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The literature on how emerging market multinational enterprises (EMNEs) overcome the liability of emergingness/origin has sidestepped a prerequisite for any efforts to overcome liability, namely, corporate compliance. The authors argue that EMNEs build corporate compliance capability as a knowledge-based firm-specific advantage (FSA) to adapt to institutional norms in advanced economies. In this study, the authors empirically examine the intricate relationships between corporate compliance capability and performance in the US subsidiaries of Chinese firms.

In this study, the authors use survey data to empirically examine the intricate relationships between corporate compliance capability and performance in the US subsidiaries of Chinese firms.

The findings reveal a positive relationship between corporate compliance capability and subsidiary performance, as mediated by local financing.

The study suggests that corporate compliance capability helps a subsidiary gain legitimacy, which leads to local resource acquisition and utilization. Corporate compliance capability thus serves as a source of a knowledge-based FSA for EMNEs in developed economies.

This study explores the role of procedural and distributive justice in influencing supervisory trust, job satisfaction, and organizational commitment. Past work in U.S. settings has shown the differential effects of procedural and distributive justice on job attitudes while other work supports the relationship between both procedural and distributive justice with trust. This study attempts to replicate the US findings and extend them to samples from India, Germany, and China (Hong Kong). A theoretical model was tested via structural equation analysis. Organizational justice was found to be an important predictor of trust in all the samples, indicating the importance of these concepts in organizational life in different cultures. The implications of these results for future research are discussed.

The purpose of this study is to investigate the relationship between the absorptive capacity (AC) of a firm and project success (PS), with particular attention to the mediating role of customer knowledge management capability (CKMC) and the moderating role of environmental complexity (EC). By using data collected from Turkish SMEs across different sectors, the study seeks to understand how AC impacts project success, how CKMC mediates this relationship, and how EC moderates the link between AC and CKMC. The research contributes to both theory and practice by providing insights into these relationships and suggesting future research directions.

This study focuses on Small and Medium-sized Enterprises (SMEs) in Turkey, specifically within the cities of Istanbul, Ankara, Izmir, and Konya. To gather data, the researchers utilized a non-probabilistic convenience sampling method and distributed self-administered surveys to a selected pool of 918 respondents including shift supervisors, project managers, and team members within these SMEs. The surveys were translated to Turkish to avoid language issues. Out of the surveys distributed, 401 valid responses were collected, resulting in a response rate of 43.68%.

The main findings of the study indicate that a firm’s absorptive capacity (AC) positively impacts project success and customer knowledge management capability (CKMC). Furthermore, CKMC plays a mediating role, positively influencing project success. Additionally, the study reveals the moderating effect of environmental complexity (EC) on the relationship between AC and CKMC, suggesting that as EC becomes more complex, it strengthens the link between AC and CKMC. Moreover, CKMC was found to mediate the moderating effect of EC on the relationship between AC and project success, emphasizing the significance of environmental complexity in this interaction.

This study’s limitations stem from its cross-sectional approach, which limits the ability to establish causal relationships between the constructs of absorptive capacity (AC), customer knowledge management capability (CKMC), and project success. It does not examine other potential mediators, such as customer relationship capability and innovation capability. Furthermore, the existing literature on this topic is scarce, suggesting a need for further research, particularly on constructs like team skills for managing CKMC. There is also an unexplored area around the effects of different forms of complexity, such as resource and technical complexity. Finally, further research is needed to understand how SMEs, which often face resource constraints, leverage AC in different functional domains for successful new product development.

The study’s findings have significant practical implications for SMEs, highlighting the importance of absorptive capacity (AC) and customer knowledge management capability (CKMC) in promoting project success, particularly under conditions of environmental complexity. As businesses navigate uncertain environments, external knowledge acquisition becomes crucial for improvement and innovation. Efficient transformation of this knowledge can enhance project success rates. Thus, firms should cultivate a proactive, innovative, and risk-taking climate. Also, firms should regularly assess their AC and CKMC in the face of shifting stakeholder expectations and market competition. The ability to detect, integrate, and apply external knowledge in product and service development can significantly enhance project success rates.

