This study shows that the escalation of US import tariffs prompts Chinese exporters to strengthen their ESG engagement, strategically positioning themselves in the renewed competitive landscape. This ...finding is robust across various model specifications, sample selection methods, and ESG performance proxies. In addition, we document the ESG ranking improvement is stronger for firms with green innovation needs and those operating in industries with high domestic growth potential, which suggests that Chinese exporters aim for product differentiation to combat the tariff escalation. Moreover, the greater ESG engagement is more pronounced among state-owned enterprises, larger firms, and firms operating in pilot free trade zones, indicating firms with higher cost advantage pre-US-China trade war take greater steps forward in product differentiation.
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•Rising tariffs lead Chinese exporters to enhance ESG for competitive edge.•This effect is stronger in firms needing green innovation and in high-tech sectors.•SOEs, larger companies, and firms operating in pilot free trade zones show stronger ESG improvements.
The international business literature, while extensive by now, has given scant attention to the direct comparison of the performance of advanced economy multinational enterprises (AMNEs) and emerging ...market multinational enterprises (EMNEs) in international markets. In particular, the question of how well these firms perform in each other’s home markets is an intriguing one. In this study, we examine “market share” performance of AMNEs and EMNEs in each other’s countries using a comprehensive, longitudinal dataset. Drawing from the eclectic paradigm, we contend that, in comparison, EMNEs perform better as they: i) develop non-traditional ownership advantages based on their learnings in their home markets, and ii) expand into advanced economy markets relying on non-traditional ownership advantages. Our findings show a declining performance of AMNEs operating in emerging markets over time, while EMNEs generally appear to benefit from increased market shares in advanced economy markets for the same period.
This paper investigates the role of timely delivery in international competition. Using a demand-side, industry-specific measure of time-sensitivity, we assess the effect of Chinese competition on ...the export performance of Eastern European transition economies into Western European (EU15) destination-product markets. Our empirical analysis relies on exploiting the increase of Chinese competition in global markets during the first decade of the 2000s. We find evidence of heterogeneous adjustments to Chinese competition among Eastern European exporters due to the differential importance of timely delivery across sectors (i.e. time-sensitivity). While we observe sizable real displacement effects, they appear to be at least 50 percent smaller for time-sensitive exports. Relying on firm-level customs data, we establish that this mechanism also plays a role for responses to Chinese competition within firms.
•Preferences for timely delivery across sectors imply a local comparative advantage.•We find empirical support for this in the case of Chinese competition in the EU15.•Eastern Europe’s exports to the EU15 less displaced in time-sensitive markets.•Transport times reveal as determinants of market access and diversification.
In July 2017, China’s State Council released the country’s strategy for developing artificial intelligence (AI), entitled ‘New Generation Artificial Intelligence Development Plan’ (新一代人工智能发展规划). This ...strategy outlined China’s aims to become the world leader in AI by 2030, to monetise AI into a trillion-yuan (ca. 150 billion dollars) industry, and to emerge as the driving force in defining ethical norms and standards for AI. Several reports have analysed specific aspects of China’s AI policies or have assessed the country’s technical capabilities. Instead, in this article, we focus on the socio-political background and policy debates that are shaping China’s AI strategy. In particular, we analyse the main strategic areas in which China is investing in AI and the concurrent ethical debates that are delimiting its use. By focusing on the policy backdrop, we seek to provide a more comprehensive and critical understanding of China’s AI policy by bringing together debates and analyses of a wide array of policy documents.
Extra virgin olive oils (EVOO) are typically categorized in accordance with the nature of their fruitiness (green or ripe) and the intensity of their fruitiness (delicate, medium, or robust) in ...accordance with the proposal of the competitor (producers) or a chemical analysis certificate established by an official panel. Depending on the category in which EVOO participates, its categorization may either disadvantage or benefit its rating. To eliminate this ambiguity and maximize an EVOO's probability of winning, the jury of the International “Word Edible Oils” competition use an innovative method to assess the EVOOs using a restricted amount of sensory descriptors (aromatic maturity, structure and fruitiness). Independent of category, the best EVOOs with comparable organoleptic properties have been identified using a statistical processing of the scores of the three descriptors. This is an iterative version of the technique developed by Wootton, Sergent, and Phan-Tan-Luu (iWSP), which generates subspaces that enable a local selection of the best EVOOs in a 2D aromatic maturity vs structure plan. In each subspace, their ranking is determined by their fruitiness score. An iterative approach that takes into consideration the changing sequence of subspace formation and the varying size of the subspace enables the selection of the best EVOOs. The development of the iWSP algorithm enabled the elimination of category constraints, (ii) the selection of the best EVOOs among those with comparable organoleptic features based on a large number of simulations, and (iii) the creation of a ranking to aid the jury's final judgment.
•A mathematical model was created for selecting best olive oils of a French contest.•This approach used a local selection of oils with similar organoleptic properties.•This method was independent of the fruitiness categories commonly used in contests.•Iterations on starting points and subspace sizes assured the best oil selection.•An oil ranking from their selection frequency was proposed without subjectivity.
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