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1 – 10 of 127This paper aims to examine the secessionist orientation of Kurdistan Region’s paradiplomacy in the context of two main variables: the internal structural variables in Iraq after…
Abstract
Purpose
This paper aims to examine the secessionist orientation of Kurdistan Region’s paradiplomacy in the context of two main variables: the internal structural variables in Iraq after 2003 and the nationalism variable.
Design/methodology/approach
This study relies on the theory of neoliberalism to explain the transformation of Kurdistan’s paradiplomacy to protodiplomacy. It also relies on legal approach through using the Iraqi constitution and the draft constitution for the Kurdistan Region.
Findings
The internal structural variables are one of the main variables to motivate the region with advanced nationalism to pursue a protodiplomacy. Secession or forming an independent state of Kurds is a historic requirement supported by the advanced nationalism of Iraqi Kurds.
Practical implications
This study encourages focusing on the crucial role of the internal structural variables that drive the regions, especially with the advanced nationalism to pursue a protodiplomacy. Also, this study recommends giving more focus on the external variables and Kurdistan’s secession.
Originality/value
This paper reveals the reality of Kurdistan’s protodiplomacy.
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The existence of the regional Kuznets curve, i.e. an inverted U-shaped relationship between regional disparity and economic development is widely debated and discussed. The…
Abstract
Purpose
The existence of the regional Kuznets curve, i.e. an inverted U-shaped relationship between regional disparity and economic development is widely debated and discussed. The bell-shaped curve of the spatial growth process where during the initial phase inequality increases and then reduces is theoretically supported by Myrdal (1957), Hirschman (1958), and Williamson (1965). It becomes important to understand regional Kuznets curve globally. Understanding the relationship between regional disparity and economic development becomes essential for public policy for balanced regional growth.
Design/methodology/approach
Regional Kuznets Curve which is an inverted U-shaped relationship between regional disparity and economic development is not a new phenomenon. Theoretical framework by Myrdal (1957), Hirschman (1958), and Williamson (1965) support the an inverted U-shaped relationship. To understand the relationship between regional disparity and economic development, the authors investigate the regional Kuznets curve by using data for 184 countries and 1765 subnational regions. Using parametric, semi-parametric, and non-parametric, it is found that there exists an inverted U-shaped relationship between regional disparity and economic development. The presence of the regional Kuznets curve is observed. As the theoretical framework suggests, regional inequality increases with income initially and decreases after attaining a certain level of income. This study identifies two stages of divergence-convergence where in the first stage, divergence across regions in a country happens with increasing income and in the later stage, convergence across regions in a country occurs with increasing income.
Findings
Using the parametric approach (panel data analysis), semi-parametric and non-parametric approaches, it is found that there exists a regional Kuznets curve. It is found that there exists an inverted-U relationship between regional inequality and per capita GNI. This suggests that the divergence-convergence passes through two stages. In the first stage, divergence across regions in a country happens with increasing income while in the later stage convergence occurs.
Originality/value
This research work has done three important things which fill the research gap that exists in the literature: (1) constructing the Gini coefficient to measure the regional inequality for 184 countries using 1765 subnational regional data; (2) using a parametric approach (panel data analysis) to understand the regional Kuznets phenomenon and (3) using a semi-parametric approach and non-parametric approach to understand the regional Kuznets phenomenon.
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Vandana Goswami and Lalit Goswami
The purpose of this paper is to analyse the relationship between foreign direct investment (FDI) inflows and economic growth with a special focus on the institutional environment…
Abstract
Purpose
The purpose of this paper is to analyse the relationship between foreign direct investment (FDI) inflows and economic growth with a special focus on the institutional environment at the state level. FDI-led economic growth and economic growth-led FDI have two dominant theoretical foundations, but empirical research supports contradictory findings. These perspectives largely ignore the institutional environment, assuming institutions to be background information.
Design/methodology/approach
To examine the causal relationship between FDI, the Granger causality method has been used. The impact of FDI inflows and other institutional factors on economic growth has been examined using the panel data regression method. The principal component analysis (PCA) method has also been used to develop indexes for some variables.
Findings
Results indicate a two-way Granger causality between FDI inflows and economic growth at the state level. Infrastructures, education expenses, labour availability and gross fixed-capital formation (GFCF) are positive and significant determinants, whilst corruption and FDI inflows are leaving negative impact on state-wise economic growth.
Originality/value
This study contributes to the body of the literature in four different ways: first, it empirically examines the trends and patterns of subnational FDI inflow and economic growth disparity in India; second, it examines the causality between FDI and economic growth. Third, with the institution-based paradigm in international business, it investigates how institutional variables affect the expansion of the economy. Fourth, it extends prior research by examining the link at the state level using a large panel data set made up of 29 states and 7 union territories (UTs) over the years 2000–2019.
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Molly M. Melin and Alexandru V. Grigorescu
This paper aims to seek to and understand how civil conflict and international claims inform one another. Does the existence of ongoing civil and international conflicts affect…
Abstract
Purpose
This paper aims to seek to and understand how civil conflict and international claims inform one another. Does the existence of ongoing civil and international conflicts affect how a government addresses an international claim? The paper builds on existing literature that link international and domestic conflict. However, it suggests that the logic behind civil conflicts may be different from that for international ones as states decide how to deal with any one claim.
