Chapter 5 Links to seminal articles

Chapter 5 Links to seminal articles

Links to seminal articles as highlighted in the Research Insights features in the book, with commentary.

Buckley P.J., Clegg L.J., Cross, A.R., Liu, X., Voss, H., & Zheng, P. (2007). The determinants of Chinese outward foreign direct investment. Journal of International Business Studies, 38(4), 499-518. JIBS Decade Award 2017.

Chinese outward FDI is not only a recent phenomenon, it is also strongly influenced by the institutional setup in China and the impact China has on other economies.

Kobring, S.J. (1979). Political Risk: A Review and Reconsideration. Journal of International Business Studies, 10(1), 67-80. JIBS Decade Award 1979.

The institutional environment in the home and host country can exert a degree of political risk. The MNE needs to understand the source of the risk, the variability of the risk, and the potential impact on the operations and profitability.

Lecraw, D. (1984). Bargaining power, ownership, and profitability of transnational corporations in developing countries. Journal of International Business Studies, 15(1), 27-43. JIBS Decade Award 1984.

MNEs are investing in economies with established institutions. However, because of their economic size, and the potential benefits they bring to the host economy, they enjoy a particular degree of bargaining power. Bargaining power can change over time and will vary by host country.

Peng, M.W., Wang, D.Y.L., & Jiang, Y. (2008). An institution-based view of international business strategy: a focus on emerging economies. Journal of International Business Studies, 39(5), 920-936.

Considering the importance of institutions, this paper brings together an institutional and a strategic perspective in order to assess and describe MNE behaviour.

Journal of International Business Studies collection of articles on State Owned Multinationals: this collection of articles complements Chapter 5 on institutional environment. The perspective in this collection is on businesses that are tightly embedded in the institutional context and are used by the home country institutions (i.e. government agencies) to pursue a particular agenda.

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