International resource configuration of product-related services in the digital age – An analysis of its antecedents

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jelena Jovanovic ◽  
Dirk Morschett
Keyword(s):  
Host Countries ◽  
Related Services ◽  
Resource Configuration ◽  
International Context ◽  
Service Strategy ◽  
Content Type ◽  
Service Characteristics ◽  
The Impact ◽  
International Sales ◽  
Individual Service

PurposeAlthough many manufacturers depend on international sales, and product-related services continue to increase in importance, little is known about how manufacturers should deliver their product-related services across borders. This paper examines the international configuration decision of industrial service offerings across borders by investigating the impact of different service characteristics and the servitization strategy on this decision. Additionally, the paper sheds light on how digitalization and administrative heritage impact this decision.Design/methodology/approach116 industrial goods manufacturers from Switzerland and Germany were surveyed.FindingsServitization leads companies to centralize their service resources in their home countries. However, most service characteristics do not impact decisions regarding centralization, except for knowledge intensity, which leads to more centralization of resources. This implies that the resource configuration does not depend on each service individually but on the overall service strategy. Furthermore, the digital readiness of the host country directly and positively impacts resource centralization. Notwithstanding other variables, larger companies tend to decentralize service resources more than smaller companies.Originality/valueThis paper is among the first to study the international configuration impact of servitization and of individual service characteristics, thereby adding important knowledge regarding the provision of product-related services in the international context. Additionally, different aspects of digitalization are included to analyze its impact on companies and host countries.

Impact of corruption on Chinese investment in African countries

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shilin Yuan ◽  
Haiyang Chen ◽  
Wei Zhang
Keyword(s):  
Developing Countries ◽  
Developing Country ◽  
Host Country ◽  
Practical Implication ◽  
Host Countries ◽  
African Countries ◽  
Control Variables ◽  
Content Type ◽  
The Impact ◽  
New Evidence

Purpose This paper aims to examine the impact of host country corruption on foreign direct investment (FDI) from China to developing countries in Africa. With the opposing arguments that corruption is detrimental to or instrumental in FDI and mixed empirical evidence, this paper contributes to the literature by providing new evidence on the issue. Additionally, little research has been done on the impact of corruption on FDI made by developing country multinationals to developing countries. This paper fills a void in this area. Design/methodology/approach Based on the published literature, as well as China and Africa contexts, the authors develop hypotheses that host countries with low corruption receive more FDI and resource-seeking investments weaken the relationship. The annual stock of Chinese FDI in 35 African countries, host country corruption data and other control variables from 2007 to 2015 are collected. Feasible generalized least squares models are used to test the hypotheses. Additional robustness tests are also conducted. Findings The findings support the hypotheses. Specifically, Chinese investors make more investments in host countries with low corruption except for resource-seeking investments in resource-rich host counties. The results are statistically significant accounting for various control variables. The results of the robustness tests show that the main findings are robust. Originality/value First, this study provides new evidence on the impact of corruption on FDI. Second, this study also fills a void by examining FDI from a developing country, China to other developing countries in Africa. Finally, this study also has a practical implication for Chinese multinationals investing in Africa.

Conditional factors for training activities in Chinese, Indian and Mexican subsidiaries of German companies

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Beke Vogelsang ◽  
Matthias Pilz
Keyword(s):  
Influencing Factors ◽  
External Factors ◽  
Further Training ◽  
Host Countries ◽  
Foreign Investments ◽  
Content Type ◽  
Training Strategies ◽  
The Impact ◽  
And Training ◽  
National Borders

