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Article
Publication date: 23 July 2024

Naihao Li, Zijie Li, Banruo Zhang and Yan Wang

Information transparency is an important factor in enhancing trust and promoting interfirm cooperation. By combining transaction cost theory and institutional theory, this study…

Abstract

Purpose

Information transparency is an important factor in enhancing trust and promoting interfirm cooperation. By combining transaction cost theory and institutional theory, this study aims to examines whether host-country firms’ information transparency prompt multinational enterprises’ (MNEs) to choose the joint venture entry mode for outward foreign direct investment (OFDI).

Design/methodology/approach

Using Heckman two-stage estimation method, this study examines Chinese listed manufacturing firms for the period 2014–2019.

Findings

The findings indicate that the higher the information transparency of host-country firms, the higher the possibility of MNEs choosing the joint venture entry mode for OFDI. This study further finds that the positive relationship between host country firms’ information transparency and the possibility of choosing the joint venture entry mode is enhanced by institutional distance, but weakened by MNEs’ host-country experience.

Originality/value

How to choose the appropriate entry mode of OFDI in the internationalization strategy is an important issue for MNEs to consider. As the postpandemic world is characterized by increased global risks, decoupling of economies, disruption of global value chains and the retreat of globalization (Contractor and Cantwell, 2022), how to further strengthen cooperation, reduce the cost and risk of MNEs and truly realize common construction and sharing is one of the hot issues in both practice and research.

Details

Chinese Management Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-614X

Keywords

Article
Publication date: 2 September 2024

Stephen Akunyumu, Frank D.K. Fugar and Emmanuel Adinyira

Equitable risk allocation is important for the effective management of inevitable risks in International Construction Joint Venture (ICJV) projects. Previous studies have…

Abstract

Purpose

Equitable risk allocation is important for the effective management of inevitable risks in International Construction Joint Venture (ICJV) projects. Previous studies have documented risks facing ICJV projects. However, there is a dearth of studies on the risk allocation preferences that take into consideration the opinions of both the local and foreign partners. This study aims to fill this gap by ascertaining the risk allocation preferences of the partners of ICJV projects for effective risk management.

Design/methodology/approach

Through a survey, data on risk allocation preferences were collected from both local and foreign partners of ICJV projects using a comprehensive register of 74 risks.

Findings

Following analysis, six risks were allocated to the local partner, 11 were allocated to the foreign partner, 51 risks were shared, four were allocated to a third party and two were to be negotiated based on the specific circumstances of the project. Practically, the study’s findings will help ICJV partners in drafting their ICJV contracts to adequately allocate risks and reduce contract negotiation time considerably.

Practical implications

The findings from this study will help partners in drafting their joint venture contract agreement and also reduce the period for contract negotiation. Knowledge of the preferred risk allocation is important in allocating risks in the contract agreement to the relevant partner for effective management.

Originality/value

This study, to the best knowledge of the authors, is one of the early studies to ascertain the risk allocation preferences of ICJV project partners in the Ghanaian construction industry – a departure from previous studies which focused on the identification and evaluation of risks. This study is also different from previous studies by considering the allocation preferences of both partners of the ICJV. The collection of data from both partners of the ICJV helped to consider their perceptions on risk allocation and evaluation, essentially leading to cross-cultural and optimal risk allocation preferences.

Details

Journal of Financial Management of Property and Construction , vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1366-4387

Keywords

Article
Publication date: 13 September 2024

Qiuhao Xie, Shuibo Zhang, Ying Gao, Jingyan Qi and Zhuo Feng

Although the literature recognizes that coopetition plays a significant role in the success of international construction joint ventures (ICJVs), the impacts of coopetition on the…

Abstract

Purpose

Although the literature recognizes that coopetition plays a significant role in the success of international construction joint ventures (ICJVs), the impacts of coopetition on the performance outcomes of ICJVs remain largely unknown. This study extends this line of research by theorizing coopetition from three dimensions, i.e. coopetition intensity, coopetition balance and coopetition structure, and examining the relationships between coopetition and ICJV performance outcomes from both the contingency and configuration perspectives.

Design/methodology/approach

The hypotheses were tested using survey data from a sample of 188 ICJVs. Structural equation modelling was employed for the contingency approach to estimate the relationships between the three dimensions of coopetition and performance. For the configuration approach, cluster analysis was utilized to identify coopetition patterns. Subsequently, an analysis of variance was employed to analyse the relationships between these coopetition patterns and performance.

