Institutional distance, internationalization speed and cross-border e-commerce platform utilization
ISSN: 0025-1747
Article publication date: 3 June 2022
Issue publication date: 17 January 2023
Abstract
Purpose
From the perspective of the institution and internationalization speed, the article discusses the internal mechanism of cross-border e-commerce selection mode, as well as the moderating role of social networks as the intangible resource, and expand the theoretical system of corporate internationalization.
Design/methodology/approach
Based on the empirical data of 456 multinational e-commerce companies in five first-tier cities in China from 2016 to 2019, our research explores the selection mode of cross-border e-commerce.
Findings
The results show that (1) the institutional distance of the host country leads to the exit from cross-border e-commerce platforms in the international expansion of enterprises. (2) The difference in internationalization speed online and offline has become a mediated mechanism for the exit of cross-border e-commerce platforms due to the institutional distance of the host country. (3) The diversity and scale of offline social networks can weaken the impact of differences in internationalization speed on the exit from cross-border e-commerce platforms. (4) The resistance of companies expanding to countries with a weak institutional environment is greater than that experienced when expanding to countries with a strong one.
Originality/value
This study shows, for the first time, how to select expansion mode for cross-border e-commerce. And the paper also centers on the research of the impact of “social network”, a kind of intangible resource, on cross-border e-commerce platform adoption.
Keywords
Acknowledgements
Funding: The funding was provided by the Ministry of Education of Humanities and Social Science Project (No: 20YJC630181), Young Academic Innovative Team of Capital University of Economics and Business (No: QNTD202106), and Basic Scientific Research Funds of Beijing University of Posts and Telecommunications (No: 2021RC60).
Citation
Yan, Z., Lu, X., Chen, Y. and Wang, K. (2023), "Institutional distance, internationalization speed and cross-border e-commerce platform utilization", Management Decision, Vol. 61 No. 1, pp. 176-200. https://doi.org/10.1108/MD-09-2021-1172
Publisher
:Emerald Publishing Limited
Copyright © 2022, Emerald Publishing Limited