Design/methodology/approach
The paper posits that states faced with domestic conflicts and additional international claims are more likely to seek to resolve an international claim than those without similar conflicts. It develops a series of hypotheses about the likelihood of claim escalation and peaceful settlement attempts and proceed to test them quantitatively using the Issue Correlates of War data combined with the uppsala conflict data program/peace research institute oslo Armed Conflict Data.
Findings
On the one hand, the paper finds support for the argument regarding the difficulty states are faced with when seeking to resolve multiple international claims. On the other hand, it finds that the presence of civil conflicts incentivizes states to resolve international claims either by force or peacefully, suggesting internal violence can both lead to diversionary behavior and attempts at conflict resolution.
Research limitations/implications
The findings have important implications for work considering the complexity of domestic and international conflict linkages.
Originality/value
While many studies of claim militarization and peaceful attempts focus on dyadic and international characteristics, this paper creates a more nuanced understanding of the complexities of this foreign policy decision process.
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Cristian Camilo Fernández Lopera, José Manuel Mendes, Eduardo Jorge Barata and Miguel Angel Trejo-Rangel
At the global level, disaster risk finance (DRF) is playing an increasingly prominent role in the international agendas for climate change adaptation. However, before implementing…
Abstract
Purpose
At the global level, disaster risk finance (DRF) is playing an increasingly prominent role in the international agendas for climate change adaptation. However, before implementing such agendas, it is essential to understand the needs and limitations of DRF in the subnational context where they need to impact. This research aims to gain insights into the perspectives of community and governmental actors in Colombia regarding DRF. Its goal is to promote the specific design of collaborative educational and technical assistance processes that consider their interests in the subject and the cultural diversity of the territories.
Design/methodology/approach
To achieve this, semi-structured interviews were conducted, and the findings were organized to highlight key aspects that help to understand DRF perspectives in the Colombian context.
Findings
It was found that the most significant limitations of implementing DRF include a lack of knowledge on the topic, corruption that encourages a reactive approach and the absence of economic resources. Concerns have emerged regarding the possibility of climate risk insurance becoming a profit-driven enterprise and the potential development of dependency behaviors within community groups, leading to maladaptation and moral hazard. Similarly, the implementation of DRF through foreign funds has raised concerns about the loss of territorial sovereignty and autonomy.
Originality/value
This is one of the first studies that carry out this kind of research and contributes to the formulation of inclusive public policies for DRF in different contexts worldwide.
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Anuradha Saikia, Sharad Nath Bhattacharya and Rohit Dwivedi
This study reviews the literature on institutional theory in international business and examines the institutional factors behind the success or failure of multinational…
Abstract
Purpose
This study reviews the literature on institutional theory in international business and examines the institutional factors behind the success or failure of multinational corporations (MNCs) in emerging markets.
Design/methodology/approach
This systematic literature review analysed 116 peer-reviewed articles published in leading journals between 2005 and 2022. The R package Bibliometrix and VOSviewer visualization software were used for analysis. A hybrid methodology combining bibliometric and content analyses was utilized to obtain a descriptive evaluation of the publication impact along with a keyword co-occurrence map, context-specific institutional effects and subsidiary strategies.
Findings
The Journal of International Business Studies, along with influential authors such as Mike W. Peng, Klaus Meyer, and Mehmet Demirbag, have taken the lead in advancing institutional theories for MNC internationalization in emerging markets. The clusters from the co-word analysis revealed dominant MNC entry modes, institutional distances and MNC localization strategies. The content analysis highlights how the institutional environment is operationalized across the macro-, micro- and meso-institutional contexts and how the MNC subsidiary responds in emerging markets. Meso-level interactions emphasize the relational aspects of business strategies in emerging markets.
Practical implications
Contextualizing subsidiary strategies and institutional forms can help managers align their strategic responses to the dynamic relationship between subsidiaries and the institutional environment. The review findings will enable policymakers to simplify regulatory policies and encourage MNC subsidiary networks with local stakeholders in emerging markets.
Social implications
Legitimacy strategies such as corporate community involvement in emerging markets are crucial for enhancing societal support and removing stakeholders' scepticism for MNC business operations in emerging markets. Moral legitimacy should be implemented by managers, such as lending support to disaster management efforts and humanitarian crises, as they expand to new business environments of emerging markets.
Originality/value
This study is the first to explore institutional diversity and subsidiary strategic responses in a three-layered institutional context. The findings highlight the relevance of contextualizing institutional perspectives for international business scholars and practitioners as they help build context-specific theoretical frameworks and business strategies. Future research recommendations are suggested in the macro-, micro- and meso-institutional contexts.