Findings

The contingency results indicate that while coopetition intensity is positively related to all types of performance, coopetition balance is only positively related to project performance and partner performance. Moreover, coopetition structure is only related to partner performance and socioenvironmental performance. The configuration approach identifies six patterns of coopetition, manifesting different levels of project, partner and socioenvironmental performance.

Originality/value

These findings, therefore, contribute to the ICJV literature by extending the understanding of how coopetition dimensions individually and jointly influence ICJV performance.

Details

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

Keywords

Article
Publication date: 10 November 2023

N.S.B Akhil, Vimal Kumar, Rohit Raj, Tanmoy De and Phanitha Kalyani Gangaraju

Even the greatest developed countries have capitulated to the destructions imposed on the global supply systems, as the COVID-19 pandemic has revealed. The purpose of this study…

Abstract

Purpose

Even the greatest developed countries have capitulated to the destructions imposed on the global supply systems, as the COVID-19 pandemic has revealed. The purpose of this study is to explore human resource sourcing strategies for managing supply chain performance during the COVID-19 outbreak. There are six human resource sourcing strategies such as outsourcing, near sourcing, integration, the requirement of suppliers, joint ventures and virtual enterprise that are considered to measure supply chain performance.

Design/methodology/approach

Based on collecting data from the potential respondents of Indian manufacturing companies, the elevation of human resource sourcing strategies to supply chain performance is measured considering the multiple regression analysis techniques.

Findings

The results of the study revealed that four of the six hypotheses have a significant and positive relationship with supply chain performance during the COVID-19 outbreak while two hypotheses are partially supported that lent good support to this study.

Research limitations/implications

In this critical situation, this study will enable managers and practitioners to support the business in giving customers the best services on time.

Originality/value

The novelty of this study is to identify the key human resource sourcing strategies by using multiple regression analysis methods, considering the case of Indian manufacturing companies to measure their supply chain performance during the COVID-19 outbreak era.

Details

International Journal of Productivity and Performance Management, vol. 73 no. 7
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 16 February 2023

Yanliang Niu, Huimin Li, Xiaowei Luo and Xiaopeng Deng

Members in the international joint ventures (IJVs) for high-speed rail (HSR) projects usually engage in coopetition interactions to create common benefits (CB) and simultaneously…

Abstract

Purpose

Members in the international joint ventures (IJVs) for high-speed rail (HSR) projects usually engage in coopetition interactions to create common benefits (CB) and simultaneously safeguard private benefits (PB). Previous studies of coopetition and performance using variance-based methods usually ignore the combinational influence of diverse coopetition constructs on performance, which can be effectively compensated by adopting a configuration perspective. Therefore, this research aims to ascertain various combinations of three coopetition constructs (coopetition relationship, coopetition capability and coopetition strategy) that lead to high IJVs’ performance through a configuration approach.

Design/methodology/approach

First, the research framework of coopetition configuration was established, and the key constructs were operationalized, which were validated by expert interviews. Then the information on 12 HSR IJVs was collected and quantified through nine rounds of interviews and a questionnaire survey. Later, the fuzzy-set qualitative comparative analysis (fsQCA) was applied to explore what coopetition configurations benefit the CB or PB achievement.

Findings

Configuration results indicate that six coopetition configurations lead to CB outcome and seven configurations lead to PB outcome. Based on the results, coopetition contexts are divided into four categories: firm-based coopetition, project-based coopetition, firm-project-based coopetition and none-based coopetition. Then, a selection scheme for coopetition strategies in various contexts has been developed. The results also show that the core conditions mostly appear in the coopetition relationships and coopetition strategies dimensions, and the optimal coopetition strategies vary in different contexts.

Originality/value

This study enhances the theoretical understanding of coopetition in HSR IJVs and assists relative HSR industrialists, as well as the mega infrastructure project managers, in IJVs’ implementation. The configuration perspective of this paper also contributes to a systemic and holistic view of coopetition in HSR IJVs.

Details

Engineering, Construction and Architectural Management, vol. 31 no. 9
Type: Research Article
ISSN: 0969-9988

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. 31 no. 7
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 10 September 2024

Quyen Nguyen

Foreign subsidiaries of multinational enterprises (MNEs) operate in complex and competitive international environments, implement market and non-market strategies, manage…

Abstract

Purpose

Foreign subsidiaries of multinational enterprises (MNEs) operate in complex and competitive international environments, implement market and non-market strategies, manage resources and value-added activities and contribute to the overall performance of their parent firms. Thus, the research question on the determinants of MNE foreign subsidiaries’ performance is of interest to managers and academic researchers. The empirical literature has flourished over the recent decades; however, the domains are fragmented, and the findings are inclusive. The purpose of this study is to systematically review, analyse and synthesize the empirical articles in this area, identify research gaps and suggest a future research agenda.