Purpose The purpose of this paper is to analyse the qualification measures of 12 German multi-national companies (MNCs), all of which are present in China, India and Mexico. In particular, the transfer of dual initial training practices and further training measures are investigated. It examines the impact consistent training strategies across national borders have emerged in German companies or local arrangements have developed despite identical internal influencing factors. Design/methodology/approach Because of its design, the focus is on the external factors that influence the companies’ training measures. However, an exploratory approach was followed. To pursue the research question face-to-face expert interviews were conducted with 46 training managers in 12 active companies in all 3 countries. The interviews were completely transcribed and evaluated using qualitative methods. Findings The analysis shows that it is not internal company factors but country-specific contextual factors that influence training measures and that companies cannot act in the same way worldwide. Research limitations/implications The study is based on 12 MNC and only analyses the blue-collar area. Therefore, it would have to be evaluated whether a similar analysis would result from a survey of other companies in different sectors or whether the differences in terms of training and further training measures would then be even greater. Practical implications The study supports the internationalization strategies of MNC by providing first-hand empirical results concerning recruitment and training of blue colour workers on an intermediate skill level. It gives evidence on the need of national adaptation in the process of transferring training cultures from countries of origin into the host countries. More attention must, therefore, be paid to external factors when developing and implementing training measures. Social implications The economic development in many countries includes an expansion of foreign investments. MNC provides employment and income for workers and their families. However, successful foreign investments also include sustainable recruitment and training strategies of the local workforce. The results of the study support policymakers to guide and support foreign companies to develop successful Human Resource Management strategies in the host countries. Originality/value This paper is original because due to the research design the internal factors are kept largely constant and the external influencing factors are singularly focused in detail. Therefore, this procedure makes it possible to investigate whether consistency training strategies across national borders have emerged in German companies or local arrangements have developed despite identical internal influencing factors.

scholarly journals A contingency view to novelty

2018 ◽  
Vol 30 (3) ◽  
pp. 218-245 ◽  
Author(s):  
Mona Rashidirad ◽  
Hamid Salimian ◽  
Ebrahim Soltani
Keyword(s):  
Contextual Factors ◽  
Primary Data ◽  
Positive Contribution ◽  
Service Strategy ◽  
Content Type ◽  
Product Service ◽  
Market Turbulence ◽  
Contingency View ◽  
The Impact ◽  
The Relationship

PurposeThe aim of this study is to examine the impact of the fit between product-service strategy and sensing capability on novelty, and the potential moderating impact of contextual factors (i.e. technological and market turbulence) on novelty.Design/methodology/approachIn line with the aim of the study, a quantitative approach is adopted and a multi-item scale survey is designed to collect primary data. Using a mixed mode survey, a total number of 491 questionnaires are collected from a sample of UK-based telecommunications firms. Multiple regression is used to test the hypotheses and predict the outcomes.FindingsThe results support the positive contribution of a contingency approach to the study of the impact of the fit between product-service strategy and sensing dynamic capability on novelty. The results also partially confirm the reinforcing impact of technological and market turbulence on novelty.Originality/valueThis study extends research on product-service strategy and sensing capability by adopting a contingency view, which intends to serve two purposes: to complement the existing reductionistic explanations and to explore how the relationship between product-service strategy and sensing capability could create novelty as well as the degree to which this relationship could be moderated in light of the external contextual factors.

scholarly journals Legal systems, internationalization and corporate sustainability. An empirical analysis of the influence of national and international authorities

2017 ◽  
Vol 17 (5) ◽  
pp. 861-875 ◽  
Author(s):  
Jacob Hörisch ◽  
Roger Leonard Burritt ◽  
Katherine L. Christ ◽  
Stefan Schaltegger
Keyword(s):  
Legal System ◽  
Management Practices ◽  
Corporate Sustainability ◽  
Relative Effectiveness ◽  
Legal Systems ◽  
Content Type ◽  
Sustainability Practices ◽  
The Impact ◽  
International Sales ◽  
Practical Implications

