, such as financial flexibility and a firm's capabilities to explore and take up investment opportunities, are related to the investment ability of firms, which contributes to achieving better financial and non-financial performance in financial friction economies. By employing structural equation modelling (SEM) on a sample of Slovenian large and medium-sized enterprises, this paper shows that such relations do exist. We have shown that there is a positive relation between a firm's financial flexibility, its investment ability and performance. Moreover, in addition to financial flexibility, an internal organisation that empowers people, stimulates technological knowledge, and stimulates work in project teams represents an important asset in developing a firm's investment ability.
Keywords: investment; investment ability; financial flexibility; capabilities; linear structural equation model.
Cosmopolitan orientation, consumer consciousness, and green purchase intentions: mediating role of green trust
by Kamal Badar, Amira Khattak, Muhammad Danish, Adeel Tariq, Qasim Ali Nisar
Abstract: Based on consumer culture theory and the expanded rational expectation model, this study examined the cosmopolitan orientation as an antecedent to consumers' consciousness towards environment and health. Moreover, the study further examined the impact of consumers' environment and health consciousness on consumers' green purchase intentions with the mediating effect of green trust on this relationship. A questionnaire was distributed to a sample of 300 young students in Karachi and Islamabad using the convenient sampling approach. The research framework was tested using Structural Equation Modelling (SEM) in SmartPLS. The findings reveal that cosmopolitan orientation positively impacts consumers' environmental consciousness but not health consciousness. Moreover, consumers' environmental consciousness doesn't impact consumers' green purchase intentions through green trust. However, consumers' health consciousness positively impacts green purchase intentions through green trust.
Keywords: cosmopolitan orientation; consumer consciousness; green purchase intention; green trust.
Pull of opportunity and push of necessity on family and non-family businesses: Embedded in society in Egypt, Madagascar, Morocco, and Turkey
by Shayegheh Ashourizadeh, Elham Kalhor, Hasna Skalli, Xiaoting Hu
Abstract: The upstart of a business may be motivated by a pull of an opportunity in the market or by a push of necessity to make a living. The business may be governed by family or by a non-family group. The question is whether motive and governance are coupled. Drawing on the resource-based view, we hypothesise that families especially often are motivated by opportunity. Representative samples of family and non-family businesses in Egypt, Madagascar, Morocco, and Turkey reported on motives for the Global Entrepreneurship Monitor (GEM) survey. Motive and governance are found to be coupled, in that family businesses, more than non-family businesses, tend to be motivated by opportunity. Moreover, this coupling is found in all four societies, and to be of similar strength in all four, suggesting that the coupling may be globally universal for similar contexts. Finding this coupling contributes to the theory of family business and practice for policymakers.
Keywords: opportunity motive; necessity motive; wealth creation opportunity; independence opportunity; family business; context.
The effect of innovation and perceived opportunity on business growth: a comparison of Turkish and Indonesian family business
by Catharina Badra Nawangpalupi, Gandhi Pawitan, Özlem Kunday, Gökçen A. Olcay
Abstract: This paper intends to fill a lack of research in comparing family businesses in different cultures or countries. In this paper, we explore whether family businesses differ in benefitting from innovation on growth, based on a comparative study of Turkish and Indonesian small family entrepreneurs. The main interest lies in testing the moderating effects of being family entrepreneurs on exposing the effects of innovativeness on growth, and some other entrepreneur- and country-specific factors and firm age are also measured. The empirical analyses are conducted on a pooled dataset of Turkish and Indonesian family entrepreneurs, including non-family entrepreneurs, collected in 2018 by Global Entrepreneurship Monitor (GEM). The findings suggest that Turkish and Indonesian entrepreneurial family businesses do not yet obtain the benefit of innovativeness, at least not in growth expectations. National-level initiatives might drive the innovativeness potential of family businesses towards getting more value out of their entrepreneurial activities.
Keywords: entrepreneurship; family businesses; innovation; growth; global entrepreneurship; Turkey; Indonesia.
Social media political word-of-mouth and citizens' involvement: a potent mix for enhancing real-world political participation amongst millennials
by Ernest Emeka Izogo, Ngozi E. Uduma, Enuma Ituma, Francisca N. Ogba, Michael Olayinka Binuomote
Abstract: The aim of this study is to investigate how the various elements of value embedded in social media political word-of-mouth (WOM) and citizens' involvement influence real-world political participation amongst millennials. We used the snowball sampling technique to generate 236 usable responses from Nigerian millennials through an online survey. Structural equation modelling and the Preacher-Hayes process are the analytical tools. Results show that the hedonic, utilitarian, and relational values embedded in social media political WOM influence real-world political participation. Furthermore, the effects of utilitarian and relational WOM values are strongest when citizens are highly involved in social media political WOM. Finally, citizens who propagate social media political WOM for hedonic purposes are unlikely to vote during elections. These findings suggest that social media political WOM can contribute a great deal in enthroning an inclusive, accountable and transparent democratic process in nascent democracies.
