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Article
Publication date: 27 April 2023

Martin A. Goetz and Dirk Morschett

This study combines institutional and organizational learning perspectives to investigate the impact of institutional distance and institution-specific cross-border acquisition…

Abstract

Purpose

This study combines institutional and organizational learning perspectives to investigate the impact of institutional distance and institution-specific cross-border acquisition experience in emerging markets on cross-border acquisition performance.

Design/methodology/approach

The sample consists of 874 transactions involving targets across 37 emerging markets by 484 different acquirers from 45 developed and emerging markets. The authors decompose institutional distance and acquisition experience along their cultural, administrative, geographic and economic dimensions.

Findings

The authors find that cultural, administrative and geographic distance have a negative impact on acquisition performance. In contrast, economic distance does not appear detrimental to acquisition performance across markets. The study provides evidence that a company may apply learnings from previous transactions in similar cultural and economic emerging market environments to elevate the likelihood of a successful acquisition.

Originality/value

This study offers a more fine-grained perspective of the distance concept by decomposing the concepts of institutional distance and acquisition experience along different institutional dimensions. The research across 37 emerging markets sheds light on which of the similarities and differences between these markets are relevant concerning acquisition experience and performance.

Details

International Journal of Emerging Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-8809

Keywords

Open Access
Article
Publication date: 4 October 2022

Donatella Depperu, Ilaria Galavotti and Federico Baraldi

This study aims to examine the multidimensional nature of institutional distance as a driver of acquisition decisions in emerging markets. Then, this study aims to offer a nuanced…

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Abstract

Purpose

This study aims to examine the multidimensional nature of institutional distance as a driver of acquisition decisions in emerging markets. Then, this study aims to offer a nuanced perspective on the role of its various formal and informal dimensions by taking into account the potential contingency role played by a firm’s context experience.

Design/methodology/approach

Building on institutional economics and organizational institutionalism, this study explores the heterogeneity of institutional distance and its effects on the decision to enter emerging versus advanced markets through cross-border acquisitions. Thus, institutional distance is disentangled into its formal and informal dimensions, the former being captured by regulatory efficiency, country governance and financial development. Furthermore, our framework examines the moderating effect of an acquiring firm’s experience in institutionally similar environments, defined as context experience. The hypotheses are analyzed on a sample of 496 cross-border acquisitions by Italian companies in 41 countries from 2008 to 2018.

Findings

Findings indicate that at an increasing distance in terms of regulatory efficiency and financial development, acquiring firms are less likely to enter emerging markets, while informal institutional distance is positively associated with such acquisitions. Context experience mitigates the negative effect of formal distance and enhances the positive effect of informal distance.

Originality/value

This study contributes to institutional distance literature in multiple ways. First, by bridging institutional economics and organizational institutionalism and second, by examining the heterogeneity of formal and informal dimensions of distance, this study offers a finer-grained perspective on how institutional distance affects acquisition decisions. Finally, it offers a contingency perspective on the role of context experience.

Details

International Journal of Emerging Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-8809

Keywords

Book part
Publication date: 17 November 2017

Naomi Nichols, Alison Griffith and Mitchell McLarnon

In this chapter, we explore the use of participatory and community-based research (CBR) strategies within institutional ethnography. Reflecting on our current, past, and future…

Abstract

In this chapter, we explore the use of participatory and community-based research (CBR) strategies within institutional ethnography. Reflecting on our current, past, and future projects, we discuss the utility of community-based and participatory methods for grounding one’s research in the actualities of participants’ lives. At the same time, we note ontological and practical differences between most community-based participatory action research (PAR) methodologies and institutional ethnography. While participants’ lives and experiences ground both approaches, people’s perspectives are not considered as research findings for institutional ethnographers. In an institutional ethnography, the objects of analysis are the institutional relations, which background and give shape to people’s actualities. The idea is to discover something through the research process that is useful to participants. As such, the use of community-based and participatory methods during analysis suggests the greatest utility of this sociological approach for people.

