1,720,962 research outputs found
The direction of regulatory institutional distance and MNE’s subsidiary ownership strategy: Re-examining theory and evidence in the case of emerging markets
No full textThe possibility of institutional distance exerting an asymmetric effect on the entry strategies of multinational enterprises (MNEs) has attracted recent scholarly attention. In this context, we re-examine the relationship described by Hernandez and Nieto (2015) on the effect of the direction of regulatory institutional distance on MNEs’ choice of entry mode in host countries. We extend this research by (1) focussing on the context of emerging markets and (2) accounting for a greater variety of MNEs as well as institutions by including both large and small firms, and a larger set of home and host countries. In contrast to Hernandez and Nieto’s study, we find that, in the context of emerging markets, institutionally distant MNEs are more likely to choose the full-ownership mode when they originate from an institutionally stronger country in comparison to the host (emerging) country, and they are more likely to choose the joint-ownership mode when they originate from an institutionally weaker country. We discuss our findings with respect to Hernandez and Nieto’s study, which explores this relationship more generally (i.e. beyond emerging-market contexts), however in the context of small and medium enterprises
Testing the formal institutional distance - subsidiary performance link, and the moderating effects of ownership strategy and experience: evidence from 17 emerging markets
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The direction of regulatory institutional distance and MNEs' subsidiary ownership strategy: re-examining theory and evidence in the case of emerging markets
No full textThe possibility of institutional distance exerting an asymmetric effect on the entry strategies of multinational enterprises (MNEs) has attracted recent scholarly attention. In this context, we re-examine the relationship described by Hernandez and Nieto (2015) on the effect of the direction of regulatory institutional distance on MNEs’ choice of entry mode in host countries. We extend this research by (1) focussing on the context of emerging markets and (2) accounting for a greater variety of MNEs as well as institutions by including both large and small firms, and a larger set of home and host countries. In contrast to Hernandez and Nieto’s study, we find that, in the context of emerging markets, institutionally distant MNEs are more likely to choose the full-ownership mode when they originate from an institutionally stronger country in comparison to the host (emerging) country, and they are more likely to choose the joint-ownership mode when they originate from an institutionally weaker country. We discuss our findings with respect to Hernandez and Nieto’s study, which explores this relationship more generally (i.e. beyond emerging-market contexts), however in the context of small and medium enterprises
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Testing the formal institutional distance - subsidiary performance link, and the moderating effects of ownership strategy and experience: evidence from 17 emerging markets
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Institutional distance and subsidiary performance: climbing up vs. climbing down the institutional ladder
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Institutional distance and subsidiary performance: climbing up vs. climbing down the institutional ladder
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Home institutional imprinting and lobbying expenditure of foreign firms: moderating effects of experience and technological intensity
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Family business legitimacy and foreign subsidiary establishment mode choice: an institutional and mixed gamble approach
No full textThe internationalisation of family firms is increasingly argued to be influenced by institutions external to the firm. In this paper, drawing on institutional and mixed gamble theories, we argue that family firms' choice of foreign subsidiary establishment mode varies based on the degree of family business legitimacy (FBL) in their home and host countries. We propose that both the individual and combined effects of home and host FBL influence this choice. Additionally, we contend that cultural distance between the home and host countries moderates the aforementioned effect. Our hypotheses are tested using a sample of 147 family firms over the period 2011–2019. Overall, our research contributes to a greater understanding of the role of external institutions on the foreign subsidiary establishment mode choice of family firms.</p
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Home institutional imprinting and lobbying expenditure of foreign firms: moderating effects of experience and technological intensity
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Performance of foreign subsidiaries acquired by family firms: a configurational perspective
No full textAlthough international business research has extensively focused on foreign subsidiary performance, the performance of foreign subsidiaries owned by “family firms” has surprisingly received scant attention. In this paper, we adopt a configurational perspective to explore the diverse combinations of external family-centric institutions and internal firm-specific factors that drive the performance of family firms’ acquired foreign subsidiaries. Such configurations include the combination of (1) family business legitimacy (FBL) within the host country of the foreign subsidiary, (2) FBL of the family firm’s home country, (3) the presence of a family CEO in the parent firm, (4) the proportion of family members on the board of directors, and (5) name congruence. By applying fuzzy-set qualitative comparative analysis (fs/QCA) to a sample of 87 foreign subsidiaries acquired by 56 family firms over the period 2011–2019, our findings show optimal configurations of the aforesaid factors that lead to the successful performance of family firms’ acquired foreign subsidiaries.</p
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