Purpose This paper aims to compare the influence of different legal systems on corporate sustainability management practices. Against the background of growing internationalization of business activities, it additionally considers whether internationalization allows companies to circumvent the influence of national authorities. Design/methodology/approach Three legal systems are compared using regression analyses of more than 200 large corporations in five countries: common law (USA and Australia), German code law (Germany) and French code law (France and Spain). Findings The impact of national and international authorities is found to be strongest in French code law countries. In addition, the influence of international authorities is stronger for corporations with higher shares of international sales. For both national and international authorities, the degree of internationalization is found to moderate the influence of the legal system on corporate sustainability practices. Practical implications The legal system in place influences the relative effectiveness of national and international authorities over company sustainability practices and needs to be taken into account in policymaking. To be effective, international authorities need to work with or substitute for national authorities in promoting corporate sustainability practices in countries depending on their legal systems. Originality/value This research applies and quantitatively tests La Porta’s (1998) framework on legal systems in the new context of corporate sustainability.

scholarly journals Reducing transportation emissions

2014 ◽  
Vol 44 (4) ◽  
pp. 283-304 ◽  
Author(s):  
Henrik Pålsson ◽  
Gyöngyi Kovács
Keyword(s):  
Freight Transportation ◽  
Company Strategy ◽  
Resource Configuration ◽  
Content Type ◽  
External Stakeholder ◽  
Stakeholder Pressure ◽  
Transportation Emissions ◽  
Reduce Emissions ◽  
The Impact ◽  
A Company

Purpose – The purpose of this paper is to evaluate why companies reduce transportation emissions by examining the relative importance of external drivers vs internal motives for companies in considering CO2 emissions in freight transportation. Design/methodology/approach – A framework is suggested that captures internal, competitiveness-driven motives and external, stakeholder-driven drivers for companies seeking to reduce CO2 in freight transportation. These factors are tested in a large industry survey in Sweden. The survey resulted in 172 responses from corporate heads of logistics, a response rate of 40.3 per cent. Findings – Variations in responding to stakeholder pressure vs company strategy for reducing transportation emissions are identified. Company strategy outweighs stakeholder pressure in determining whether a company intends to green its transportation. The strategy leads to company-internal motives for reducing transportation emissions which differ from company to company. These differences, in turn, lead to different levels of intended reductions. Stakeholder pressure sets the minimal levels that elevate the performance of a group of companies in an industry or a country, but the differentiation effect across companies is lost. The intention to reduce emissions is greatest if a company has both economic and image motives. The logistics resource configuration does not seem to impact drivers and motives. Research limitations/implications – The research is based on companies in Sweden. Studies across several countries are needed to investigate the impact of national requirements. Originality/value – The paper shows that the combination of the resource-based view and stakeholder theory presents a better explanation as to why companies reduce transportation emissions than either of them do separately. By combining the two theories this research differentiates between how stakeholder pressure and company strategy influence intents to green transportation.

Transformational leadership and employee knowledge sharing: explore the mediating roles of psychological safety and team efficacy

2019 ◽  
Vol 24 (2) ◽  
pp. 150-171 ◽  
Author(s):  
Jielin Yin ◽  
Zhenzhong Ma ◽  
Haiyun Yu ◽  
Muxiao Jia ◽  
Ganli Liao
Keyword(s):  
Transformational Leadership ◽  
Emerging Markets ◽  
Knowledge Sharing ◽  
Psychological Safety ◽  
Intellectual Stimulation ◽  
International Context ◽  
Content Type ◽  
Team Efficacy ◽  
Inspirational Motivation ◽  
The Impact