This study’s originality lies in its exploration of the complex interplay between a firm’s absorptive capacity (AC), customer knowledge management capability (CKMC), environmental complexity (EC), and project success (PS). By examining Turkish SMEs across various sectors, the study uncovers the mediating role of CKMC and the moderating role of EC in the relationship between AC and PS. Furthermore, it reveals how the effect of AC on PS through CKMC strengthens with increasing environmental complexity. These findings offer fresh insights into the complexity theory and the factors influencing project success, providing a unique perspective for both academics and practitioners, with practical implications for managing SMEs in complex environments.

This paper examined the relationships between national culture and strategic behavior in the banking industry in Jordan and U.S. The study first developed a strategic posture and secondly a cultural profile for the top management of the research domain. The strategic posture suggested the readiness for strategic response from managers. The degree of readiness was correlated with the constructed cultural profile of the managers and financial performance of the banks. The study found significant relationships between certain national cultural strategic characteristics, (risk propensity, time orientation, and openness to change, uncertainty avoidance and managerial perception of control over the environment) strategic behavior and financial performance.

China’s economy is transforming at a brisk pace. A partially dismantled command economy and introduction of competition have fueled consumer demand for a greater selection of innovative new products in the retail market. The challenge for retail buyers is to adjust their procurement processes to respond to consumer needs in an efficient and effective manner. This study examines factors influencing buyer‐supplier relationships in a transition economy. We present a model to explain the factors driving retail buyer dependence on suppliers. We find that retailer evaluation of supplier credibility mediates the relationship between retailer perceptions of a supplier ability to add value to its business and the ability to achieve its desired goals. In part, this is due to the supplier’s market orientation. Interestingly, guanxi ties have no impact on the retailer perceptions of the supplier credibility, but have a positive affect on retailer dependence on its supplier partners.

The purpose of this paper is to share a personal perspective on the 2011 Academy of Management meeting held in San Antonio, Texas. It explores the author's experience of the conference theme of “West meets East: Enlightening, Balancing and Transcending” as well as providing a doctoral student's overall reflections of a major conference.

The paper uses a constructivist perspective in order to reflect upon conference experiences. Observations and the gathering of conference materials helped inform the approach.

This paper argued that the Academy of Management Annual meeting is likely to have a lasting impact on the author. The author was inspired to continue to discover how to become an engaged scholar and practitioner, as well as broadening her understanding of East‐West management practices and cultures.

This paper has value as it presents a personal perspective of a first‐year doctoral student attending her first large, international conference.

The purpose of this paper is to examine how the magnitude of strategic change may be influenced by Chief executive officer (CEO) underpayment relative to comparison CEOs. Based on equity theory, the authors propose that compensation inequity motivates underpaid CEOs to restore equity, which can take the form of making a greater magnitude of strategic change. In addition, this study proposes three important moderators of the relationship between CEO underpayment and strategic change.

Results from a sample covered in the Standard & Poor’s (S&P) ExecuComp database for the years 1996-2014 provide support for these theoretical predictions.

CEO underpayment has a positive effect on the magnitude of strategic change. Top management team compensation gap and firm slack are proposed to weaken the impact of CEO underpayment on strategic change, while environmental complexity is predicted to strengthen the relationship between CEO underpayment and strategic change.

This study contributes to strategic change literature by linking research on CEO relative compensation to strategic change studies. This study contributes to equity theory and CEO relative compensation literature by extending its implications to firms’ decisions on strategic change. Moreover, it also contributes to equity theory by revealing the boundary conditions that mitigate or aggravate the impacts of CEO underpayment on firms’ strategic decisions.

Chinese and Indian car manufacturers are entering developed markets. The question arises how they will be perceived by consumers from those countries. Using the multi‐dimensional brand personality scale, this paper provides an explorative study of the country of origin effect on U.S. consumers’ brand perception of automobiles from China and India. Our multivariate analysis of variance shows differences in terms of brand excitement, brand competence, brand sophistication, and brand ruggedness. Our results indicate that the Chinese car is perceived to be more daring, up‐to‐date, and outdoorsy than the Indian and U.S. car; more intelligent, successful, and upper‐class than the Indian car; and more charming than the U.S. car. The U.S. car is perceived as more successful than the Indian car.