Keywords: social media; political word-of-mouth; citizens' involvement; real-world political participation; millennials; sustainable development.
Foreign ownership and the pursuit of global technological arbitrage opportunities
by Sergey Anokhin, Vladislav Spitsin, Andrei Trifonov, Irina Antonova
Abstract: In industries characterised by low intraindustry arbitrage opportunities, firms may extract entrepreneurial rents and ensure profitability by sourcing technological arbitrage opportunities across national borders. Foreign owners provide access to such opportunities. In the setting of 1073 Russian companies operating in the industrial machinery manufacturing industry over the course of 2013-2016, we present initial evidence suggesting that partial foreign ownership may avail international arbitrage opportunities to the firms, resulting in superior performance. The effect of arbitrage opportunities on firm performance is strongest when firms have high financial liquidity. The optimal share of foreign investor control that maximises firm performance is estimated between 39% and 51%.
Keywords: foreign ownership; arbitrage opportunities; performance; panel data.
Internationalisation and family and non-family governance of businesses in developing countries: a comparative study in Egypt, Madagascar, Morocco, and Turkey
by Elham Kalhor, Sara Yassine
Abstract: Exporting by a business is influenced by its organisational characteristics. Specifically, exporting may differ between family and non-family businesses. Exporting is also influenced by context and varies among countries; the difference in exporting between family and non-family businesses may differ among countries. Accordingly, our questions are, how does export differ between family and non-family businesses in developing countries, and how do developing contexts moderate the effects of family vs. non-family governance upon exporting?
Keywords: family business; non-family business; exports; Egypt; Madagascar; Morocco; Turkey.
Made in China, Germany, and Indonesia?: consumers' perceived quality of multinational products
by Jiwon Lee, Matthew Minsuk Shin
Abstract: This study examines consumers' perceived quality of multinational products depending on the country of manufacture. Multinational products can be high- or low-involvement products, and consumers can have high or low prior knowledge about them. The country of manufacture can be the same country as the brand origin (i.e. lateral manufacturing), a country with lower development than the brand origin (i.e. downward manufacturing), or a country with higher development than the brand origin (i.e. upward manufacturing). The results of the current study show that consumers with high prior knowledge perceive lateral-manufactured multinational products as having high quality. Meanwhile, consumers with low prior knowledge perceive upward-manufactured high- and low-involvement multinational products as having high quality. By revealing the influence of prior knowledge on consumers' perceived quality of multinational products based on the involvement level and country of manufacture, this study provides meaningful implications for the strategic marketing issues around multinational products.
Keywords: country of origin; country of manufacture; multinational product; high involvement; low involvement; prior knowledge; Europe; China; Indonesia.
The impact of social capital-based selection practices on talent management: evidence from telecom MNCs in Bangladesh
by Syed Monirul Hossain, Mohammad J. Uddin, Yuka Fujimoto, Seong-Yuen Toh
Abstract: The purpose of this paper is to explore how social capital-based selection practices influence talent management with MNCs in Bangladesh. To date, little is known on how social capital-based selection practices influence talent management to fulfill business priorities. The empirical data was collected through in-depth interviews of 12 managers from three telecommunication firms in Bangladesh using semi-structured questions. The cross-case analysis based on a phenomenological approach was used to capture talent management events. Findings revealed that trust generated from cognitive social capital among network ties was found valuable for talent selection. Ostensibly, upper-level managers have the capability to shape and implement a system in the talent management (TM) process that benefits candidates with network ties of informal social relationships. As a consequence, formal human resource management (HRM) practices are marginalised owing to social relationships within their network ties. HRM systems functioned administratively alongside the dominant social capital-based TM selection practices. For practical implications, upper-level managers used social capital-based selection practices beyond HRM systems that were often found pragmatic in selecting the right candidates for positions in organisations favouring intra-group homogeneity.
Keywords: social capital; selection practices; talent management; human resources; human resource management; multinational corporations; upper-level managerial group; middle level managerial group.
Survival, age and growth of family businesses and non-family businesses: comparing Egypt, Madagascar, Morocco and Turkey
by Mahya Bayat, Hakim Meshreki, Ahmed H. Tolba
Abstract: This study examines some of the key differentiating characteristics of family businesses in contrast to their non-family counterparts, namely their survival, age, and growth, and it compares them within the context of several societies. We hypothesise that, first, family businesses not only survive more but also become older than non-family peers; second, growth (i.e. size) in family firms is slower. Third, the relationship between age and size is weaker in family businesses. In other words, as family businesses become mature, the number of employees does not increase as much as that of non-family businesses. Finally, this relationship differs depending on the host society context. To make the above-mentioned comparisons, we used a sample of Global Entrepreneurship Monitor (GEM) data on 1919 firms operating in Egypt, Madagascar, Morocco, and Turkey. Hierarchical linear models corroborate our hypotheses, and our results confirm the three first hypotheses while they reject the last one.
