Abstract

Managers of international subsidiaries, especially subsidiary CEOs, operate at critical interfaces within multinational enterprises (MNEs) and hold strategic responsibility for the operations in their country. Yet, their impact on subsidiary performance has received scant research attention. Building on the subsidiary entrepreneurship and strategic leadership literatures, we develop a model of how subsidiary CEOs' entrepreneurial leadership affects subsidiary performance, and how this relationship is moderated by the subsidiary context that determines managerial discretion. We combine survey data of 291 international subsidiaries in South Korea with archival data to test our hypotheses. Our results show that subsidiary CEOs' entrepreneurial leadership enhances subsidiary performance and that this relationship is strengthened by managerial discretion. Our study highlights the pivotal role of subsidiary CEOs within MNEs and contributes to a microfoundational understanding of international subsidiary management.

Keyword

Decision autonomy ;  Entrepreneurial leadership ;  Managerial discretion ;  Organizational inertia ;  Subsidiary performance ;  Task complexity

Abstract

Having established their first overseas operation, the next big challenge for many emerging economy multinational enterprises (EMNEs) is to align their HRs with their strategic ambition. Their lack of internationally experienced talent has become a major obstacle to strategy implementation: they need to fill leadership roles with international responsibility based abroad and at home, and they need to develop talent for future international leadership roles. The key challenge for catch-up strategies thus is to attract, develop, and retain talents who can lead international operations. In this paper, we develop a research agenda on strategic management and HRM in EMNEs that aims to explain the obstacles EMNEs face and facilitates the development of better talent management practice. In particular, we propose to integrate strategic management and HRM perspectives not only to advance theories but to enhance the relevance of both lines of scholarship to practice.

Keyword

Emerging economy multinationals ;  expatriates ;  human resource management ;  international management capabilities ;  strategic management ;  talent management

Abstract

Firms and governments operate in broad networks in which the home government and its diplomatic service are a critical node – or a “referral point” – between firms and potential partners in foreign locations. Thus diplomatic relations between countries matter for the choice of foreign investment location. Using a network perspective, we argue that the extent to which good diplomatic relations induce firms to invest in friendly host countries depends on their political connections to home governments. Those with stronger ties to home governments can better access and leverage intergovernmental diplomatic connections, thus benefiting potentially from enhanced access to information, reduced political risks, and increased legitimacy. Such ability of politically connected firms is more useful where weak institutional impartiality in the host country inhibits neutral treatment of foreign investors. Empirically, using overseas investment location decisions by Chinese firms, we find that the types of home government ties (i.e., whether they are organizational or personal and whether those relationships are with central or local goverments) and the impartiality of host institutions are both important contingencies affecting firms’ utilization of diplomatic relations. We discuss the implications of our study to research on network theory, political ties, and internationalization of emerging market firms. 公司和政府在广阔的网络中运营,其中本国政府及其外交服务是公司和在外国地点的潜在合作伙伴之间的关键节点或“引荐点”。因此,国家之间的外交关系对外国投资地点的选择是重要的。使用网络视角,我们认为,良好的外交关系引导公司投资友好东道国的程度取决于它们与本国政府的政治联系。那些与本国政府有着更密切联系的公司可以更好地获得和利用政府间的外交关系,从而潜在地得益于增加的信息获取,减少的政治风险和增加的合法性。有政治关系公司的这种能力在脆弱的东道国制度公正性抑制对外国投资者的中立待遇的情况下更为有用。实证上,采用中国公司海外投资定位决策,我们发现,本国政府关系的类型(无论是组织上的还是个人的,无论是中央的还是地方政府的)和东道国制度公正性都是影响企业利用外交关系的重要的偶发事件。我们讨论我们的研究对网络理论,政治关系以及新兴市场公司国际化研究的启示。

Keyword

Chinese multinationals ;  diplomatic relations ;  foreign location choice ;  network theory ;  political ties ;  state-controlled firms

Abstract

Keyword

Abstract

Research on multinational enterprises that originate from emerging economies has highlighted the importance of the home country for firms' strategies of internationalization. In this paper, we outline a simple analytical framework linking institutions and resource munificence in the home country to the domestic business eco-system in an emerging economy, and thereby to strategies of outward investments. Specifically, we argue that businesses interact with each other in their home economy, and these patterns of interactions influence strategies of internationalization as companies not only compete with each other, but share resources, coordinate actions and serve as each other's role model. Strategies of outward investment thus reflect the competition and collaboration in their home country business eco-system.

