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Female Entrepreneurship and International Organizations
Abstract
This chapter examines the impact of national membership in international organizations on female entrepreneurship. Drawing on the institution-based view from global strategy and civil society theory from international relations, we show how international organizations can promote entrepreneurship opportunities for women with respect to the United Nations’ sustainable development goals (SDGs). This research has both practical and social implications. From a practical perspective, it provides important insights for policy makers and entrepreneurs. Policy makers can use the findings to understand how the international organizations that countries join affect entrepreneurship, particularly the United Nation’s SDGs Entrepreneurs can also use the findings to advocate mutually beneficial conditions for host environments, particularly those dedicated to female empowerment. A sample of 44 countries, 5 years of data, and 130 country-year observations finds robust support for our assertions.
... It has been discovered that the lack of possibilities for women entrepreneurs to receive education, training and professional growth is nearly universal (Davis, 2012). The influence of international organizations on female entrepreneurship has been validated, thus promoting mutually advantageous conditions, especially for female empowerment (Dau et al., 2018). ...
Purpose
This study aims to add a gender perspective to the current ecosystem of entrepreneurship education whereby an innovative model of the female entrepreneurship education ecosystem (FEEE) consisting of five stakeholders (university, government, society, enterprise and the international community) is examined.
Design/methodology/approach
The study conducted an online questionnaire among 505 respondents from two universities and one higher vocational college in China. Confirmatory factor analysis (CFA) was used to test the correlation between factors and structural equation modeling (SEM) was applied to test the five hypotheses proposed in the study.
Findings
The results indicated that the five stakeholders (the university, government, society, enterprise and international community) positively affect FEEE. The study emphasizes the urgent demand to consider gender perspectives in the ecosystem of entrepreneurship education and provides plausible ways to conduct female-targeted education with the joint efforts of different stakeholders.
Practical implications
The study aims to increase the number of future female entrepreneurs, enhance the future skills of female students in the digital era and ultimately advance humankind. The study emphasizes the urgent demand to consider gender-perspective in the entrepreneurship education ecosystem and provides plausible ways to conduct female-targeted education with the joint efforts of different stakeholders.
Originality/value
This paper sheds light on evaluating FEEE through five stakeholders' dimensions, which explores the solutions to the current female entrepreneurship education (FEE) issues.
... In doing so, they commit to aligning their interests with the missions and objectives of the organizations (Finnemore & Barnett, 2004;Iriye, 2004), which aims to promote stability, development, and security for states in all sectors ranging from economic, political, to militaristic levels (Bearce & Bondanella, 2007;Boehmer et al., 2004). As a result, they impact both member states and the actors within them, such as businesses and entrepreneurs (Dau et al., 2018;Moore et al., 2019Moore et al., , 2021, by inciting and encouraging, and even mandating change and alignment. Thus, while there is a rich tradition of analyzing the impact of IGOs on state cooperation and behavior, there is a need to understand how IGOs impact the economic conditions of member countries given that the economy is a focal point of many IGOs. ...
The megatrend of rebalancing of global economic power from the West to the East has transformed the management of international business. Since 2017, the conflict and competition between two superpowers—the United States and China—in multiple arenas have intensified. The dramatic change in the United States foreign policy has turned China as a “strategic competitor” of America and framed the China’s Belt & Road Initiative (BRI) in a way that creates a negative perceived image and public sentiment in mass media. Despite the potential effect of public sentiment of the BRI on governments’ policy-making and international businesses’ investment decisions, empirical research surrounding this issue across time and space is inadequate. To address this gap, the current study examines how the global view of the BRI, as reflected by the public sentiment (or tone) expressed in media sources, has been changing over time. This study takes advantage of a big data approach and analyzes data of 344,190 BRI-relevant news articles from the Global Database of Events, Language, and Tone (GDELT) between 2017 and 2021. The results show that there is an overall positive tone at the global level and from China’s perspective, but a negative tone from the United States’ viewpoint. International businesses are advised to track and predict changes of perceived BRI image from the global and individual country’s perspectives and make necessary decisions to address the opportunities and challenges associated with public sentiment shaped by megatrends.
... In doing so, they commit to aligning their interests with the missions and objectives of the organizations (Finnemore & Barnett, 2004;Iriye, 2004), which aims to promote stability, development, and security for states in all sectors ranging from economic, political, to militaristic levels (Bearce & Bondanella, 2007;Boehmer et al., 2004). As a result, they impact both member states and the actors within them, such as businesses and entrepreneurs (Dau et al., 2018;Moore et al., 2019Moore et al., , 2021, by inciting and encouraging, and even mandating change and alignment. Thus, while there is a rich tradition of analyzing the impact of IGOs on state cooperation and behavior, there is a need to understand how IGOs impact the economic conditions of member countries given that the economy is a focal point of many IGOs. ...