Keywords: family businesses; non-family businesses; comparison; survival; firm age; firm growth; society context.
Founder's characteristics, institutions, and entrepreneurial firm's time to IPO in China
by Da Teng, Chengchun Li
Abstract: The initial public offering (IPO) is the most important stage in the evolution of an entrepreneurial firm. While numerous studies have investigated the determinants of the going public decision and the post-IPO performance, few studies have examined factors that influence the transition speed from the entrepreneurial firm stage to the professional firm stage. Leveraging a unique sample of 428 firms listed on Growth Enterprise Market in Shenzhen Stock exchange between 2009 and 2016, we assert that the entrepreneurial founder of the IPO firm is the key determinant of the transition speed. Based on the Upper Echelon theory and institution-based view, we suggest a that a founder's personal characteristics and external institutions drive the time to IPO. Our findings reveal the strategic importance of the founder and contribute to an improved understanding of why firms vary in the going public speed in an important emerging economy, China.
Keywords: founder's characteristics; market-supporting institutions; time to IPO; emerging economy; China.
Project finance and recourse loans: determining debt choices in political, economic and financial risk positions under global perspective
by Mian Sajid Nazir, Muhammad Arif, Muhammad Ali Jibran Qamar, Ammar Abid
Abstract: In the varying uncertain environment, each risk possesses relative influence. How should the loans be designed in the respective risk position of a country? Our study argues that loan design between project finance loans and recourse loans is directed by the relative risk of a country. We test our argument by considering three major risks, namely political risk, financial risk, and economic risk, aiming to identify the relative influence towards project finance or full-recourse loan selection. For this purpose, a sample of 63,998 asset-based loans from 98 countries was collected. The results show a unique result for each risk. Increase in political or economic risk increases the predictive probability of project finance loans. Whilst, increase in financial risk reduces the project finance loan selection probability.
Keywords: project finance; recourse loans; political risk; global perspective.
Expatriate faculty job satisfaction and performance in public universities of Saudi Arabia
by Muhammad Awais Bhatti, Suzanie Adina T. Mat Saat, Ariff Syah Juhari, Megbel M. Aleidan, Leonardus W.W. Mihardjo
Abstract: Past researches have well-documented the area of employee job satisfaction and performance in a conventional setting, but limited research has been done in exploring the factors that affect job satisfaction and performance of employees working in multicultural environments. Therefore, the purpose of this research is to fill this gap by identifying and examining different factors affecting job satisfaction and performance of the expatriate faculty members working in a multicultural environment. Data was collected from 258 expatriate faculty members working in three public universities of Saudi Arabia. Structural equation modelling was used with Amos 18 to analyse the data. Findings revealed that multicultural leadership style and organisational culture played a vital role in boosting expatriate faculty job satisfaction and performance. Furthermore, the findings explained that the organisational culture and a multicultural leadership style worked together and enhanced organisational commitment, which also further enhanced job satisfaction and performance of the expatriate faculty working in a multicultural environment. This study also suggested that the role of organisational culture is twofold, as it explained that organisational culture (supportive culture) influenced organisational commitment, as well as expatriate faculty job satisfaction. In addition, internal LOC positively influenced expatriate faculty job satisfaction.
Keywords: cultural diversity; organisational culture; multicultural leadership style; job performance; higher educational institutions; faculty members.
Online customer reviews about security and its impact on hostel prices: the importance of human rights
by Susana Cró, António Martins, José Manuel Simões, Maria De Lurdes Calisto
Abstract: Based on a sample of consumer reviews of 637 hostels in 28 cities worldwide, with different levels of respect of human rights, we test if the security attribute has an impact on the price, depending on the level of respect for human rights. We chose a sample of countries with different levels of fulfilment of human rights by the fact that previous studies show that human rights violation has far more severe impacts on tourism activity than terrorist events. Results suggest that hostel guests are willing to pay a higher price in the countries with serious human rights violations, for a hostel room with higher levels of security. In the case of women and older guests, the premium they are willing to pay is higher. Results also show that as the institutionalised tourists, the backpackers are averse to risk and equally concerned about the risks of travel and destination.
Keywords: hostels; human rights; security; hospitality industry; prices; hedonic pricing approach.
How coopetition-driven innovation model works: A closer look at inlearning and absorptive capacity from a knowledge-based view
by Lobel Trong Thuy Tran
Abstract: This research explores whether the linkage between coopetition capability and innovation performance depends on the mediating role of inlearning, and, if so, the extent of the moderation of absorptive capacity. Drawing on the knowledge-based view, this study presents a framework to incorporate constructs and test their relationships with a sample of 235 financial service firms. The findings substantiate the mediating role of inlearning in the coopetition capability-innovation performance link, in which, at a higher level of absorptive capacity, inlearning increases rapidly as coopetition capability increases. This study recommends for incorporating inlearning and absorptive capacity into research on coopetition capability and innovation performance.