Purpose This paper aims—based on past research works which have shown that transformational leadership has positive impact on knowledge sharing—to explore the impact of different leadership dimensions of transformational leadership on knowledge sharing and further to explore the mechanism through which transformational leadership affects employee knowledge sharing in China. Design/methodology/approach Based on the transformational leadership theory and the team learning theory, it is proposed that all four dimensions of transformational leadership, including intellectual stimulation, individualized consideration, inspirational motivation and idealized influence, have unique impact on employee knowledge sharing. It is further proposed that psychology safety and team efficacy mediate these relationships. Then data were collected from over 400 employees from knowledge-based companies in China to empirically test the proposed relationships with the method of structural equation modeling. Findings The results show that psychological safety fully mediated the impact of intellectual stimulation on knowledge sharing, and team efficacy fully mediated the impact of inspirational motivation on knowledge sharing. Both factors also mediated the impact of individualized consideration on knowledge sharing. The results thus provide empirical support for the impact of transformational leadership on employee knowledge sharing in an international context. Originality/value The past years have seen increasing interest in leadership and knowledge sharing in emerging markets, yet the mechanism through which leadership affects employee knowledge sharing remains understudied. This study explores the impact of different dimensions of transformational leadership on employee knowledge sharing, and further shows that psychological safety and team efficacy mediate these relationships in a collectivistic society where knowledge sharing is consistent with cultural norms. The findings help develop more robust knowledge sharing theories in the international context and provide insightful suggestions for management practitioners in emerging markets.

An investigation of Confucius Institute’s effects on China’s OFDI via cultural difference and institutional quality

2020 ◽  
Vol 14 (3) ◽  
pp. 241-263
Author(s):  
Chensheng Xu ◽  
Feng Yao ◽  
Fan Zhang ◽  
Yonghong Wang
Keyword(s):  
Host Country ◽  
Cultural Difference ◽  
Institutional Quality ◽  
Cultural Exchange ◽  
Ordinary Least Squares ◽  
Study Strategies ◽  
Potential Interaction ◽  
Host Countries ◽  
Content Type ◽  
The Impact

Purpose This study aims to investigate the influence of the Confucius Institute (CI) on outward foreign direct investment (OFDI) by China and its potential interaction with cultural difference and institutional quality in host countries. Design/methodology/approach In the empirical study, the gravity model is adopted as the benchmark to investigate the effects of CI on China's OFDI using the ordinary least squares or Poisson Pseudo Maximum Likelihood estimators. Panel data on China's OFDI from 2004 to 2015 are used. Cultural difference and institutional quality are included explicitly as control variables to examine the effects of CI on China's OFDI. Findings CI has a significant positive effect on China’s OFDI, and this effect depends on the cultural difference and institutional quality of the host country. The impact of CI on China’s OFDI is more prominent in host countries with a smaller cultural difference or lower institutional quality. Originality/value CI is a comprehensive platform for foreign cultural exchange and signifies the rebirth of Confucianism in China. The present study shows that CI can stimulate the growth of China’s OFDI, with implications for other Asian countries influenced by Confucianism. Based on the results of the study, strategies for “Going Global” and encouraging economic growth based on cultural exchange and the recognition of host country heterogeneities are proposed.

How do formal and informal institutional distance affect the reverse knowledge spillover of Chinese MNCs?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yi She ◽  
Jin Hong ◽  
Chuwei Ji
Keyword(s):  
Multinational Corporations ◽  
Knowledge Spillovers ◽  
Positive Impact ◽  
Innovation Performance ◽  
Parent Company ◽  
Practical Significance ◽  
Host Countries ◽  
Content Type ◽  
Chinese Mncs ◽  
The Impact

PurposeThis study examines the impact of outward foreign direct investment (OFDI) of Chinese multinational corporations (MNCs) and formal and informal institutional distances between the home and host countries on the innovation performance of parent company.Design/methodology/approachThis study uses panel data to conduct an empirical analysis on the data of 59 mature Chinese MNCs and their 872 overseas subsidiaries over the past 11 years and draws interesting results.FindingsResults show that OFDI and formal and informal institutional distances between countries exert a significant positive impact on the innovation performance of the parent company and formal and informal institutional distances negatively moderate the impact between OFDI and the parent company's innovation performance.Originality/valueAlthough international business research pays increasing attention to transnational differences in institutions and cultures, research on the relationship between technology spillover and distance is relatively limited. In addition, few studies consider the impact of FID and IFID on transnational reverse knowledge spillovers. This research fills these research gaps, and the conclusions have certain practical significance for multinational companies.

