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This study aims at providing exploratory insights into the initiative and capabilities of Chinese SMEs to develop and utilize diverse networks to support internationalization. Such network development and utilization efforts are fundamental to the analysis and explanation of Chinese firms’ internationalization patterns and outcomes. Extending from the existing network studies in the Chinese context that generally put emphasis on strong‐tie and ethnic‐oriented networks, this paper investigates and explains explicitly the use and effects of both strong‐ and weak‐tie networks in the international development of Chinese SMEs. Indepth case studies on four rapidly internationalized Chinese SMEs are conducted. The case findings demonstrate that weak‐tie networks are essential to the firms’ business development in foreign markets; and were proactively developed and utilized in the course of the firms’ development. The cases also provide alternative perspectives to the beliefs and values underpinning strong‐tie networks presumed in existing literature. The findings draw attention to the changing business values and approaches of the Chinese firms aiming at developing internationally. Managerial implications concerning the significant influence of effective networking on internationalization are pinpointed.

This chapter complements the one that appeared as “History of the AIB Fellows: 1975–2008” in Volume 14 of this series (International Business Scholarship: AIB Fellows on the First 50 Years and Beyond, Jean J. Boddewyn, Editor). It traces what happened under the deanship of Alan Rugman (2011–2014) who took many initiatives reported here while his death in July 2014 generated trenchant, funny, and loving comments from more than half of the AIB Fellows. The lives and contributions of many other major international business scholars who passed away from 2008 to 2014 are also evoked here: Endel Kolde, Lee Nehrt, Howard Perlmutter, Stefan Robock, John Ryans, Vern Terpstra, and Daniel Van Den Bulcke.

In the aftermath of the global economic crisis, the pursuit of new perspectives and different growth models is imperative. One of the most significant trends of our time is the rise of Asia in the world economy. After centuries of Western economic dominance, China, India, and the rest of the East, alongside emerging economies more broadly, are beginning to challenge the West for positions of global industry leadership and underlying managerial philosophies and perspectives. In this paper, I review some key philosophical insights from Asia that have underpinned the success of many Asian businesses for generations, hoping that it will encourage more efforts – conceptually, theoretically, and empirically – leading the discourse on fresh new perspectives on business in emerging economies in general, and on Asian management in particular.

Contrasting local adaptation, which focusses on foreign multinationals learning about and adapting to local (host country) culture and environment, reverse adaptation refers to the case where an MNE’s local employees learn, assimilate and modify their personal behavior (e.g. values, norms) and professional competence (e.g. standards, goals, language, knowledge, capabilities) in order to fit the MNE’s global mindset and global competence set so that they can be internationally reassigned. The purpose of this paper is to take the first step toward addressing this nascent phenomenon and practice.

This study uses combined inductive and ethnographic methods to explore the importance, process and practice of reverse innovation. This study defines reverse adaptation, illustrates the major driving forces underlying reverse adaptation, and suggests how MNEs should prepare for it. As reverse adaptation is a promising area for research, this paper also proposes a research agenda for international management scholars.

MNEs need to act at both local and global levels in a way that recognizes the interdependence between the two. Too often global companies have approached their local talent needs in an uncoordinated and unproductive way. Reverse adaptation view suggests that MNEs can create a competitive advantage by taking a global approach to talent. Cultivating and transforming local talent to become global talent necessitates endeavor from a wide range of corporate, subsidiary and individual levels, in cultural, professional, structural, informational and organizational aspects.

Reverse adaptation is a promising area of research because it provides the opportunity to enrich mainstream theories and literatures in a number of areas. This nascent phenomenon has not yet been studied, and this paper represents the first effort to do so. From both academic and practice viewpoints, reverse adaptation has a significant impact on global talent management, knowledge flow across borders, capability catchup and global integration design. Today’s glocalized business world, with heightened integration of world economy, creates an expectation for the continuing growth of reverse adaptation.

This article is a commentary on The “Global Implications of the Indigenous Epistemological System from the East: How to Apply Yin-Yang Balancing to Paradox Management” (Li, 2016), which is a timely and important piece. Li (2016) offers epistemological insights into what Yin-Yang is, why Yin-Yang can serve as a guiding frame of thinking, and how to apply this frame of thinking to paradoxical issues to organizations that compete in a complex cross cultural world. Western management philosophies and perspectives have dominated the mainstream theories in organization and management around the world over the past five decades, paying very limited attention and appreciation to Eastern philosophies that exist already for over 2500 years (e.g., 551–479 BC’s Confucianism). In this commentary, we added more explanations, suggesting that given intensified complex and competing needs to fulfil for today’s businesses, the indigenous Eastern epistemological wisdom of Yin-Yang balancing is an important guide to understand paradoxes and tensions. Yin-Yang balancing provides a holistic comprehension concerning our complex reality. It treats two opposite elements of any paradox as partial trade-off as well as partial synergy within a spectrum of holistic and dynamic balancing. We reinforce that the duality perspective has good potential to help us better understand the process of a multitude of conflictual and competing needs organizations must simultaneously accomplish. This potential is deemed to work not merely for firms competing in the East or other developing countries but can extend to organizations, large or small, in the West or developed countries as well.