Keywords: knowledge-based view; coopetition capability; inlearning; absorptive capacity; innovation performance.
China's industrial policy and its implications for international business
by Shaomin Li, Matthew Farrell
Abstract: While it is common for countries to use industrial policies to protect domestic industries, the way China uses industrial policy is significantly different. First, unlike the industrial policy of other countries that mostly are guidelines, China's industrial policy is more like a corporate strategy that approves/disapproves projects and mobilises the country's resources to help its firms achieve dominance. Second, due to its size, the effect of China's industrial policy is global. Facing the rapid success of China's industrial policy, the international community needs to understand and effectively deal with it. We show how China has developed its industrial policy based on the Chinese Communist Party's governing philosophy, build our case using evidence from the electric vehicle batteries, solar panels, and high-speed rail industries, compare China's policy with Japan's in the 1960s, discuss concerns from other countries and China's replies, and comment on the implications of China's policy for the world.
Keywords: industrial policy; China; electric vehicle battery; solar panel; high-speed rail; protectionism; national interest; trade war.
The impact of global sourcing in new product development processes
by Mustafa Incekara
Abstract: This study investigates which product characteristics and sourcing location conditions (global or local) support efficient supplier integration in New Product Development (NPD) processes. A research model is suggested to analyse the relationship between procurement product characteristics, buyersupplier project organisation and NPD results. Moreover, the moderating impact of the geographical sourcing location on the causal relationships in the model is assessed. Data from 209 research-intensive firms in German-speaking countries were used to test the research hypotheses using structural equation modelling. The findings indicate that the complexity and importance of the product procured are crucial to the form of project organisation between the parties. Buyers and suppliers tend to collaborate to a greater extent when the complexity and importance of the procurement object are high. Collaborative project organisation influences the result of NPD, and this relationship is more effective when a local supplier is involved in the process.
Keywords: global sourcing; supplier involvement; new product development; product complexity; product importance; grey box; black box; structural equation modelling; PLS-MGA; MICOM.
Openness towards language differences and cultural differences in multicultural teams: How do they interact?
by Jakob Lauring, Christina Lea Butler, Minna Paunova, Timur Uman, Lena Zander
Abstract: In this paper, we address how different types of positive attitude towards international diversity among team members can influence team outcomes. Our study explores whether openness to language diversity could contribute to the effect of openness to value diversity becoming more salient. Data was collected from 1085 team leaders of highly globalised academic research teams in the Nordic region. The results show a significant and positive effect of openness to different cultural values on team outcomes. Furthermore, in teams rated more open to language diversity, the impact of openness to value diversity on team performance is enhanced. Effects of different types of diversity attitude have been assessed in extant literature. No prior studies, however, have focused on the interaction between the different types of diversity attitude. This is an important omission because one type of diversity attitude could function as a boundary condition for other types of diversity attitude.
Keywords: multicultural teams; openness to diversity; language.
A configurational approach to explain non-market strategies in emerging economies
by Jorge Heredia, Cathy Rubiños, Alejandro Flores, Walter Heredia, Rocío Arango
Abstract: Drawing on the strategy tripod, this study investigates the
configurations of various combinations of antecedents linked to a high or low
probability of firms engagement in corruption in emerging economies. Based
on the analysis of data from the World Bank Enterprise Survey on 777 firms
and using a novel methodological approach (Fuzzy set Qualitative Comparative
Analysis), we found that less foreign ownership is relevant to explain both low
and high or low probability of firms engagement in corruption. Interestingly,
a path shows that high e-governance and great press freedom are linked
to a high likelihood of a firms engagement in corruption. Also, we find that
diversification and informal competition achieve different results when
combined with different antecedents.
Keywords: corruption; e-governance; press freedom; strategy tripod; Qualitative comparative analysis; emerging markets.
Corporate responsibility practices and financial performance in Europe: a multilevel-pressures theory perspective
by Olivier Furrer, David A. Ralston, Carolyn P. Egri, Wade Danis, Knud Sinding, Jean-Pascal Gond, Nicola Berg, Mario Molteni, Tomasz Ochinowski, Francisco B. Castro, Irina Naoumova, Amandine Furrer-Perrinjaquet, Tevfik Dalgic, Ruth Alas, Marjo Siltaoja, Marina Dabic
Abstract: This multilevel study investigated the effect of national institutional environments on the relationship between corporate responsibility practices and financial performance in multiple European countries, controlling for firm-level predictors. By doing so, we demonstrate that neither institutional theory nor stakeholder theory is adequate to investigate results in a multilevel study, which is becoming the norm of the 21st century business world. As such, we develop the multilevel-pressures theory designed to handle the demands of multilevel analyses. It synthesises the essences of these two theories and expands upon them. To test our multilevel hypotheses, we conducted a survey of 2,622 firms from 18 European countries representing different institutional contexts in terms of societal governance, European Union integration, and economic conditions. Hierarchical linear modelling results indicated that, consistent with multilevel-pressures theory, national institutional contexts exert multi-level moderating effects on the relationships between investor, local community, and environmental corporate responsibility practices and firms' financial performance.
