Institutional Impacts on Firm Internationalization

375 Pages·2015·1.78 MB·English

by  Svetla Marinova (eds.)

Institutional Impacts on Firm Internationalization
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Institutional Impacts on
Firm Internationalization
Editedby
Svetla Marinova
AalborgUniversity,Denmark
Selectionandeditorialcontent©SvetlaMarinova2015
Individualchapters©Respectiveauthors2015
Softcover reprint of the hardcover 1st edition 2015 978-1-137-44633-6
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Contents
ListofFigures,TablesandBoxes vii
NotesonContributors x
1 InstitutionsandInternationalBusiness 1
SvetlaMarinova
2 ConvergenceversusDivergence:TestingVarietiesofCapitalism
PerspectiveontheGlobalizationofBusinessPractices 12
AndreiKuznetsovandMarcusJacob
3 InstitutionalDeterminantsofOutwardForeignDirect
InvestmentfromEmergingEconomies:
AHome-CountryPerspective 40
MohamedAmalandBrunoThiagoTomio
4 EffectsofGovernmentEconomicPolicyonOutwardForeign
DirectInvestment:ExperiencefromChinaandtheEU 65
WitoldWilinskiandXiaoxinLi
5 ForeignDirectInvestmentGrowthinChina:Implicationsfor
Politics,theEconomyandCulture 86
AttilaYaprakandYingtaoXiao
6 ShouldGovernmentsSupportOutwardFDI?TheCase
ofPoland 120
MarianGorynia,JanNowak,PiotrTrapczyn´skiandRadosław
Wolniak
7 InnovationinEmergingEconomies:TheSpilloverEffects
ofForeignDirectInvestmentandInstitutionsinRussia 146
NatalyaSmithandEkaterinaThomas
8 TheRoleofHomeGovernmentsinOutwardForeign
DirectInvestment 173
SvetlaMarinova,JohnChildandMarinMarinov
9 StructuralModelofInstitutionalEnvironmentInfluenceon
InternationalEntrepreneurshipinEmergingEconomies 190
DariaVolchek,SamiSaarenketoandAriJantunen
v
vi Contents
10 TheEffectsofCountryandIndustryFactorsonthe
CompetitiveAdvantageofEuropeanConstructionFirms
OperatinginRussia 217
AndreiPanibratov
11 UnderstandingFailureinInternationalRetailing:
AnInstitutionalFrameworkforFutureInvestigation 238
AlphonseAklamanu
12 KeyDeterminantsofRetailInternationalization:
DoInstitutionsMatter? 264
MichaelR.Czinkota,SvetlaMarinova,A.CoskunSamliand
ZhizhongJiang
13 FirmInternationalizationandInstitutions:TheCaseof
PharmaceuticalRetailing 286
AnnaKarhu
14 Tri-SpaceFrameworkforUnderstandingMNCBehaviour
andStrategies:AnInstitutionalismandBusiness
SystemPerspective 299
MohammadBakhtiarRana
Index 334
Figures, Tables and Boxes
Figures
3.1 Generalframework 49
4.1 OutwardFDIstockforChina,Japan,theEUandtheUnited
StatesasapercentageofglobaloutwardFDIstockinUS$
billion(1991–2011) 66
4.2 OutwardFDIstockfromChina,Japan,theEUandthe
UnitedStatesinUS$(1991–2011) 67
5.1 WorldFDIflowandstock 87
5.2 China’sinwardFDIflowandstock 88
5.3 China’sexportandimportactivities 89
5.4 China’sforeigntradebalanceandforeignexchangereserves 90
5.5 Grossdomesticproduct(GDP)growthrate 93
5.6 ShareofexportsinGDP 93
5.7 Urbanunemploymentrate 94
5.8 Inflationrate 100
5.9 Corruptionperceptionsindex 104
5.10 ContractedFDIsize 104
5.11 FDIgrowthinsectors(1999as100) 112
6.1 AclassificationofoutwardFDI-promotingmeasures 130
8.1 Modelfortheroleofthehomegovernment 185
9.1 Researchmodel 200
9.2 Structuralmodelofinstitutionalinfluenceonthe
internationalizationofentrepreneurialbusinessesin27
emergingeconomies 206
11.1 Aframeworkoffactorsforfailureininternationalretailing 246
