This study identifies and investigates the determinants of FDI modes in the context of outward foreign direct investment (OFDI) undertaken by companies from Poland. The analysis covers the interfaces ...between selected host-country variables and firm resources with FDI modes. A conceptual framework for FDI mode determinants is presented as a basis for the ensuing empirical analysis. The research hypotheses based on previous research are subjected to statistical verification using survey data of 60 Polish foreign investors collected throughout 2013. The main findings show that an increase of previous host-country exposure, as well as host country market attractiveness, favour the choice of green-field mode, while the lack of such exposure and the related knowledge favours acquisitions. Moreover the said green-field operations tend to be located in politically stable markets. The possession of intangible resources turns out to be irrelevant for FDI mode choice.
Este estudo preocupa-se em questionar se as teorias tradicionais de internacionalização são adequadas para explicar a expansão internacional das multinacionais de países emergentes. Procurando ...avançar nessa questão, investigam-se as estratégias de internacionalização adotadas pela JBS, multinacional brasileira do setor frigorífico. Os resultados evidenciam que a empresa adotou duas das cinco estratégias genéricas específicas ao contexto de países emergentes sugeridas por Ramamurti e Singh (2009): consolidador global e integrador vertical. Além disso, ao analisar a internacionalização da empresa em estudo, chama atenção a velocidade do processo, em comparação às multinacionais tradicionais. Conclui-se que o principal modo de entrada que possibilitou a expansão internacional foi a aquisição e que essa trouxe vantagens à empresa, como o acesso a recursos estratégicos, o crescimento rápido, a possível superação da liability of foreignness, a oportunidade para competir globalmente e a diversificação dos segmentos de atuação que geram sinergias às atividades da empresa.
With the growing importance of emerging economies, researchers call for the need to pay attention to non-Western management models with a view to developing an integrated approach. Using a case study ...of an Indian multinational firm in the IT industry, this article highlights the key ingredients of its success in managing a global workforce, such as diffused and empowered leadership, metrics and value driven performance and reward management and strategic mindset of the human resource (HR) function. It recommends an adaptive approach to global HR practice that facilitates cross-transfer of best practices.
Abstract
This paper points out new directions for the deepening and broadening of the institution-based view, by drawing on three streams of research with which I have been involved recently: (1) ...outward foreign direct investment from emerging economies, (2) bankruptcy laws and entrepreneurship development, and (3) institution-based research focusing on Africa. Such deepening has been accomplished by enhancing our institution-based understanding of foreign direct investment with a focus on emerging multinationals, while broadening has been done both substantively by probing into the impact of bankruptcy laws on entrepreneurship development around the world and geographically by calling for enhanced research attention on Africa via an institution-based lens.
Les intégrations post-acquisitions up-market de multinationales émergentes (EMNE) dans des économies avancées ont été peu étudiées empiriquement. Cette recherche dresse une typologie des approches ...mises en œuvre suite à 25 acquisitions en France d’EMNE de 13 pays différents, et analyse les déterminants de leurs choix. L’approche partenariale est majoritairement adoptée, sous diverses modalités dynamiques, mais elle n’est pas systématique. La diversité des types d’intégration révèle l’influence de l’effet du pays d’origine des EMNE sur leurs décisions stratégiques. Cet effet est exploré sous l’angle des héritages administratifs des EMNE, précisément leurs imaginaires stratégiques et politiques qui influencent leur représentation des opportunités du contexte géo-économique global.
Few studies empirically addressed emerging multinationals (EMNE) integrations following up-market acquisitions in advanced economies countries. This research establishes a typology of the approaches adopted after 25 acquisitions in France by EMNE from 13 different countries, and analyses the antecedents of their choices. Partnering approach is predominantly adopted, with several dynamic forms, but is not systematic. The diversity of integration types reveals the significance of EMNE country-of-origin effect on their strategic decisions. This effect is investigated through EMNE administrative heritages, precisely their strategic and political imagination which influence their representation of the global geoeconomics context.
L'objectif de la recherche est de questionner le comportement des firmes multinationales issues de pays émergent (FMNE) lors de leur première acquisition majoritaire à l'international. En effet, ...devenue un phénomène d'ampleur mondial, l'internationalisation de ces firmes du Sud représente une nouveauté, une menace, mais également une opportunité dans le paysage économique mondial. Notre étude teste empiriquement les théories classiques du management international pensées pour les firmes du Nord (FMN) selon des méthodes quantitatives appliquées à un échantillon unique de 504 FMNE issues de la base de données SDC Platinum. Les résultats montrent qu'il existe trois catégories de FMNE influencées par les attributs du pays cibles, leur expérience d'acquisition internationale et leur réseau d'affaires étendu. En revanche, ces mêmes entreprises ne sont influencées ni par les attributs de leur pays domestique ni par leur expérience d'acquisition domestique ni par leur réseau d'affaires proche. Ces résultats éclairent ainsi les connaissances du champ des FMNE en confirmant certaines études dans la littérature tout en en contredisant d'autres. Ce travail de recherche précise donc un ensemble de connaissances scientifiques relatives au phénomène des FMNE et cristallise les réponses aux questionnements du champ à travers l'étude empirique des acquisitions majoritaires à l'international.
The research aims to investigate the emerging multinationals' (EMNE) behaviour through their first international acquisition. Indeed, because of the scope and scale of this international phenomenon, the internationalization of these firms portrayed a novelty, a threat, and an opportunity in the worldwide landscape as well. Our study tests empirically the international management theories basically thought for firms from industrialized economies (MNE) according to quantitative methodologies applied on a unique sample of 504 EMNE from SDC platinum database. The results find three EMNE groups influenced by target-country characteristics, international acquisition experience and extensive network. However, these same firms are not influenced by domestic-country characteristics, their domestic acquisition experience and their close network. These results highlight the field both in corroborate some studies and refute others. This research finally clarifies a set of scientific knowledge related to the EMNE phenomenon through an empirical study of the international acquisitions.
The present study deals with the origin and growth of outward foreign direct investment (OFDI) by emerging Chinese and Indian multinationals and examines the locational determinants of such ...investments. Both Chinese and Indian OFDI flows were observed to have surged after the adoption of economic openness policies by the home country in the late 1970s and the 1990s respectively and are now increasingly being driven by wholly-owned projects and acquisitions abroad. Indian and Chinese firms both started OFDI operations in developing countries and then they expanded into developed regions in the 1990s. Among locational factors, both Chinese and Indian OFDI projects are attracted by host country imports from the sources, greater strength of host currencies, rising host prices and host status of being offshore financial centres. While the Chinese multinationals were found to have preference for hosts with locational proximity, small size and high natural resource endowments, the Indian firms appear to choose countries with large size and that have bilateral investment treaty (BIT) with India irrespective of their physical distance from India.
Contrary to contentions in prior literature that emerging multinationals are only regional players, the evidence on the globalness of Indian firms presented in this study suggests that a number of ...emerging multinationals are global firms. Their strategies are targeted at both the developed and developing markets with the intensity of their overseas operations comparable or far greater than those of the world’s leading multinationals. Many of these firms have greater sales or capital assets outside their home base. Indeed, many of them qualify as global firms as they have a significant presence (over 10 percent of sales) in each of the four regions (triad and the non-triad developing regions) and no one region accounts for more than 50 per cent of their global sales. The study of the transformation of emerging multinationals into non-home region players provides considerable potential for better understanding management theories and practices.
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