Keywords: corporate responsibility; Europe; financial performance; institutional theory; multilevel-pressures theory; stakeholder theory.
Changes in IFRS accounting policies in the European Union: a count data approach data approach
by Gualter Couto, Francisco Silva, Ruben Cordeiro
Abstract: Firms have changed their accounting policies, either due to the European Union's (EU) regulatory impositions or due to their own will, after the mandatory adoption of International Financial Reporting Standards (IFRS) for all listed companies in the EU member states except banks and insurance companies. We examined the changes in accounting policies between 2006 and 2011. The process of harmonisation of accounting policies within the EU is formal, as the changes introduced by such policies are essentially considered immaterial. The heterogeneity of the accounting policies might have been maintained. Furthermore, such changes have been influenced to a significant degree by the presence of the Big 4 and by the dimension of the entities. The results also suggest that the judgment used to assess the materiality of these changes is not homogeneous. Knowledge of the variables that explain IFRS adoption would allow us to determine whether the information disclosed by different companies can be compared, and it would provide regulatory bodies and European institutions with some guidance on how to improve and clarify the regulations.
Keywords: IFRS; IASB; accounting policies; European Union; Poisson regression.
FDI and technology transfer: the mediating role of market factors
by Alcides Barrichello, Rafael Ricardo Jacomossi, Rogério Morano, Paulo R. Feldmann
Abstract: Traditional FDI and technology transfer literature treats variables as market factors, infrastructure, and education and training as predecessors to attract foreign investment, but it does so in an individualised way This research aims to evaluate how these variables, when considered together, affect the attraction of FDI and technology transfer in the countries The study used indicators of 137 countries, extracted from Global Competitiveness Report, published by World Economic Forum Data were analyzed using structural equation modeling The research revealed that some market factors play a mediating role between the variables infrastructure, education and training regarding the attraction of FDI and technology transfer when all variables are analysed together in a single model In addition, the size of the domestic market is not necessarily an important variable in this context. This research contributes to the advancement of knowledge in the area since it shows an alternative and complementary way of understanding.
Keywords: foreign direct investment; technology transfer; FDI attraction; structural equation modelling; World Economic Forum; international business strategy; globalisation; international markets.
Towards an understanding of corporate heritage: its evolution from 2006 to 2019 and an agenda for future inquiry
by Tugra Nazli Akarsu, Reza Marvi, Pantea Foroudi
Abstract: Having a meaningful connotation with the longevity of the existence, the concept of heritage is being considered as a key element for international organisations to sustain the competitive advantage. The ample research on heritage made an enquiry to the domain of the research essential. Based on ISI Web of Knowledge, this paper evaluates the knowledge structure of corporate and brand heritage by reviewing 78 relevant articles with 941 citations in 50 journals from the business and management domain, between January 2006 and November 2019. By adopting co-citation analysis and multidimensional scaling, we identified five research groups. Co-occurrence network and algorithmic historiography were also utilised to identify the key themes, emerging and evolution of the seminal works. Based on the recent highly cited, a future model was proposed for researchers as well as international marketers that can provide insights on the evolving topics and trend areas within the research domain.
Keywords: corporate heritage; brand heritage; heritage; bibliometric; co-citation analysis; co-occurrence; algorithmic historiography.
BOUNDARY SPANNING ROLES OF FINANCIAL ADVISORS IN M&As
by Sunny L. Sun, Young Ko
Abstract: How do investment banks (IBs) span informational boundaries and influence mergers and acquisitions (M&As)? By linking boundary-spanning with a network embeddedness perspective, we redefine the boundaries of focal firms and the roles of IBs. In particular, in the process of acquisition, firms build intra-firm ties by hiring IBs and relying on their inter-firm networks. We argue that IBs perform both an information-obtaining and an information-disseminating role across internal and external boundaries. IBs informational boundary-spanning roles become especially salient when targeting private firms. By analyzing 1,776 M&A deals with a series of interviews in China, we provide support for our predictions and suggest that IBs are rainmakers rather than supportive agents.
Keywords: mergers and acquisitions; intra-firm ties; inter-firm networks; informational boundary spanning.
Global value-chains and liability of international connectivity: MNE strategy post Covid-19
by Sarah McWilliam, Bo Bernhard Nielsen, Constantina Kottaridi
Abstract: The COVID-19 pandemic has impacted the world economy to such an extent that there is now widespread debate about how MNEs may restructure global value chains and potentially retreat from globalisation. This article unpacks the consequences of the pandemic for MNEs and develops a new concept of the Liability of International Connectivity (LOIC). We illustrate how the LOIC affects the OLI advantages and may compromise lead MNE control of supply, production, or distribution due to (1) GVC governance; (2) power asymmetries with nation states; and (3) power asymmetries with suppliers. We further discuss how the sudden exposure of MNE vulnerability in relation to international connections within GVCs may alter MNEs orchestration of activities and generate new strategic directions in pursuit of more optimal ownership, location, and internalisation advantages. Our paper advances understanding of why MNE responses to the COVID-19 pandemic may span a continuum that ranges from minimal change through to extensive reconfiguration of GVC governance and geographic structures.