Design/methodology/approach

This study uses the qualitative content analysis method in reviewing and analysing 150 articles published in 24 scholarly journals during the period 2000–2023.

Findings

The literature uses a variety of theoretical perspectives to examine the key determinants of subsidiary performance which can be grouped into six major domains, namely, home- and host country-level factors; distance between home and host countries; the characteristics of parent firms and of subsidiaries; and governance mechanisms (the establishment modes and ownership strategy, subsidiary autonomy and the use of home country expatriates for transferring knowledge from the headquarters and controlling foreign subsidiaries). A range of objective and subjective indicators are used to measure subsidiary performance. Yet, the research shows a lack of broader integration of theories and presents inconsistent theoretical predictions, inconclusive empirical findings and estimation bias, which hinder our understanding of how the determinants independently and jointly shape the performance of foreign subsidiaries.

Originality/value

This study provides a comprehensive, nuanced and systematic review that synthesizes and clarifies the determinants of subsidiary performance, offers deeper insights from both theoretical, methodological and empirical aspects and proposes some promising avenues for future research directions.

Details

International Marketing Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0265-1335

Keywords

Book part
Publication date: 8 July 2024

Manish K. Srivastava

This extensive literature review critically examines the theoretical underpinnings of governance mode choices between strategic alliances and mergers and acquisitions (M&As). By…

Abstract

This extensive literature review critically examines the theoretical underpinnings of governance mode choices between strategic alliances and mergers and acquisitions (M&As). By synthesizing insights from transaction cost economics (TCE), resource-based view (RBV), social network theories, institutional theory, and real options theory, the author provides a holistic framework to guide decision-makers navigating the complex landscape of strategic decision-making. By meticulously exploring each theory and in-depth analysis of empirical findings, the author uncovers the consistency and inconsistency in the literature, shedding light on the multifaceted considerations that shape governance mode decisions and offer future research opportunities.

Details

Advances in Mergers and Acquisitions
Type: Book
ISBN: 978-1-83608-072-5

Keywords

Article
Publication date: 25 December 2023

Herbert Sima, Henry F.L. Chung and Yulong Liu

Drawing on the organizational learning and relational governance literature, this study aims to advance a theoretical model to explain the export performance of emerging market…

Abstract

Purpose

Drawing on the organizational learning and relational governance literature, this study aims to advance a theoretical model to explain the export performance of emerging market export ventures.

Design/methodology/approach

This study selects quantitative methodology because the main objective of this study is to explore the role of export ventures’ performance (past) on guanxi networking, co-creation marketing strategies and present performance.

Findings

The empirical evidence suggests that guanxi networking and co-creation strategy can mediate the relationship between export venture performance in the preceding year and export venture performance in the following year. In addition, this study also provides some guidance for emerging market export ventures on how to build a strong guanxi networking and create opportunities for collaboration when the effect of export performance in the preceding year on current performance is absent.

Originality/value

The authors propose the inclusion of strategic guanxi networking-related factors (e.g. top executives’ ties with business-to-business customers, such as distributors in the host market) in the prior performance-current performance paradigm. The outcomes of this study also contribute to extant organizational learning theory research by integrating preceding performance research with the co-creation theory. The study offers new insights into organizational learning and relational governance from the emerging market perspective.

Details

Journal of Business & Industrial Marketing, vol. 39 no. 7
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 19 July 2024

Melanie Luise Krenn, Guido Bortoluzzi and Dietmar Sternad

Building on recent developments in the Uppsala model, we first examine the role of business model innovation (BMI) in the internationalization process of firms and then determine…

Abstract

Purpose

Building on recent developments in the Uppsala model, we first examine the role of business model innovation (BMI) in the internationalization process of firms and then determine to what extent international experience and psychic distance have a moderating effect between BMI and the success of a firm’s international initiatives.

Design/methodology/approach

We apply a multiple hierarchical regression model to a sample of 168 firms of two border regions in Italy (Friuli Venezia Giulia) and Austria (Carinthia).

Findings

We find empirical support for the moderating role of both psychic distance and international experience in the relationship between business model innovation and the success of internationalization initiatives.

Originality/value

The paper contributes to the evolutionary perspective of the internationalization process of firms by adding new aspects related to the role of business model innovation to the most re-cent developments of the Uppsala model. From an empirical point of view, the paper contributes to the literature by identifying and testing two boundary conditions that shape the relationship between BMI and international success.

Details

Journal of Small Business and Enterprise Development, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1462-6004

Keywords

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