Keyword

Business groups ;  BUSINESS GROUPS ;  Business networks ;  CHINESE FIRMS ;  CORPORATE-GOVERNANCE ;  Emerging market multinationals ;  FOREIGN DIRECT-INVESTMENT ;  INSTITUTIONAL TRANSITION ;  Institutions ;  INTERNATIONAL EXPANSION ;  OUTWARD FDI ;  Peer businesses ;  PERFORMANCE ;  Resource munificence ;  STATE-OWNED ENTERPRISES ;  STRATEGIC ASSETS

Abstract

The Johanson and Vahlne model of internationalization has been the main foundation of process research in international business since 1977. This model, also known as the Uppsala model, provides a useful general framework for interpreting firm-level processes increasing (and occasionally decreasing) resources committed to international operations. However, the model does not provide theoretical explanations of non-linear and discontinuous dynamics of the process over time, nor does it offer testable propositions. We focus on the longitudinal dimension of internationalization, specifically path-breaking commitments that increase a firm’s exposure to risk. On this basis, we examine the idea that the IP model represents an evolutionary process. By emphasizing the role of novelty and introducing selection mechanisms, we explain non-linear and discontinuous dynamics of internationalization processes. Path-breaking resource commitments create novelty and deviate from a gradual path of growth as firms take higher risks, and hence face more intensive selection pressures. In consequence, firms are more likely to experience outstanding performance – but are also more likely to experience failure. This variation of outcomes is moderated by the resources a firm can draw upon in its ecosystem and by the volatility of its environment. Based on these ideas, we develop testable propositions to advance the internationalization process model. Johanson和Vahlne的国际化模型自1977年以来一直是国际商务过程研究的主要基础。这个模式,也称为乌普萨拉模型,为解释公司层面过程增加(并有时减少)承诺于国际运营的资源提供了一个有用的通用框架。然而,该模型并没有提供对随时间过程的非线性和不连续动态性的理论解释,也不提供可测试的命题。我们专注于国际化的纵向维度,特别是增加公司风险暴露的突破性承诺。在此基础上,我们研究了IP模型代表进化过程的观点。通过强调新颖性的作用和引入选择机制,我们解释了国际化过程非线性的和不连续的动态性。当公司面对更高风险的时候,突破性的资源承诺创造新颖性并偏离逐渐成长道路,因而面临更强的选择压力。因此,公司更有可能体验出色的表现 – 但也更有可能会遭遇失败。这种结果的变化受到公司在其生态系统可用资源以及其环境波动性的调节。基于这些想法,我们开发了可测试的命题来改进国际化过程模型。

Keyword

evolutionary theory ;  internationalization process model ;  non-linear and discontinuous dynamics

Abstract

研究中国管理的学者们正争论如何在全球的学术讨论和理论框架中定位自己的工作。在这篇对Oded Shenkar的回应中,笔者认为社会科学已经认识到了社会的多样性,然而管理学对社会多样性的理解却非常肤浅。由于管理是一种社会嵌入活动,因此对社会情境的了解对于管理研究的相关性和严谨性而言至关重要——尤其是在与盎格鲁撒克逊社会(在这里领先的管理研究是基于实证的研究)不同的情境下,比如中国。因此,深入理解情境如何和为何发挥关键作用,应该是管理学者首要的关注点,不仅在中国应如此,在全世界范围内都应如此。在此我提出了一些在中国进行情境化管理研究的建议。