Details

Perspectives on and from Institutional Ethnography
Type: Book
ISBN: 978-1-78714-653-2

Keywords

Article
Publication date: 12 October 2022

Yu Jia, Yongqing Ye, Zhuang Ma and Tao Wang

This study aims to verify the respective and interactive effects of subnational formal and informal institutions (i.e. legal effectiveness and social trust) on foreign firm…

Abstract

Purpose

This study aims to verify the respective and interactive effects of subnational formal and informal institutions (i.e. legal effectiveness and social trust) on foreign firm performance, and further identify the contingent factor (i.e. institutional experience) that moderates these relationships.

Design/methodology/approach

Drawing on the institutional-based view, this study develops several hypotheses that are tested using a comprehensive dataset from four main data sources. The authors’ unit of analysis is foreign firms operating in China. The authors ran ordinary least squares (OLS) regression model to investigate the effects. A series of robustness tests and endogeneity tests were performed.

Findings

The results show that both legal effectiveness and social trust at subnational level positively affect foreign firm performance respectively. Legal effectiveness and social trust at subnational level have complementary effect in promoting the performance of foreign firms. Foreign firm's institutional experience in target region of emerging economies host country strengthens the positive impact of subnational legal effectiveness on performance, but weakens the positive impact of subnational social trust on performance.

Practical implications

It is important to fully understand the impact of heterogeneous institutional environments of subnational regions in emerging economies on foreign firm performance, which would help foreign firm make a more suitable secondary choice decision of investment destinations at the subnational regional level.

Originality/value

First, drawing on institutional-based view, the authors incorporate the subnational formal and informal institutional factors to investigate their impacts on foreign firm performance by switching the attention from national level to subnational level in emerging economy host countries. Second, this research furthers existing studies by bridging a missing link between both subnational formal and informal institutional environments and foreign firms' outcomes. Third, the authors prove that the model of subnational formal and informal institutions in influencing foreign firms' performance is contingent on their institutional experience in target subnational region of emerging economy host country.

Details

International Journal of Emerging Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-8809

Keywords

Article
Publication date: 18 June 2019

Rifat Kamasak, Mustafa Ozbilgin, Sibel Baykut and Meltem Yavuz

Treatment of intersectionality in empirical studies has predominantly engaged with individual categories of difference. The purpose of this paper is to demonstrate that there is…

Abstract

Purpose

Treatment of intersectionality in empirical studies has predominantly engaged with individual categories of difference. The purpose of this paper is to demonstrate that there is utility in exploring intersectionality at the intersection of individual and institutional levels. As such the authors move beyond the polarised take on intersections as either individual or institutional phenomenon and tackle intersectionality as a relational phenomenon that gains meaning at the encounter of individuals and institutions in context. Therefore, the authors explicate how intersectionality features as forms of solidarity and hostility in work environments. As such the authors posit that not only individuals but also the institutions should change if inclusion is aimed at societal and organisational levels.

Design/methodology/approach

A thematic analysis on qualitative interview data of a purposive- and snowball-selected sample of 11 lesbian, gay, bisexual, transgender and queer working adults in Turkey was used.

Findings

This paper finds evidence to support the existence of a multidimensional model of intersectionality, where conflicting and complementary individual and institutional intersections create four intersectional typologies in the form of intersectional hostility, intersectional struggle, intersectional adjustment and intersectional solidarity.

Originality/value

The extant literature offers rich insights into individual intersectionality but sheds very little light on institutional intersectionality and its interaction with individual intersectionality. This paper attempts to fill in this gap by investigating intersectional encounters as interactions between the individual and institutional intersections.

Details

Journal of Organizational Change Management, vol. 33 no. 3
Type: Research Article
ISSN: 0953-4814

Keywords

Article
Publication date: 4 March 2019

Diego Quer, Laura Rienda, Rosario Andreu and Si Miao

The conventional wisdom suggests that the lack of prior host country-specific experience and a higher institutional distance deter multinational enterprises (MNEs) from entering a…

Abstract

Purpose

The conventional wisdom suggests that the lack of prior host country-specific experience and a higher institutional distance deter multinational enterprises (MNEs) from entering a foreign country. However, past studies report that Chinese MNEs show an unconventional risk-taking behavior choosing foreign locations, where they have no prior experience or there is an increased institutional distance. Drawing on the institutional theory, the purpose of this paper is to argue that Chinese Government official visits to the host country may act as a risk-reduction device, thus providing an explanation for such an unconventional behavior.