This commentary echoes Li’s point (2016) that Yin-Yang balancing has significant and extensive applications when a growing number of organizations, local and foreign, are compelled to become ambidextrous when facing complex new business realities and having to deal with intensified competing needs they have to simultaneously, interactively and dynamically satisfy. This commentary discusses some distinctive characteristics of Eastern philosophies, followed by articulation of some critical lacuna, we think, concerning the Yin-Yang duality that should be answered. In this commentary, we amplify Li’s main points, along with our suggested agenda for future research that can further develop Yin-Yang balancing to a theory of managing paradox.

Eastern philosophies have long been dominated by five pillars or five schools of mastery thoughts originating mainly from China – Confucianism (Ru Jia), Taoism (Tao Jia), Legalism (Fa Jia), Militarism (Bing Jia), and Buddhism (Fu Jia). The Yin-Yang philosophy is one of the central notions of Taoism which teaches us how to act in accordance with nature. Founded by Laozi and Zhuangzhi, Taoism is rooted in an understanding of the “way” (i.e., Tao), which is the shapeless force that brings all things into existence and then nurtures them. That is, Tao means the natural course, which is spontaneous, eternal, nameless, and indescribable. Unlike Confucianism, Taoism favors philosophical anarchism and pluralism. Tao manifests itself through natural principles or philosophies, including Yin-Yang duality, circular nature of changes, wu-wei (natural course of action), and harmony with internal and external environments.

We endorse Li's view (2016) that Western and Eastern management philosophies have their respective strengths and weaknesses, neither one alone is sufficient to manage all types of problems. Thus, a better solution is the one that can integrate Eastern and Western epistemological systems into a geocentric meta-system. The world is entering into a globally-interconnected era, requiring both the organic complexity and ambiguity and the mechanistic simplicity and clarity. Increased global interconnectivity accentuates complexity and interdependence while increased competition fortifies dynamism and uncertainty. This will cause more, not less, paradoxes than before. To this end, Yin-Yang balancing is an audacious and judicious frame of thinking toward paradoxes because this philosophy embodies a unique ability to address the key challenges of ambiguity, complexity, and uncertainty and embraces multiplicity, diversity and inter-penetrability.

After centuries of Western economic dominance, China, India and the rest of the East, alongside emerging economies more broadly, are beginning to challenge the West for positions of global industry leadership. At a deeper level, the transformation from “West Leads East” to “West Meets East” heralds the need for ambidextrous or ambicultural thinking: making simultaneous use of opposites, or simultaneously balancing seemingly contradictory forces and needs, such as efficiency and flexibility, competition and cooperation, stability and adaptation, exploitation and exploration, global and local, privatization and state-ownership, market-based and relationship-based strategies, individualism and collectivism, and long-term and short-term

Enlightened by Yin-Yang balancing, there is a great potential of co-evolution, convergence and co-reinforcement of different philosophies. It will not be easy for any single study to reveal a roadmap for this, but it is feasible for the management research community to finally make the trip with our continuous and collective efforts. Some Western management theories, such as organizational ambidexterity, loose coupling, collaborative competitive advantage, co-opetition, transnational solution (integrated global integration and local responsiveness), to name a few, share some core values of Yin-Yang balancing, even though such sharing has never been articulated explicitly. Similar to the same difficulty facing any other philosophies to be transformed into actionable theories, we have a long journey to navigate in quest for extending Yin-Yang balancing to a universally accepted theory of managing paradoxes. Li’s article (2016) sheds much light for us to forge ahead to this direction.

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.

This chapter focuses on the Chinese cross-border merger and acquisition (M&A) amid the rising trend of multinational companies from emerging economies. Based on a systematic review of published papers in top international business/strategy/organization journals on Chinese overseas M&A, we offer a tentative multilevel framework to consolidate the past achievement, consider contemporary debates, so as to direct future research efforts. We suggest that Chinese overseas M&A research should emphasize on a process perspective ranging from pre-acquisition to post-acquisition. In addition, qualitative research and methodological pluralism should be embraced to achieve this goal due to the nature of this emerging field of Chinese cross-border M&A. By allocating the extant literature into the multilevel framework, we articulate the demand and identify several potential topics for scholarly inquiry in the future in order to gain a nuanced understanding of this important phenomenon of Chinese cross-border M&A for both China and the rest of the world.

The previous decade has been characterized by emerging market firms expanding into international markets. This trend has led to scholars in the IB arena to grapple with the new phenomenon of emerging multinational enterprises (EMNEs), specifically the relationship between internationalization and performance of the EMNEs. This paper seeks to add to the literature by capturing the impact of firm resources on the internationalization‐performance relationship. Empirical analysis on a sample of 787 Indian manufacturing firms indicates that there is a non‐linear relationship between internationalization and performance. Findings also indicate that a firm’s capabilities in cost efficiency and marketing have a moderating impact on this relationship.

This study aims to explain the internationalization speed of e‐commerce companies (ECCs).

Based on the archive data of the American ECCs, the study used multiple regression analysis to estimate the influences of a number of micro‐ and macro‐factors.

The results show that the speedy foreign market entry by ECCs was positively influenced by top management team's international experience, and innovative and marketing capabilities.

The study did not deal with the entry mode of ECCs inviting more future research efforts in this direction. Additionally, as established MNEs have integrated e‐commerce into existing business, future research can be devoted to examine the impact of this integration on the internationalization of firms.

Extant literature has addressed the internationalization of ECCs with a focus on the level of internationalization. This study contributes to the current literature by extending research on globalization of ECCs and incorporating both micro‐ and macro‐level factors affecting the speed of international expansion.