12.1a Ruleoflawandnumberofmarketentries 274
12.1b Governmentrestrictionsandnumberofmarketentries 274
12.2a Governmentrestrictionsandnumberofmarketentries 275
12.2b Governmentrestrictionsandtimeofmarketentry 276
12.3a Culturaldistanceandnumberofmarketentries 276
12.3b Culturaldistanceandtimeofentry 277
12.3c Culturaldistanceandhighresourcecommitment 277
14.1 Tri-spaceframework 302
14.2 Interdependencybetweeninstitutionsandfirmsthat
constitutebusinesssystem 306
vii
viii ListofFigures,TablesandBoxes
Tables
2.1 Summarystatistics 20
2.2 Thevariables 23
2.3 Indexofinstitutionalimpactandratioofinstitutional
impactbysubsidiary/parent 26
2.4 Subsidiaryindexofinstitutionalimpactandratioof
institutionalimpactbysubsidiarysize,subsidiaryageand
subsidiaryfunction 27
2.5 Regressionresultsforsubsidiaryinstitutionalindexscores 31
A.2.1 Tableofcorrelations 36
3.1 Descriptionoftheworldgovernanceindicators 51
3.2 Variables,hypotheticalsignsandsources 54
3.3 Descriptivestatistics 55
3.4 Correlationmatrixanddescriptivestatistics 56
3.5 Findings:homemarketinstitutions 56
3.6 Findings:interactionmodel 57
4.1 SelectedprojectsfinancedbyEuropeanInvestmentBank
outsidetheEUin2009–2011years(EUROmillion) 70
4.2 ComparisonofChineseandtheEUoutwardFDIeconomic
policy 82
5.1a Ownershipofconsumerdurablegoodsinurbanandrural
areas(numberofitemsownedper100householdsatyear
end) 90
5.1b Majorindicesoflivingconditions 91
5.2 China’sWTOaccessionprotocol 102
5.3 China’spost-WTOlegalreforms 102
5.4 Summarytable 107
6.1 SummaryoftheeffectsofoutwardFDIonhomeeconomies 128
6.2 FDI-promotinginstitutionsinChinaandGermany 134
6.3 OutwardFDI-promotinginstitutionsinPoland 136
7.1 Descriptionofvariablesanddescriptivestatistics 158
7.2 Correlationsbetweenvariables 159
7.3 Probabilityoffilingpatents 160
7.4 Probabilityofcreatingnewtechnologies 161
7.5 Magnitudeofinnovationoutputmeasuredbypatentsfiled 163
7.6 Magnitudeofinnovationoutputmeasuredbynew
technologiescreated 164
8.1 Aschemeofpoliticalandeconomic
continuity/discontinuity,institutionalentrepreneurship
andoutwardFDIinstitutionaldevelopment 182
9.1 Variablesanddatasources 202
9.2 Correlationsofthelatentvariables 205
9.3 Structuralmodelstatistics 207
ListofFigures,TablesandBoxes ix
10.1 Asymmetricinfluenceofcountry-andindustry-specific
factorsoninternationalanddomesticconstruction
companiesinRussia 230
10.2 Thevalueoffactorsshapingcompetitiveadvantagesof
EuropeanandRussianconstructioncompanies 234
11.1 Possiblecausesofcorporatefailure 243
11.2 Possiblecausesoffailureininternationalretailing 244
12.1 Measuresforassessmentofconstructsofeachinstitutional
dimension 271
12.2 Summaryoffindings 279
12.3 Marketentryandmarketservicingmodeindevelopedand
emergingmarkets 279
13.1 Institutionalelementsinpharmaceuticalretail(basedon
Volkerink,deBasandvanGorp,2007) 292
14.1 Typologiesofinstitutionusedininternationalmanagement
research 305
14.2 Businesssystemcharacteristics 307
14.3 Differentbusinesssystemsandvarietyofstrategicactors 309
Boxes
1 GermaninvestmentinEgyptasaconsequenceoftheEU’swind
farmproject 72
2 Spanishcompanies’partnershipwithSaudifirmbasedon
QuarzazateSolarPowerPlantconstructioninMorocco 72
3 InterruptedinvestmentprojectsinCanadaandtheUnited
States(2009–2011) 81