Design/methodology/approach

The authors develop two hypotheses regarding how Chinese Government official visits moderate the impact of host country-specific experience and institutional distance on the location choice of Chinese MNEs. The authors test the hypotheses using a sample of investment location decisions by Chinese MNEs in Latin America.

Findings

The authors find that government official visits mitigate the lack of firm’s prior host country experience. However, only high-level government visits reduce institutional distance.

Originality/value

The authors contribute to the international business literature by analyzing how home country government diplomatic activities may pave the way of host country institutional environment for foreign MNEs from that home country. In addition, the authors provide an additional explanation for the unconventional risk-taking behavior of Chinese MNEs. Finally, the authors also contribute to a better understanding of the decision-making process of emerging-market MNEs entering other emerging economies.

Details

Cross Cultural & Strategic Management, vol. 26 no. 1
Type: Research Article
ISSN: 2059-5794

Keywords

Article
Publication date: 14 February 2023

Zhixiu Wang, Lifeng Shi and Haiqian Cui

The operation mode of enterprises will affect its resource commitment in the host country, involving different costs and time, as well as risks. Yet, the current state of…

Abstract

Purpose

The operation mode of enterprises will affect its resource commitment in the host country, involving different costs and time, as well as risks. Yet, the current state of knowledge about how the institutional environment affects the operation mode change of international construction enterprises is equivocal. This study aims to explore the impact of a host country's institutional environment on the operation mode change of international construction enterprises.

Design/methodology/approach

First, this study proposes a model on the impact of the institutional environment on the operation mode change of international construction enterprises. Second, this study used the Worldwide Governance Indicators (WGI) published by the World Bank and a questionnaire survey to collect data. Finally, the study employs a multiple regression methodology to test the hypothesis and discusses the results.

Findings

Results highlight that the important impact of the institutional environment on the operation mode change of international construction enterprises. The results showed that enterprises are more willing to increase resource commitments under the condition of stable institutional environment. In addition, enterprises' market-specific experience and general international experience, as moderating variables, weaken the impact of the institutional environment on the operation mode change. However, general international experience has no significant moderating effect.

Practical implications

The findings of this study provide practical implications for the investment risk assessment of international construction enterprises. Enterprises need to consider the change in institutional quality and institutional instability of the host country, as well as their own international experience when changing operation mode.

Originality/value

This study extends internationalization theory to the international construction field and provided theoretical guidance for the mechanism of operation mode change of international construction enterprises.

Details

Engineering, Construction and Architectural Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 28 March 2023

Jason Lortie, Kevin C. Cox, Philip T. Roundy and Lee Jarvis

Despite intense scholarly interest in social entrepreneurship, opportunity recognition remains a poorly understood facet of the phenomenon. Linkages between the micro- and…

Abstract

Purpose

Despite intense scholarly interest in social entrepreneurship, opportunity recognition remains a poorly understood facet of the phenomenon. Linkages between the micro- and macro-level forces shaping social entrepreneurship are particularly unclear. The purpose of this paper is to introduce the concept of institutional channeling, the process by which institutions socialize and direct individuals into specific knowledge corridors, as a key mechanism influencing the ability of entrepreneurs to identify and create different types of opportunities.

Design/methodology/approach

Through a synthesis of institutional theory and the knowledge corridor thesis, this research offers a theory explaining why some individuals are able to recognize opportunities for social entrepreneurship.

Findings

The authors develop a conceptual model that explains how non-contested institutions channel entrepreneurs into homogeneous knowledge corridors, which support the creation of purely for-profit and non-profit organizations. By contrast, experiences involving institutional plurality activate and enable heterogeneous knowledge corridors, which are associated with the ability to recognize opportunities, like social entrepreneurship, that blend institutions.