Keyword

比较管理研究 ;  特定情境研究 ;  社会多样性 ;  全球管理知识

Abstract

Social science research has recently been subject to considerable criticism regarding the validity and power of empirical tests published in leading journals, and business scholarship is no exception. Transparency and replicability of empirical findings are essential to build a cumulative body of scholarly knowledge. Yet current practices are under increased scrutiny to achieve these objectives. JIBS is therefore discussing and revising its editorial practices to enhance the validity of empirical research. In this editorial, we reflect on best practices with respect to conducting, reporting, and discussing the results of quantitative hypothesis-testing research, and we develop guidelines for authors to enhance the rigor of their empirical work. This will not only help readers to assess empirical evidence comprehensively, but also enable subsequent research to build a cumulative body of empirical knowledge. 社会科学研究最近一直就发表在领先期刊上的实证测试的有效性和影响力受到相当多的批评,商务学问也不例外。透明度和实证研究结果的可复制性是建立学术知识的累积体必不可少的。然而,当前的做法受到更多的审视以实现这些目标。JIBS因此正在讨论和修改其编辑实践以提高实证研究的有效性。在这篇社论中,我们反思有关从事、报告和讨论定量假设测试研究结果的最佳实践,并为作者们提出提高其实证工作严谨性的指导方针。这将不仅帮助读者们全面地评估实证证据,而且能使后续研究建立起实证知识的累积体。 La recherche en sciences sociales a récemment fait l’objet de critiques importantes concernant la validité et la puissance des tests empiriques publiés dans les revues de référence, et les sciences de gestion ne sont pas une exception. La transparence et la reproductibilité des résultats empiriques sont essentielles pour construire un ensemble cumulatif de connaissances académiques. Pourtant, les pratiques courantes sont sous vérification accrue pour atteindre ces objectifs. Par conséquent, JIBS discute et révise ses pratiques éditoriales pour améliorer la validité des recherches empiriques. Dans cet éditorial, nous réfléchissons sur les meilleures pratiques concernant la réalisation, la communication et la discussion des résultats de la recherche quantitative fondée sur des tests d’hypothèses, et nous développons des conseils aux auteurs pour améliorer la rigueur de leur travail empirique. Ceci va non seulement aider les lecteurs à évaluer les preuves empiriques de manière complète, mais aussi permettre à la recherche ultérieure de construire un ensemble cumulatif de connaissances empiriques.

Keyword

hypothesis testing ;  new guidelines ;  p value ;  research malpractices ;  statistical reporting

Abstract

The second edition of International Business offers a comprehensive and accessible introduction to international business that starts from Europe but ultimately encompasses the globe. This edition has been fully updated to reflect the rapidly changing world of business, including more coverage of emerging economies and trading blocks. The text's comprehensive coverage is arranged around one central question - what determines the success and failure of firms around the globe? Scholarly research is used throughout to help answer this question and to facilitate learning of the key concepts.

Keyword

Abstract

The rules for business vary not only between countries, but within countries. Subsidiaries of multinational enterprises (MNEs), thus, have to consider both the national level and the local context when designing their business practices. To examine this impact, we study R&D outsourcing in four Eastern member states of the European Union and find that local R&D outsourcing is used more frequently where local institutions are strong. However, this local impact depends on the MNE's overall knowledge sourcing practice and is weaker when MNE subsidiaries’ knowledge management prioritizes external sources of knowledge.

Keyword

contractual hazards ;  EMERGING ECONOMIES ;  FOREIGN ;  GOVERNANCE ;  HOST-COUNTRY ;  INTELLECTUAL PROPERTY-RIGHTS ;  LOCATION ;  MNE subsidiaries ;  MULTINATIONAL-ENTERPRISE ;  openness to external knowledge ;  R&D outsourcing ;  STRATEGIES ;  subnational institutions ;  TECHNOLOGICAL-INNOVATION ;  TRANSITION ECONOMIES