The cumulative effect of satisfaction with discrete transactions on share of wallet

2014 ◽  
Vol 25 (3) ◽  
pp. 310-333 ◽  
Author(s):  
Timothy L. Keiningham ◽  
Lerzan Aksoy ◽  
Edward C. Malthouse ◽  
Bart Lariviere ◽  
Alexander Buoye
Keyword(s):  
Weighted Average ◽  
Cumulative Effect ◽  
Service Encounters ◽  
Data Set ◽  
Content Type ◽  
Share Of Wallet ◽  
Purchase Behaviors ◽  
The Impact ◽  
The Relationship ◽  
Individual Service

Purpose – The purpose of this paper is to propose a theoretical model for how consumers aggregate satisfaction with individual service encounters to form a summary evaluation of satisfaction, and further examines its effect on customers’ share of category spending (share of wallet (SOW)). Design/methodology/approach – The data used consist of 10,983 completed surveys from 1,448 customers whose transaction-specific satisfaction with a retailer and their subsequent purchase behaviors in the category were tracked for more than four transactions. Mixed effects models were employed to test the relationship between the cumulative effect of satisfaction with multiple service encounters on SOW. Findings – Cumulative satisfaction is a weighted average of satisfaction with specific encounters, with weights decaying geometrically so that more recent encounters receive more weight. More recent transaction-specific satisfaction levels tend to have greater influence on customers’ next purchase SOW allocations; this, however, is only the case for customers who are less than highly satisfied, with a rating of 8 or lower on a ten-point scale. Additionally, the impact of transaction-specific satisfaction on SOW is not linear. Highly positive transaction-specific satisfaction levels have a greater impact on SOW than negative levels. Practical implications – Many companies monitor satisfaction across multiple service encounters. This study shows how one can aggregate these measures to arrive at a cumulative effect, and highlights the importance to discriminate between first, more and less recent encounters and second, low vs high levels of satisfaction to better understand customers’ spending among different providers. Originality/value – Using a longitudinal data set with real customers, this paper identifies a new measure for taking into account the cumulative satisfaction, identifies the positivity bias, and shows how recency affects the relationship between satisfaction and SOW.

Impacts of globalization on worker injury in host countries

2019 ◽  
Vol 10 (2) ◽  
pp. 119-133
Author(s):  
Michael D. Stackhouse ◽  
Kaustav Misra ◽  
Micah DelVecchio
Keyword(s):  
Social Responsibility ◽  
Labor Force ◽  
Panel Study ◽  
Secondary Data ◽  
International Expansion ◽  
Host Countries ◽  
Data Set ◽  
Content Type ◽  
Iso 26000 ◽  
The Impact

Purpose International expansion is an inevitable consequence for companies that are seeking revenue growth. Foreign direct investment (FDI) by global enterprises is a common route of such expansion. As companies invest abroad, competing interests cause concerns over the impact (both positive and negative) on the local labor force (necessitating corporate social responsibility) caused by FDI. Therefore, there is a logical link between FDI, a country’s labor force and globalization. The purpose of this study is to explore this untested relationship. Design/methodology/approach This panel study uses cross-country data from the World Bank to understand the pattern of influence of globalization on worker injury. A secondary data set of 36 developed and developing countries from 2003 to 2007 are gathered for this paper to analyze. Findings The results of this paper indicate that, companies are seeking to maintain higher levels of social responsibility should not only consider a framework such as ISO 26000 themselves but also they should encourage compliance from their upstream suppliers as well. Originality/value Goods for these companies are manufactured in Bangladesh, but unfortunately, a serious tragedy occurred when a building collapsed, resulting in the death of 1,127 people, which was not the first of such events in Bangladesh (The Associated Press, 2013). Inspired by this recent tragedy, this study examines possible connections between globalization and the factors that are associated with the incidences of worker injury. Globalization is a well-studied phenomenon, however very little has been done to examine its impact on worker injuries; this paper helps fill that gap.

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