The growth of outward foreign direct investment from emerging markets has led to increased scholarly attention on the internationalization of emerging market firms (EMFs). We break from the recent ...strategic approach on internationalizing EMFs to develop a problematization approach, which permits us to introduce a geographic relational perspective. We use this perspective to highlight process thinking, complex social realities, and relational practice as means by which to better develop theory on the internationalization of EMFs. Our emergent approach emphasizes the need to view EMF internationalization as deeply situated in multifaceted contextual influences, as influenced by path dependence and as manifested in practice. These three relational tenets (contextuality, path dependence, and practice) are central to our geographic relational approach’s ability to generate new challenging research questions for understanding EMF internationalization. Consequently, we add novelty to the international business domain by bringing space and process to the forefront of the EMF research agenda.
Research shows that emerging market multinational enterprises (EM-MNEs) increasingly use corporate social responsibility (CSR) reporting as a global legitimation strategy. Less is known about when ...their CSR reporting is decoupled from their CSR performance. Drawing on neo-institutional theory, we argue that EM-MNEs’ CSR decoupling is shaped by their dual embeddedness in their home countries and the global institutional environment. We then examine how EM-MNEs’ home country institutional voids and degree of internationalization affect their tendency to engage in such decoupling. Our model receives partial support in a study of 93 MNEs from 15 emerging markets between 2005 and 2012.
According to the springboard perspective, emerging market multinationals seek strategic assets aggressively from the outset. In this paper, we investigate the role of firms’ institutional ...embeddedness in terms of age and affiliation to business group on their aggressive internationalization pursuits, an issue which has remained less explored in international business scholarship. This study, based on 8163 Indian listed firms over 18 years, identifies a trend that younger firms founded in the liberalized era, post 1991, and unaffiliated firms are more likely to pursue aggressive internationalization by conducting their first cross-border acquisition (CBA) faster. Among affiliated firms, younger ones are relatively faster in conducting their first CBA. Furthermore, the evidence signals a moderating impact of inter-group heterogeneity in terms of group-level assets and foreign investments on the relationship between firm age and aggressive internationalization.
SmCosub.5 constitutes one of the strongest classes of permanent magnets, which exhibit magnetocrystalline anisotropy with uniaxial character and enormous energy and possess high Curie temperature. ...However, the performance of SmCosub.5 permanent magnets is hindered by a limited energy product and relatively high supply risk. Sm is a moderately expensive element within the lanthanide group, while Co is a more expensive material than Fe, making SmCosub.5-based permanent magnets among the most expensive materials in the group. Subsequently, the need for new materials with less content in critical and thus expensive resources is obvious. A promising path of producing new compounds that meet these requirements is the chemical modification of established materials used in PM towards the reduction of expensive resources, for example, reducing Co content with transition metals (like Fe, Ni) or using as substitutes raw rare earth materials with greater abundance than global demand, like Ce and La. Important instruments to achieve these goals are theoretical calculations, such as ab initio methods and especially DFT-based calculations, in predicting possible stable RE-TM intermetallic compounds and their magnetic properties. This review aims to present the progress of recent years in the production of improved SmCosub.5-type magnets.
This paper studies the dynamics of volatility transmission between Central European (CE) currencies and the EUR/USD foreign exchange using model-free estimates of daily exchange rate volatility based ...on intraday data. We formulate a flexible yet parsimonious parametric model in which the daily realized volatility of a given exchange rate depends both on its own lags as well as on the lagged realized volatilities of the other exchange rates. We find evidence of statistically significant intra-regional volatility spillovers among the CE foreign exchange markets. With the exception of the Czech and, prior to the recent turbulent economic events, Polish currencies, we find no significant spillovers running from the EUR/USD to the CE foreign exchange markets. To measure the overall magnitude and evolution of volatility transmission over time, we construct a dynamic version of the Diebold–Yilmaz volatility spillover index and show that volatility spillovers tend to increase in periods characterized by market uncertainty.