Keywords: Covid-19; Pandemic; Liability of international connectivity; Global value chain; MNE strategy; internationalization; GVC governance; OLI.
A state-of-the-art review on international strategic alliances: do we really know what we are researching?
by Susana C. Silva, Maria Elo, Jorma Larimo, Bozidar Vlacic, Raquel Meneses
Abstract: This review explores recent literature on international strategic alliances (ISA). Management of alliances needs better understanding on different dimensions and components of ISAs and on their role. The review provides a state-of-art understanding of the concept using content analysis of 85 ISA articles. There is limited research on the concept of ISA and its components, that affect the alliances formation, post-formation and outcome. We found notable inconsistencies in the ISA literature on the concept. We highlight the need for further structuration of the concept and provide characterization that is more coherent. We present implications for the definition and future research avenues for the concept, especially regarding theory, context and the scope of ISA research. Finally, the study provides a state of art discussion that proposes critical viewpoints for future development of the concept of ISA, its influential components and its application in research and international management.
Keywords: international strategic alliance; alliance definition; state-of-art review; conceptual discussion; alliance stage; alliance output.
Employees' empowerment and ambidextrous innovation: the knowledge sharing as mediator and the organisational trust as moderator
by Sarra Berraies, Belgacem Bchini, Amira Houaneb
Abstract: This research investigated the impact of employees' empowerment and exploitative, exploratory and ambidextrous innovations, the mediating role of the knowledge sharing in this relationship. We also examined the moderating effect of the organizational trust in the link between employees' empowerment and knowledge sharing. An empirical study performed within 232 Tunisian Knowledge-intensive Firms (KIF). The partial least squares analysis revealed that employees' empowerment is positively linked to exploratory and ambidextrous innovations. Also, findings indicated that knowledge sharing boosts exploitative, exploratory and ambidextrous innovations. Organisational trust moderates positively the link between employees' empowerment and knowledge sharing. This study pioneers the examination of the impact of employees' empowerment on ambidextrous innovation and the moderating effect of the organisational trust and the mediating role of the knowledge sharing in this link. It offers important managerial implications for KIFs' managers that seek to foster knowledge sharing within organisations and achieve ambidextrous innovation.
Keywords: employee empowerment; exploitative innovation; exploratory innovation; ambidexterity; organisational trust; knowledge sharing; knowledge-intensive firms; Tunisia.
The relationship between networks in finance and entrepreneurship
by Miguel-Angel Galindo-Martín, Soledad Castano Martinez, Teresa Mendez Picazo
Abstract: The specialised literature shows that business networks play an important role in the creation and development of business activity. Of particular importance is the activity of networks in finance to provide the resources that entrepreneurship needs. However, we must also consider the factors that may promote the emergence of these networks in finance. The objective of this paper is to analyse the effects of networks in finance on entrepreneurship, as well as the factors that influence them. A theoretical analysis of relations and an empirical study of 16 Organization for Economic Co-operation and Development (OECD) countries are developed, considering two types of model according to the entrepreneurship index. The results obtained indicate that there is a positive and significant relationship between networks in finance and entrepreneurship and that institutions that protect property rights and economic growth favour the use of networks in finance.
Keywords: entrepreneurship; networks in finance; institutions; rule of law; crowdfunding; economic growth; venture capital; corruption; banks; economic freedom.
Market sensing of the international new ventures: strategies and determinants
by Izabela Kowalik, Monika Pieniak, Ewa Baranowska-Prokop
Abstract: The market-sensing capability, involving the routines needed to recognise market opportunities, is crucial for fast foreign expansion. So far, the antecedents of market sensing have not been thoroughly studied in the context of SME internationalisation, especially regarding companies from post-transition markets. This study offers a contribution to a research field concerning the role of managerial capabilities in internationalisation. It aims at identifying the market-sensing strategies and determinants, concerning international new ventures (INVs) with diverse backgrounds. A qualitative research approach consisting of individual expert interviews with Polish, Finnish and Italian managers of INVs is applied. It includes a card-based game, enabling the market-sensing role identification. As it is shown, the market-sensing strategies differ depending on the represented market. They are targeted at exploiting opportunities in firms from mature markets, whereas in Polish INVs they support customer responsiveness. The social ties and company experience are key determinants of market sensing of INVs.
Keywords: market sensing; international new ventures; marketing; three-country study.