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Martin Ramirez-Urquidy, Jose N. Martinez and Pedro Orraca
The research aims to applying Baumol’s framework to address some research gaps in the literature. This paper aims to analyze how institutional variations at the subnational level…
Abstract
Purpose
The research aims to applying Baumol’s framework to address some research gaps in the literature. This paper aims to analyze how institutional variations at the subnational level impact entrepreneurship decisions and the path toward productive or unproductive entrepreneurship in an institutionally underdeveloped country. The results offer potentially new theoretical insights and practical implications for developing or emergent countries.
Design/methodology/approach
The research applies Baumol’s framework to Mexico’s context. The research collects data compounded by individual- and state-level variables from diverse sources for the 32 Mexican states. The individual level and some controls were obtained from sources of regular frequency, but the institutional variables were derived from surveys of irregular frequency, nonsynchronic and mostly nonoverlapping, which required aligning and centered them around 2016 and 2019 to match with the individual variables. The authors apply multilevel nonlinear mixed-effects probit regression to test nine hypotheses regarding the impact of institutional variables on entrepreneurial decisions and the path toward productive or unproductive entrepreneurship.
Findings
Improved formal institutions across the Mexican states reduce the entrepreneurship probability, implying interactions with other variables and indirect effects; encourage the selection of productive entrepreneurship, e.g. formal ventures; and discourage self-employment. Consequently, those institutions do not encourage entrepreneurship selection as an occupation but entrepreneurial quality, i.e. the selection of productive-formal entrepreneurship and larger ventures. Deficient informal institutions increase the entrepreneurship and formal entrepreneurship probabilities, implying the interactions with other variables and indirect effects and supporting the corruption “greases the wheels” hypothesis, consequently encouraging productive ventures. New evidence of the positive relationship between criminality and entrepreneurship types in Mexico is reported.
Research limitations/implications
Our findings indicate important impacts of the individual-level variables on the entrepreneurship decisions and that most of those decisions are potentially necessity driven and a minority are driven by opportunity, given their relationship with the macroeconomic controls and the institutional variables. The authors report mixed results on the relationship between institutions and entrepreneurship partially consistent with the literature; some results contribute additional evidence on controversial hypotheses or imply the existence of indirect effects. Overall, the results suggest that institutions impact the individual decisions to venture and the type of venture consequently affecting the amount and quality of entrepreneurship across states.
Originality/value
The research addresses some of the literature gaps by providing empirical evidence on a middle-income country and how diverging regional institutional contexts, including formal and informal institutions, impact the individual’s entrepreneurship decisions within an institutionally underdeveloped country. The paper contributes new knowledge and insights into entrepreneurship in emerging or developing countries with implications for Baumol’s framework in this context and adds to the debated hypothesis on the relationship between some institutions, e.g. corruption and criminality and entrepreneurship.
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Social movements are made up of organized groups and individuals working together to accomplish shared objectives. Under what circumstances do active groups build and break their…
Abstract
Social movements are made up of organized groups and individuals working together to accomplish shared objectives. Under what circumstances do active groups build and break their coalitions? Five conditions have been identified in the literature as influencing coalition formation: common identity, resources, organizational structure, historical connection, and institutional setting. Whereas coalition dynamics within a movement wave are best understood in terms of institutional opportunities and threats, further research is needed to determine how and to what extent these contextual elements influence coalitions. This chapter examines how threats posed by indiscriminate and selective repression affect the shape and structure of interorganizational coalitions during the 2019 Anti-Extradition Law Amendment Bill (Anti-ELAB) protests in Hong Kong. The analysis relies on an original political event dataset and an organization-event network dataset. These datasets were produced utilizing syntactic event coding techniques based on Telegram posts, which Hong Kong protesters used to distribute information, plan future actions, and crowdsource news. Furthermore, Telegram provides detailed information about state activities, event-level coalitions, and violent groups, which is difficult to access from other sources. This study investigates the coalition networks across the movement's four stages, each of which was marked by a particular type and degree of repression. The findings indicate that indiscriminate and selective repression have varied effects on coalition networks. A wide coalition disintegrates as a result of indiscriminate repression. Selective repression, however, leads to the formation of coalitions around activist groups targeted by repression.
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Enas Moustafa Mohamed Abousafi, Mohamed Abouelhassan Ali and Jose Louis Iparraguirre
This chapter applies the five drivers of productivity framework to regional microdata for Egypt and extends it by introducing an index of industrial clusters as an explanatory…
Abstract
This chapter applies the five drivers of productivity framework to regional microdata for Egypt and extends it by introducing an index of industrial clusters as an explanatory factor of the productivity performance of local private sector firms. Applying structural equation models, the geographic concentration of sectoral economic activity is found to have a positive and statistically significant effect on labor productivity. The transmission mechanism is conjectured to be the positive spillovers that are created, which local firms can tap into. In contrast, a higher concentration of skilled workers in an industrial sector in a region is associated with lower levels of labor productivity – a finding that suggests there may be structural deficiencies in the allocation of skilled workers. Regional policy should focus on net investments in gross capital formation throughout the country, for which the national and regional governments should improve how public investments are managed and the institutional framework – including the rule of law, bureaucracy and red tape, conflict of interest, transparency, and governance – so that private investment (both local and foreign) may substantially increase.
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