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Book part
Publication date: 30 May 2013

Michael Nippa and Schon Beechler

Rather than add another review of the numerous scholarly publications of success factors and performance of International Joint Ventures (IJVs) this study offers an overview of…

Abstract

Rather than add another review of the numerous scholarly publications of success factors and performance of International Joint Ventures (IJVs) this study offers an overview of the extant research based on the findings, criticisms and recommendations of previous reviews. Scholars and practitioners interested in the research field may profit from our contribution in several ways. First, we provide a comprehensive overview of the state-of-the-art of the field in a table listing the characteristics of the most relevant review studies published in leading management journals. These special reviews offer more detailed analyses of the studies under investigation, different frameworks and proposals for future research directions. Finally, we summarize the criticisms and recommendations of previous researchers that have been ignored and discuss why many of those recommendations have gone unheeded and how future research may benefit from more systematic development of this field.

Details

Philosophy of Science and Meta-Knowledge in International Business and Management
Type: Book
ISBN: 978-1-78190-713-9

Article
Publication date: 23 May 2018

Yongyi Shou, Wen Che, Jing Dai and Fu Jia

Through examining the two constructs of inter-organizational complementarity and inter-organizational compatibility in supply chains, the purpose of this paper is to develop a

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Abstract

Purpose

Through examining the two constructs of inter-organizational complementarity and inter-organizational compatibility in supply chains, the purpose of this paper is to develop a taxonomy of focal firms’ inter-organizational fit (IOF) configurations with their suppliers and customers, and examine the relationship between these configurations and environmental innovation (EI) in order to answer the question of “with whom” to collaborate for EI development.

Design/methodology/approach

A survey instrument was elaborated and data from a sample of 171 US firms were collected. The authors adopted cluster analysis to identify the IOF taxonomy. Canonical discriminant analysis was employed to uncover underlying dimensions between clustering variables and cluster membership. Then, ANOVA tests were conducted to investigate relationships between IOF configurations in the context of EI in supply chains.

Findings

Three configurations were identified based on the complementarity and compatibility between focal firms and their supply chain partners. It is observed that the overall IOF level is positively related to firms’ EI outcomes. Moreover, inter-organizational complementarity facilitates incremental EI while inter-organizational compatibility plays a more crucial role in radical EI. Both are required to achieve the best innovation outcome.

Originality/value

This research develops the first taxonomy for depicting IOF in a supply chain innovation context and also clarifies different rationale behind the development of incremental and radical EI through examining distinctive effects of the complementarity and compatibility with supply chain partners.

Details

International Journal of Operations & Production Management, vol. 38 no. 8
Type: Research Article
ISSN: 0144-3577

Keywords

Book part
Publication date: 13 August 2014

Gabriel R. G. Benito, Randi Lunnan and Sverre Tomassen

In this paper, we offer insights that combine a network perspective of the multinational company (MNC) with an analysis of different types of interdependencies. We develop and…

Abstract

In this paper, we offer insights that combine a network perspective of the multinational company (MNC) with an analysis of different types of interdependencies. We develop and illustrate our arguments with a company case (LIMO) and argue that types of interdependencies have consequences for the orchestration of MNC activities. The experience from LIMO suggests that extreme organizational designs, where orchestration is either purely local or mostly global, fail to capture the nuances necessary to ensure efficiency and profitability. The main theoretical contribution in this paper is to show that the search for orchestration through an organizational design must involve the combination of several perspectives of activity combinations and their interdependencies. Simply optimizing through a tight network or looking at the firm as a loose federation is too simple to understand the complex trade-off facing modern MNCs.

Details

Orchestration of the Global Network Organization
Type: Book
ISBN: 978-1-78350-953-9

Keywords

Article
Publication date: 19 November 2008

Roger (Rongxin) Chen

This study examines the impact of MNC parents on the cost of doing business abroad (CDBA) of their foreign subsidiaries in emerging markets. Based on a case research, we found…

Abstract

This study examines the impact of MNC parents on the cost of doing business abroad (CDBA) of their foreign subsidiaries in emerging markets. Based on a case research, we found that MNC HQs can influence the activity‐based CDBA of their foreign subsidiaries through policies on technology royalties, expatriate expenses, and through helping the export business of their subsidiaries. Theoretical implications of these findings are discussed.