The effects of guanxi on supply chains: the role of culture
by Chi Zhang, Seock-jin Hong, Marc Ohana
Abstract: With the intensification of Sino-Western trade, an increasing number of studies recognise the importance of guanxi (Chinese interpersonal relations) in international supply chain management. However, there are different types of guanxi, and this study aims to deepen our understanding of the effects of expressive and instrumental guanxi on supply chain performance among buyers with different cultural orientations. Drawing on survey data from 200 Chinese manufacturers conducting overseas business, we find that the mediated relationship between expressive guanxi and supply chain performance through affect-based trust is stronger for collectivist buyers, whereas the mediated relationship between instrumental guanxi and supply chain performance through cognition-based trust is stronger for individualist buyers. Therefore, this study not only sheds light on the effects of two types of guanxi on supply chain performance, but also unveils the moderating role of individualist/collectivist culture on the mediated relationship between guanxi and supply chain performance through affect-based and cognition-based trust.
Keywords: guanxi; affect-based trust; cognition-based trust; culture; buyer-supplier relationships; supply chain management.
The impact of CEOs' regulatory focus on CSR: the strengthening effects of industry-level dynamism and firm-level volatility
by Young Kyun Chang, Seunghye Lee, Won-Yong Oh
Abstract: Despite the increasing attention to factors leading to Corporate Social Responsibility (CSR), surprisingly little research has examined the roles of a CEO's psychological traits. This study specifically examines the effects of CEOs' regulatory focus (promotion versus prevention) on CSR. Given that CSR is an outcome-uncertain investment requiring risk-taking, we propose that CEOs with promotion focus are more likely to engage in CSR, whereas CEOs with prevention focus are less likely to engage in CSR. We further propose that such relationships will be stronger under conditions of high uncertainty, in which any corporate investment could result in either big gains or big losses. Using a panel sample of US firms from 2005 to 2011, we found that CEOs with a promotion focus are more active in CSR when there are high levels of industry-level dynamism and firm-level volatility. However, we did not find any moderating effects on a CEO's prevention focus and CSR.
Keywords: CEO; regulatory focus; corporate social responsibility; dynamism; volatility.
Entry mode choice in emerging markets: is there any difference between emerging and developed country multinationals?
by Ana Valdés-Llaneza, Pablo Sánchez-Lorda, Esteban García-Canal
Abstract: Previous research has documented that, when investing abroad, emerging market multinationals (EMMs) have a higher tolerance for risk than developed country multinationals (DCMs), highlighting their propensity to make bold acquisitions and to form alliance networks. In this paper we examine the differences between EMMs and DCMs when it comes to choosing between these options of external growth. We argue that EMMs have a higher propensity than DCMs to choose joint ownership options and, among them, those involving complex partnerships, so as to leverage their routines and imprinted capabilities to deal with partners. In order to carry out the study, we consider the differences in entry mode patterns in emerging markets by multinationals from USA, European Union, BRIC, and Next-Eleven countries between 1996 and 2012. Our results supported our hypotheses.
Keywords: joint ventures; acquisitions; emerging multinationals; developed multinationals; internationalisation; investment risk; relational risk; differences in entry mode patterns; BRIC countries; Next-Eleven countries; European Union.
Does culture frame technological innovativeness? A study of millennials in triad countries
by Andreas Klein, Sven Horak, Sabine Bacouël-Jentjens, Xiaomei Li
Abstract: Personal innovativeness is an important value-based human behaviour that is responsible for the ability to participate in the domain of technological innovations and to enhance economic growth. Our study investigates the technological innovativeness of millennials in a cross-cultural setting at the individual level. The research design includes technological involvement and knowledge and an individual-level measurement of five well-known cultural values as antecedents of technological innovativeness. Findings from structural equation modelling of 1527 millennials from six triad countries confirm that technological involvement and knowledge positively affect personal innovativeness in the technology domain. Above all, from a theoretical perspective on culture, individual measures of power distance, uncertainty avoidance and long-term orientation especially have a significant negative effect on technological innovativeness. Hence, in an international business context, individual cultural values play an important role for companies seeking, for example, an overseas location for their research and development (R&D) facilities or skilled and innovative personnel to persist in attaining and sustaining international competition. From a theoretical perspective on international business, this study also sheds light on the individual-level measurement of cultural values, taking the individual as the unit of analysis.
Keywords: technological innovativeness; individual cultural values; value measurement; millennials; cross-cultural management; triad countries.
Successful knowledge transfer in IJVs: the role of trust, partner compatibility and expected benefits
by Konstantinos Rotsios, Nikolaos Sklavounos, Yannis Hajidimitriou
Abstract: The purpose of this research is to investigate the influence of trust on knowledge transfer and expected benefits from knowledge transfer, and the influence of partner compatibility on knowledge transfer, trust and expected benefits from knowledge transfer. Based on elements from the Resource Based View and Social Exchange Theory, Greek IJVs operating in South East Europe are empirically examined. This research contributes to the literature in four ways: First, by showing a positive impact of the level of trust the foreign partner has towards the local IJV partner on (a) successful knowledge transfer to the IJV and (b) expected benefits from knowledge transfer to the IJV. Second, by revealing a positive impact of the degree of partner compatibility on (a) successful knowledge transfer to the IJV and (b) the level of trust the foreign partner has towards the local IJV partner. Third, by providing empirical evidence regarding the above impacts in new national environments. Finally, it contributes by enhancing the understanding of knowledge transfer from the foreign partner to IJVs in emerging markets.