By incorporating institutional theory with the dynamic capability perspective, we investigate how emerging-market firms’ organizational capability to acquire resources through political networking ...with government officials complements their absorptive capacity in enhancing incremental and radical innovations. We further investigate the conditions under which the complementary effect matters. On the basis of a survey of 108 senior executives in China, we find that political networking capability complements absorptive capacity in overcoming resource constraints and organizational disadvantages in enhancing firms’ innovations, and the result is more effective in improving radical rather than incremental innovations. Furthermore, the complementary effect becomes stronger for emerging-market firms’ radical innovations when facing intense competition. We provide theoretical and practical implications of these findings.
This paper examines whether a firm’s financial performance (FP) is associated with superior environmental, social and governance (ESG) scores in emerging markets of multinationals in Latin America. ...The study addresses the current research gap on this issue; it develops hypotheses and tests them by applying linear regressions with a data panel drawn from the Thomson Reuters Eikon™ database to analyse data on 104 multinationals from Brazil, Chile, Colombia, Mexico and Peru between 2011 and 2015. The results suggest that the relationship between the ESG score and FP is significantly statistically negative. Furthermore, in examining environmental, social and governance separately to accurately determine each variable’s relationship to multilatinas’ FP, the results reveal a negative relationship. Finally, the empirical analysis provides evidence for a moderating effect of financial slack and geographic international diversification on the relationship between ESG dimensions and firms’ FP. This study furthers understanding of the relationship between ESG dimensions and FP for the Latin American business context.
•Presents a model of technological progress and structural change for economic growth.•Technological progress has an inverted U-shaped effect on China's economic growth.•Structural upgrading fails to ...drive economic growth.•Environment conservation technology is more effective than energy-saving technology.•Regional heterogeneity is obvious.
As an emerging and transforming market, China has emphasized the key role of technological innovation and industrial structural change in economic growth. Using a nonlinear econometric model and provincial data from 2000 to 2014, this study investigates the direction of technological innovation and structural change for driving China's economic growth. From a national perspective, an inverted U-shaped relationship exists between technological progress and economic growth, revealing a need to shift the technological progress approach from imitation to innovation. Once the turning point is reached, structural upgrading stimulates China's economic growth. Regional heterogeneity is apparent in regional regression. Both energy-saving and environmental conservation technologies positively contribute to the eastern and central regions’ economies, while only environmental conservation technology accelerates the western region's economic development. On structural adjustment, central areas should utilize industrialization and achieve sustainable development, whereas the eastern and western regions do not benefit from industrial structural change. The study's findings can be applied to design policies and strategies that could promote sustainable economic growth through technological innovation and structural change.
What drives the outward foreign direct investments (OFDIs) by emerging market firms (EMFs)? Drawing on a strategy tripod framework, this article proposes a theoretical model to predict OFDI by EMFs ...from China. Specifically, we use institution- and industry-based views to examine two facets of home country environment, namely, the supportiveness from home government and unfavorableness from home industry, as important determinants of OFDI, and compare the relative strength of these effects. Further, we use the resourcebased view to argue that the effect of the home country environment is contingent on the international experience portfolios of EMFs.
Promoting consumer purchase behaviour of eco-friendly products is key to environmental sustainability. This research aims to investigate how different factors may enhance or impede young consumers' ...intentions to purchase a specific type of eco-friendly product, i.e. organic food.
Data were obtained from 289 respondents in an emerging market economy, i.e. Vietnam. Multivariate data analysis using structural equation modelling revealed that food safety concern, health consciousness and media exposure to food messages played integral roles in the formation of attitude towards organic food. Interestingly, consumers' environmental concern and food taste were of little value in predicting their attitude. Notably, perceived barriers (i.e. high price, inadequate availability, poor labelling and extra time required) significantly impeded both attitude and purchase intention towards organic food. The insights gained from this research extend current knowledge about pro-environmental behaviour in developing countries and they have important practical implications for marketers and other key stakeholders.
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