Originality/value

The central contribution of this paper is an explanation of why certain individuals, because of their institutional experiences, are more likely than others to recognize for-profit, non-profit and social opportunities. This article highlights that previous efforts at addressing this issue were predominantly centered at the micro level of analysis and focus on individual entrepreneurs and their identities, personality traits and social networks. Although these studies have shed light on important facets of opportunity recognition, they do not sufficiently explain the influence that institutions can have on the micro processes involved in social entrepreneurship opportunity recognition.

Details

Social Enterprise Journal, vol. 19 no. 2
Type: Research Article
ISSN: 1750-8614

Keywords

Article
Publication date: 17 December 2021

Florence Lui and Deidre M. Anglin

Ethnoracial minorities report a variety of discriminatory experiences due to systemic racism. Yet, few studies have examined whether gender and race/ethnicity interact to predict…

Abstract

Purpose

Ethnoracial minorities report a variety of discriminatory experiences due to systemic racism. Yet, few studies have examined whether gender and race/ethnicity interact to predict institutional discrimination and racial microaggressions through an intersectional approach.

Design/methodology/approach

A predominantly female (60%), ethnoracial minority (20.8% Black, 31.6% Asian, 30.8% Latina/o, 8.2% White, 6.6% Middle Eastern) sample of 895 undergraduates attending a minority-serving public university in an urban setting completed self-report measures of sociodemographic characteristics, experiences of racial microaggressions and institutional discrimination.

Findings

Significant (p < 0.05) gender × race/ethnicity interaction effects were found in several institutional discrimination domains: Males reported more police/court discrimination overall, but gender differences in police/court discrimination were less pronounced for non-Black vs Black students. While males tended to report more institutional discrimination than females, the reverse was true for the Middle Eastern group: Middle Eastern females reported institutional discrimination in more domains and more discrimination getting hired than their male counterparts. There was a significant race/ethnicity × gender interaction effect for environmental microaggressions: White males reported more environmental microaggressions than White females, but gender differences were not found in the overall sample.

Originality/value

This study is the first to the authors’ knowledge to assess the interactive effects of gender and ethnicity on the type of microaggressions experienced in a diverse sample that includes individuals of Middle Eastern descent. The authors highlight the range of discriminatory events that ethnoracially minoritized undergraduates experience, even at a minority-serving institution.

Details

Equality, Diversity and Inclusion: An International Journal, vol. 41 no. 4
Type: Research Article
ISSN: 2040-7149

Keywords

Article
Publication date: 14 February 2020

Ingo Husmann, Michael Kleinaltenkamp and Stuart Hanmer-Lloyd

Multi-supplier project networks represent a large part of the business-to-business (B2B) sector as the scope of many projects requires that different providers participate in…

Abstract

Purpose

Multi-supplier project networks represent a large part of the business-to-business (B2B) sector as the scope of many projects requires that different providers participate in their development and delivery. This raises the question of how the integration of the resources of the various partners can be shaped successfully. Specifically, the different organizational identities provide institutional frames of reference to the resource-integrating firms. As the organizational identities are typically not harmonious with each other, at least partial misalignments of the institutional setting that shapes the resource integration processes may emerge. The purpose of this paper is to empirically investigate the impact of various organizational identities on the course and outcome of resource integration in project networks.

Design/methodology/approach

The paper makes use of interpretive phenomenology in conjunction with a qualitative case study approach to access the lived experience of actors of different professional service firms having experienced changes in resource integration in a B2B project network.

Findings

A conceptualization of organizational identity as an institutional context for resource integration is developed and empirically investigated. The findings show a strong impact on the firms’ organizational identities and the actors’ resource integration experience and evaluation. Moreover, the findings provide evidence that, if unmanaged, at least partial misalignment of the institutional arrangements of multi-organizational B2B project network represents a normal and also a stable condition.

Originality/value

As a first conceptualization and empirical analysis of the interplay between organizational identity and resource integration, this paper advances the current understanding of the institutional context for resource integration. It argues for the wider relevance of organizational identity constructs and paves the way for future development.

Details

Journal of Business & Industrial Marketing, vol. 35 no. 10
Type: Research Article
ISSN: 0885-8624

Keywords

1 – 10 of over 91000