This study assesses the interplay between intergovernmental organizations (IGOs) and formal and informal entrepreneurial activity in countries with different levels of economic development and policy compliance with supranational regulations. We illustrate that participation in and compliance with IGOs like the Organization for Economic Cooperation and Development (OECD) or the European Union (EU) help foster formal economic activity and entrepreneurship while simultaneously decreasing informal economic and entrepreneurial activity. We conclude that IGOs can help offer institutional supports but only when countries actively comply with the policies and programs they offer.KeywordsFormal entrepreneurshipInformal entrepreneurshipIGOsOECDEUDevelopment levelsPolicy compliance
... Although there are other distinctions of entrepreneurship such as female versus male (c.f. Dau, Moore, & Abrahms, 2018a), we focus on the distinct between formal and informal entrepreneurs while also encouraging future scholars to look at other distinctions. ...
This chapter introduces a new framework for understanding firm creation and firm behavior in the face of terrorism and its ensuing risks such as institutional disruption. There is surprisingly scant theoretical or empirical research on how terrorism impacts firms and their ability to be agile in the face of risk. The extant strategic management literature is underdeveloped for making such assessments because it largely ignores the socio-cognitive impact of collective traumas on society. Building on the traditional assumptions of institutional theory from strategic management, the authors incorporate cosmopolitan memory theory from the field of international relations to offer a theoretically grounded set of testable predictions about terrorism's effects on both new and existing firms.
... While firms continue to exploit advanced technologies (Boadi and Mertens, 2018) for the production of goods and services (Easterby-Smith et al., 2015), best practices in business process learning (Easterby-Smith and Lyles, 2011) can best be enhanced through corporate ethical behavior, CSR and green marketing (Sadiku-Dushi et al., 2019). This can provide further avenues for business process sustainability (Ismail et al., 2019;Ziolo and Ghoul, 2019;Dau et al., 2018), and therefore, enhanced profitability. ...
Purpose
This study aims to establish the link between business ethics and brand loyalty and to investigate the mediating role of corporate social responsibility (CSR) and United Nations Sustainable Development Goals (SDGs) such as green marketing.
Design/methodology/approach
Using the purposive sampling technique, data were obtained from 622 middle-income city dwellers who shop at leading retail malls. Data were analyzed with partial least square–structural equation model.
Findings
The study found a positive and significant relationship between business ethics, CSR, green marketing and business loyalty. Both CSR and green marketing mediate between perceived firm ethicality and brand loyalty.
Research limitations/implications
This research was done based on general knowledge of business ethics, CSR and green marketing from the consumers’ perspective. Future studies can avoid this limitation.
Practical implications
By ensuring ethical codes, CSR and green marketing, firms can contribute to promoting the SDGs, and at the same time, achieving customer loyalty. Brand loyalty is further enhanced if customers see a firm to be practicing CSR.
Social implications
The SDGs of sustainable production patterns, climate change and its impacts, and sustainably using water resources must become the focus of companies as they ultimately yield loyalty. Policymakers and society can design a policy to facilitate adoption of better ethical behavior and green marketing by firms as a way of promoting SDGs.
Originality/value
To the best of the authors’ knowledge, this study is the first to test the mediation effect of green marketing and CSR on how ethical behavior leads to brand loyalty. It is also one of the few papers to examine how SDGs can be promoted by businesses as stakeholders.
... Sixth, we control for education expenditures because levels of education and government promotion of education have been shown to encourage entrepreneurship through knowledge absorption and opportunity creation (Testa & Frascheri, 2015). Seventh, we control for the number of intergovernmental organizations of which a country is a member (e.g., UN, OECD, etc.), since these organizations foster cross-border collaboration that leads to increased knowledge spillovers and exchange that can encourage venture creation (Dau, Moore, Abrahms, 2018;Dau, Moore, & Soto, 2016b;Moore, Brandl, & Dau, 2019). Eighth, we control for the international aid a country receives since aid (although controversial) increases the capital flow in an economy and transitively impacts the resources available to the government and portions of society (Moore, Dau, & Doh, 2020). ...
Does entrepreneurship in a country benefit from trade integration? Moreover, do all types of entrepreneurs respond the same way to this integration? Specifically focusing on formal and informal entrepreneurship, we analyze the effects of trade integration in the context of different levels of economic development. First, we propose that trade integration increases a country's formal entrepreneurship while decreasing a country's informal entrepreneurship. A key mechanism explains this relationship: trade agreements provide supranational institutional structures that encourage formal, and discourage informal, venture creation. We dig deeper into this issue by arguing that these effects are stronger in less developed countries than highly developed countries. Analyses using a panel of 68 countries spanning 11 years provide robust support for these assertions. While our findings are aligned with previous scholarship that describes the asymmetric benefits of trade agreements for member nations, we add refinement by teasing out where the impacts are strongest (e.g., for entrepreneurial formalization in less developed countries) and where the impacts are less pronounced (e.g., for entrepreneurial formalization in highest developed countries). Thus, as policy makers continue to face challenging questions related to trade relationships, these results prompt future scholarship to examine other such potential benefits and asymmetries.
... Secondly, globalization could indeed lead to greater gender inequality, warning that it needed to be accompanied by public policy. Luis Alfonso Dau and his coauthors show how international organizations can promote entrepreneurship opportunities for women, especially under the United Nations Global Agenda for Sustainable Development, as a strategy to empower women entrepreneurs through institutions that encourage women equality (Luis, Moore, & Max, 2018). (Ratten & Tajeddini, 2018) noted that even though there was an increasing interest in the role of women entrepreneurship, very little research was conducted to develop its links with emerging international patterns. ...