Details

Multinational Business Review, vol. 16 no. 3
Type: Research Article
ISSN: 1525-383X

Keywords

Article
Publication date: 1 January 1989

D.W. Haines, R. Chandran and A. Parkhe

Discusses the benefits and disadvantages of pioneering new marketscompared with following prudently into new markets. Argues that whichstrategy is best depends on both conviction…

Abstract

Discusses the benefits and disadvantages of pioneering new markets compared with following prudently into new markets. Argues that which strategy is best depends on both conviction about the product and potential market and the firm′s ability to maintain market leadership. Concludes that a pioneering approach provides critical lead time whereas a follower approach yields benefits in fixed and variable costs.

Details

Journal of Consumer Marketing, vol. 6 no. 1
Type: Research Article
ISSN: 0736-3761

Keywords

Book part
Publication date: 13 August 2014

Valentina De Marchi, Eleonora Di Maria and Stefano Ponte

This paper aims at enriching the literature on international business (IB) studies to include insights from Global Value Chain (GVC) analysis to better explain how MNCs can…

Abstract

This paper aims at enriching the literature on international business (IB) studies to include insights from Global Value Chain (GVC) analysis to better explain how MNCs can orchestrate a global network organization. A first important contribution of the GVC literature is that it shifts the focus from single firms to their value chains, providing instruments to study how activities are split and organized among different firms at the industry level, and how MNCs can implement different governing mechanisms within a network-based setting. The GVC literature also highlights that retailers (as global buyers) often act as ‘lead firms’ in shaping the trajectories of global industries, while IB studies have so far focused predominantly on manufacturing firms. A fine-grained analysis of alternative forms of governance characterizing value chains can offer additional elements in explaining how MNCs can manage their network relationships in a global scenario. Finally, through their focus on upgrading, GVC studies suggest that knowledge flows and innovation dynamics taking place within value chains are as important as those taking place within the MNC’s organizational border. We conclude by arguing that these insights can help the IB literature to examine the challenges and opportunities MNCs face in engaging with suppliers and to explain the dynamic evolution of orchestrating global activities at the global level.

Details

Orchestration of the Global Network Organization
Type: Book
ISBN: 978-1-78350-953-9

Keywords

Book part
Publication date: 4 September 2007

Satu Teerikangas

Different forms of inter-organisational encounters, including joint ventures, alliances, mergers and acquisitions, have over the last decades become fashionable and much-sought…

Abstract

Different forms of inter-organisational encounters, including joint ventures, alliances, mergers and acquisitions, have over the last decades become fashionable and much-sought means of globalisation. A continuous concern shared by managers involved in these different forms of inter-organisational encounters is the challenge of making them work in practice – their successful implementation and management. The cultural dimensions of these different kinds of inter-organisational encounters, particularly in cross-border contexts, have been deplored as being particularly difficult. This paper builds on prior research and aims to understand how the cultural dimensions of inter-organisational encounters have been approached by researchers on mergers and acquisitions on the one hand and researchers on alliances and joint ventures on the other hand. Based on a comparative literature review, the findings suggest that the two fields, despite their valuable contributions and the similarities in the phenomena they study, have remained surprisingly isolated from one another and would offer opportunities for cross-fertilisation. Through its theoretical contribution, the paper intends to offer insights to researchers in both streams of research.

