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This chapter examines the ethics and business diplomacy of legal tax avoidance by multinational enterprises (MNEs).

The methodology assembles the relevant literature and examines alternative interpretations of corporate tax strategy. Key topics include business ethics and responsibility, business sustainability, economic patriotism and corporate inversions, tax havens, and possible solutions.

The debate concerns whether legal tax avoidance is unethical and/or poor business diplomacy. There are three possible strategies for MNEs. One strategy is intentional tax avoidance. Another strategy is business–government negotiation concerning tax liability. Another strategy is business diplomacy aimed at maximizing the social legitimacy of the firm across multiple national tax jurisdictions.

The chapter assesses four possible solutions for corporate tax avoidance. One solution is voluntary tax payments beyond legal obligations whether out of a sense of ethics or a strategy of business diplomacy. A second solution is international tax cooperation and tax harmonization in ways that minimize opportunities for tax avoidance. A third solution is increased stakeholder pressure emphasizing business diplomacy and tax cooperation and harmonization. The fourth solution is negotiated tax liabilities between each business and each jurisdiction.

The chapter provides an original systematic survey of the key aspects of corporate international tax avoidance in an approach in which business ethics and business diplomacy are better integrated. The value of the chapter is that it provides information and assembles relevant literature concerning corporate international tax avoidance, and addresses possible solutions for this problem.

The recent rise of economic nationalism intensifies consumers' patriotic attitudes toward goods or services and thus encourages enterprises to build patriotic brand images. Nevertheless, few studies have discussed how a patriotic brand image is developed. The purpose of this study aims to fill the gap by examining whether and how a positive corporate image helps a domestic brand establish a patriotic brand image and in turn enhances consumers' purchase intentions in relation to domestic brand products.

A research model identifying the antecedents of patriotic brand image (the components of corporate image) is proposed and empirically tested using structural equations with a questionnaire investigating Taiwanese college students' attitudes toward Taiwanese smartphone brands. Three competing models are also proposed and tested to confirm the appropriateness of the research model.

In addition to the widely recognized impact of perceived quality on purchase intentions, patriotic brand image is found to be effective in enhancing local consumers' intentions to purchase domestic brand products. To shape a patriotic brand image, perceived quality, perceived corporate ability and perceived corporate integrity are the direct approaches, while perceived corporate social responsibility works through perceived corporate integrity, and perceived employer brand enhances only perceived corporate social responsibility.

Potential sampling (college students) and subject (smartphones) biases may limit the generalizability of the presented findings

While patriotic appeals have long been used in marketing communication, they are also likely to precipitate negative brand associations (e.g. nationalism), offending consumers in other countries. By contrast, the development of a positive corporate image serves as an implicit and neutral approach to building a patriotic brand image and can help domestic brands attract local consumers with less harm to foreign markets.

This study is one of notably few studies discussing patriotic brand image and its impacts on purchase intentions. This study also identifies the antecedents of patriotic brand image and how each of them affects patriotic brand image. The findings can help guide domestic brands in building a patriotic brand image.

The purpose of this paper is to discuss how foreign firms can successfully use an innovative marketing communication strategy based on the notion of corporate patriotic appeal to better promote their activities within the countries they operate.

This article uses case study analysis and focus group discussions to link current business practices with stakeholder perceptions of corporate patriotism.

There is an emerging trend in corporate communication strategies where corporate patriotism is increasingly used as an effective marketing strategy by both domestic and foreign firms. It was also found that corporate patriotism is an important value across four stakeholder groups which include consumers, investors, employees and community members.

This article identifies a new marketing communication strategy that can be used by multinational enterprises to better promote their activities in the local community within which they operate and among key stakeholder groups. This is particularly important at a time when many multinational enterprises run different operations in multiple countries and, as a result, are often exposed to extensive negative publicity.

This paper discusses the idea of projecting corporate image in terms of culturally regulated codes of appeals by using, mainly, the examples of ad campaigns by some US business companies in the post‐9/11 environment. The image of patriotism those companies are aspiring to suggests corporate imagery can be a shared social phenomenon, i.e. collective ethos, thus raising questions about the traditional approach to corporate imagery, which is summarized as “self‐representation.” The way to build up collective ethos is through Burke’s “identification,” seen as both a strategy and goal of communication. The paper also provides an overview of rhetorical theory on using image as a presentation strategy to explore the reason why it has been treated in history as a way for self‐projection, or representation of a “corporate self.”

Attitudes of Australian and Greek‐Australian consumers towards hypothetical foreign‐owned and domestic‐owned supermarkets in Australia were studied. Although attitudes towards the domestic‐owned supermarket were found to be identical between the Australians and the Greek‐Australians, the latter were significantly more supportive of the foreign supermarket. Consumer ethnocentrism was found to be correlated with a negative attitude towards a foreign‐owned supermarket. Finally, the more the migrants identified with their cultural origin, the more support they showed towards the foreign supermarket. The findings of this paper provide an insight to the complex nature of the relationship between ethnic identity and consumer behaviour.

Although consumers’ tendency to support domestic companies by buying local products is growing, few studies discuss the corporate branding for domestic brands. This study aims to help domestic brands develop corporate branding strategies by examining the effects of corporate image of domestic brands on customers’ purchase intentions.

This study investigates various aspects of corporate image, including product quality, corporate ability, corporate social responsibility (CSR) and local-customer-first (a measure that is identified in this study). It conducts a survey (N = 283) and tests eight hypotheses with bivariate regression analyses with SPSS, Hayes’ PROCESS macro and structural equation modelling with AMOS to identify significant relationships.

The results show that all aspects of corporate image have significant positive effects on customers’ purchase intentions towards domestic brands. However, the effect of CSR image on purchase intention is fully mediated by the corporate ability and product quality images, whereas consumer ethnocentrism moderates the corporate ability and local-customer-first images.

This study contributes to the literature by examining the effect of corporate image on customers’ domestic brand purchase intentions in emerging economies when the product quality image in the country is low. This study also identifies a new factor, local-customer-first, and its positive effect on purchase intention. It is recommended that domestic brands strengthen their CSR, corporate ability and local-customer-first images to gain local customers’ support. Furthermore, it is found that corporate ability and local-customer-first are more highly valued by ethnocentric consumers. These findings can help domestic brands develop corporate branding strategies.