Keywords: international joint ventures; knowledge transfer; trust; partner compatibility; expected benefits.
Co-alignment of resources and diversification strategy on business groups
by Fang-Yi Lo
Abstract: Firms allocating resources and adopting a proper strategy to gain better performance are important issues in the strategic paradigm. This research employs the resource-based view to explore how the resource endowment of business groups should be in co-alignment with a proper diversification strategy that positively affects their growth performance. Specifically, this study collects data from the top 300 Taiwanese business groups and incorporates the two research methods of multiple regression analysis and fsQCA (fuzzy-set Qualitative Comparative Analysis) to address the hypotheses and research questions. Results support the co-alignment concept from fsQCA in which resources can complement or substitute each other, and the right co-alignment of different resources with a diversification strategy can improve business groups' growth performance.
Keywords: business group; diversification strategy; fsQCA; growth performance; resources.
Do Board of Directors' roles and composition promote exploitative and exploratory innovations? Evidence from Tunisian listed firms
by Sarra Berraies, Wajdi Ben Rejeb
Abstract: This paper examines the effect of Board of Directors' (BD') roles and composition on exploratory, exploitative and ambidextrous innovations. A quantitative research was operated on Tunisian listed companies. Semi-structured interviews were also realised with directors of these firms to discuss the findings. Results of the multiple regression analysis conducted indicate that BD' service role positively influences exploratory, exploitative and ambidextrous innovations. These types of innovation are negatively linked to BD' control role and not significantly associated with BD' strategy role, board independence and gender diversity. This paper sheds light on an innovative and unexplored topic in the literature, as prior studies focused on the effect of BD on innovation rather than on innovation types or even on ambidextrous innovation. This study provides interesting insights for firms that seek to improve their corporate governance. It highlights the BD' key attributes that firms must focus on to innovate.
Keywords: corporate governance; board of directors; gender diversity; independent directors; service role; strategy role; control role; exploitative innovation; exploratory innovation; ambidexterity; Tunisia.
Trust, reciprocity and reputation in informal networks in post-Soviet Russia
by Sven Horak, Andreas Klein, Anna Svirina
Abstract: This research explores the relationship between trust and informal networking using the example of blat/svyazi, simply translated as 'connections', in post-Soviet Russia. We find that a higher articulation of general trust does not reduce the trust in blat/svyazi, but rather both can coexist. Furthermore, the greater the importance a person ascribes to blat/svyazi, the greater the need to establish a reputation within his or her blat/svyazi network, and the greater the trust in blat/svyazi. Therefore, reputation has a mediating effect on trust in blat/svyazi. However, the more important reputation building is for a blat/svyazi-based network transaction as a guarantor for the transaction, the lower the trust in blat/svyazi. We assume that the latter mechanism takes effect due to the ambivalent nature that blat/svyazi developed during post-Soviet times, being today more cognitive trust-based, less social, and more money-centred.
Keywords: informal networks; informal institutions; blat/svyazi; trust; post-Soviet Russia; emerging markets; transitional economies.
Special Issue on: Value Co-creation in the Course of International Entrepreneurial Opportunity Developme
The impact of knowledge creation and acquisition on innovation, coopetition and international opportunity development
by Gina Santos, Carla Marques, Vanessa Ratten, João J. Ferreira
Abstract: This study sought to analyse the impact of the creation and acquisition of knowledge in company coopetition and innovation, as well as the effect of coopetition and innovation on internationalisation. The analysis used variables included in the database of the Community Innovation Survey CIS 2012, to which multivariate statistical tests were applied. The results reveal that the creation process, including knowledge creation, has an impact on company innovation and coopetition. In addition, innovation has a positive impact on the internationalisation of enterprises. Thus, companies that promote knowledge creation and acquisition and that implement coopetition strategies innovate significantly more, thereby promoting internationalisation. This studys results contribute to validating the importance of investment in knowledge supported by coopetition strategies as a way to understand trends and to plan and define innovation strategies that contribute to companies entry into the global market.
Keywords: coopetition; internationalisation; knowledge.
Special Issue on: Entrepreneurship Cross-National and Cross-Cultural Perspectives
One size does not fit all: generalising entrepreneurial insights in a world of differences
by Gerhard Apfelthaler, William B. Gartner, Armin J. Kammel
Abstract: This article is an introduction to the special issue on 'Entrepreneurship: Cross-National and Cross-Cultural Perspectives'. Besides providing overviews of the six articles published in the special issue, we discuss some of the challenges that arise when scholars explore cross-national and cross-cultural perspectives in entrepreneurship.
Keywords: entrepreneurship; cross-cultural entrepreneurship; cross-national entrepreneurship.