Details

Advances in Mergers and Acquisitions
Type: Book
ISBN: 978-0-7623-1381-5

Article
Publication date: 31 December 2010

Marwan N. Al Qur’an

This study looks at drivers of internationalisation and the important location decision factors contributed to the selection of a beneficial country for international expansion…

Abstract

This study looks at drivers of internationalisation and the important location decision factors contributed to the selection of a beneficial country for international expansion. One in‐depth and information‐rich case study of the Arabian premium international professional service firms was purposively undertaken. The results show that both firm and location‐specific factors, firm’s competitive advantage, company’s management attitudes and profit growth were the main drivers of internationalisation. Further, the study reveals that the pre‐development of country qualitative and quantitative location factors was elemental to attain profitable foreign country choice. Accordingly, these findings have significant theoretical and practical implications to the internationalisation and foreign market entry of professional service firms.

Details

World Journal of Entrepreneurship, Management and Sustainable Development, vol. 6 no. 1/2
Type: Research Article
ISSN: 2042-5961

Keywords

Article
Publication date: 6 February 2007

Per Erik Eriksson

To investigate if game theoretic reasoning may be used to explain a lack of cooperation in buyer‐supplier relationships within construction and facilities management. In order to…

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Abstract

Purpose

To investigate if game theoretic reasoning may be used to explain a lack of cooperation in buyer‐supplier relationships within construction and facilities management. In order to make an empirical application of the prisoner's dilemma (PD) game, possible important variables are operationalized and empirically measured.

Design/methodology/approach

Empirical data concerning pay‐offs and the variables in the discount parameter formula (created in this paper) have been obtained through interviews with clients and contractors in the Swedish construction sector.

Findings

This paper suggests a way to operationalize pay‐offs and the discount parameter, making empirical measurements possible. Owing to differences in pay‐offs and the discount parameter, different forms of contracts will affect cooperation. Cumulative values of cooperation are much higher in lasting relationships than in occasional transactions. Thus, the best way to facilitate cooperation between rational players is long‐term contracts.

Research limitations/implications

Since, the values used are based on empirical data collected from a few respondents, they should be viewed as illustrative empirical examples, rather than statistical generalizations.

Practical implications

From a game theoretic perspective the practice of project partnering may not solve problems regarding lack of cooperation. To increase the incentives for cooperation, the actors should work together in long‐term relationships instead of focusing on single projects. Long‐term strategic partnering is, therefore, beneficial for the construction and management of facilities.

Originality/value

This paper makes empirical application of the PD game possible by operationalizing and empirically measuring game theoretic variables that previously have been given values set by the researcher rather than by the players in the game.

Details

Facilities, vol. 25 no. 1/2
Type: Research Article
ISSN: 0263-2772

Keywords

Article
Publication date: 21 September 2015

Mikelle Calhoun and Akhadian Harnowo

This paper aims to present a model that explains how knowledge contributions of international joint venture (“IJV”) partners can be balanced or imbalanced, which affects each…

Abstract

Purpose

This paper aims to present a model that explains how knowledge contributions of international joint venture (“IJV”) partners can be balanced or imbalanced, which affects each partners’ trust needs, with implications for future partner relationships.

Design/methodology/approach

Illustrative examples aid in explaining propositions associated with the knowledge/trust needs balance model. In addition, consideration is given to the trust-building complication of liability of foreignness and the implications balance or imbalance.

Findings

In total, 12 illustrative cases are evaluated to determine whether the knowledge contributions of the IJV partners are balanced. Knowledge intensity associated with the venture is assessed to determine the value of the foreign firm partner’s knowledge contribution. Cultural distance between the relevant countries provides a measure of the host country partner’s knowledge contribution. Balance is assessed after factoring in mitigating partner experience. The cases provide examples of four different balance/imbalance situations.

Practical implications

A critical aspect of a successful IJV is knowledge sharing and trust is required for the freest flow of information. It is important for firms entering into IJVs to more fully understand the relationship between the knowledge contributions of IJV partners and trust. When knowledge contributions are more evenly balanced, the relationship between the partners will be stronger.

Originality/value

The paper distinguishes between balance and stability/instability, expands the literature on knowledge intensity and contributes the new concept of trust needs. Balance at the start of an IJV has implications for the future relationship of the partners.

Details

The Multinational Business Review, vol. 23 no. 3
Type: Research Article
ISSN: 1525-383X

Keywords

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