Even with the increased number of women enterprises and efforts to help women entrepreneurs in Africa exploit the potential benefits globalization, gender inequalities (perception and treatment of women in Africa) still stand in their way. This paper seeks to address three questions: First, what the literature suggests with respect to rethinking alternative analytical approaches to a new understanding of globalization, entrepreneurship and gender equality in global commerce. This will be followed by the question on how Africa conceptualizes women entrepreneurship and lastly, if the current African conceptualization of women entrepreneurs could precipitate exploitation of opportunities that the emerging global order presents. The literature suggests that women still have a long way to go in changing environmental forces and perceptions to fully exploit their potential in the global stage. A new theoretical way of analyzing their progress is imperative.
Intergovernmental organizations (IGOs), such as the World Trade Organization, the United Nations Trade and Development and the World Bank, promote stability, security and development for member states and their citizens via supranational institutional influences. However, their influence on individuals, especially their entrepreneurial business activities, is unclear. As policymakers decide when more (or less) IGO involvement best serves their countries and citizens, we must better understand the connection of the supranational, national, and individual levels. Thus, we study how IGO membership influences entrepreneurial opportunities and focus on two activities that impact a country’s economy differently: formal and informal entrepreneurship. Moreover, we identify how national institutional ecologies build the bridge between the supranational and the individual level and mediate the relationships. Using a sample of 68 countries, their entrepreneurial environment, and their connection to IGOs, we find that IGO memberships enhance opportunities for entrepreneurship. Moreover, IGOs promote formal entrepreneurial activities while discouraging informal entrepreneurial activities, mediated by the country’s institutional ecology. We combine insights from international relations, institutional theory, and strategic entrepreneurship to highlight how institutions at different levels influence entrepreneurial opportunities and discuss the policy implications of our findings.
Official development aid – monetary transfers to developing countries to promote social and economic development – reached more than $140 billion in 2016. However, traditional forms of government bilateral aid continue to decline, while private aid is rising. Nevertheless, the impact of this aid, including its potential to stimulate economic development through new business formation, remains uncertain. In this study, we examine the impact of three sources of monetary aid flows on formal and informal entrepreneurship. Drawing from the international political economy literature we argue that bilateral aid and private aid are associated with higher levels of informal entrepreneurship, while multilateral aid is accompanied by lower levels. Moreover, we show that bilateral and private aid are linked with lower levels of formal entrepreneurship while multilateral aid has no impact. The analyses of a panel of 313 observations from 49 countries provide robust support for these arguments.
Corporate Social Responsibility in Developing and Emerging Markets - edited by Onyeka Osuji December 2019
Using community resilience and institutional entrepreneurship as conceptual lens, the paper explores whether support for social enterprises in non-metropolitan Greece has led to resilient social systems. Whilst drawing on narratives of enabling a bottom-up response to market failure, rather than radical or reformist adaptation, social enterprise may have produced a reluctant and state reliant response which may weaken the resilience of communities to survive continued austerity. The research selected and interviewed 30 social enterprises operating within non-metropolitan Greece during 2016. It contributes to knowledge through a novel framing, which clarifies that social enterprise in Greece remains a top-down governance process which fails to deliver transformative forms of community resilience.
As an enthusing concept to re-define the organizational cosmos in a novel form, this study approve the cognition of individuals as a starting point. Despite the abundant study of organizational cognition concept, there remains an uncharted area which depicts; how perceptions of different cognitive capacities might hierarchise the organizational cosmos. Upon this, we used ‘Kohlberg’s Moral Development Theory’ as a metaphor and found 3 hierarchic cognitive level which characterize on different justification modes. Also an additional theoric level identified for possible phenomenons. We show that the consideration styles of organization members evolve while their cognitive capacities and related environmental perceptions broaden and that these shifts are consistently patterned. An objective scale was developed using an ontological approach to confirm the oral interviews. Eventually, we obtained two different scales for industrial use.
This article aims to explore the different accountability discourses of the various actors in the Spanish international aid system and to examine them in light of the various theoretical interpretations of development accountability. The conclusions reached suggest a technical and financial accountability model, largely isolated from international debates where political and social issues are at the core of the concept. Although this can be explained by a range of factors which are specific to the Spanish aid system, there are also interesting tendencies that are deepening a new understanding and practice of the idea
In their 2010 ASR article Wimmer and Feinstein’s conclude that no forces stressed by “world polity” theory influenced the rise of the nation-state, which they say was driven by within-country and contextual political factors confined to the regional levels, in line with historical institutionalist arguments. Here, after arguing that they overstate the historical domain of the world polity theory, we reanalyze their data and find that world polity, as well as historical institutional ones, operate following WWII. World polity forces are measured ties to Inter-Governmental Organizations (IGOs) and International Non-Governmental Organizations (INGOs) and by measures of the worldwide accumulation of nation-states. IGO membership shows positive significance in the post-1945 era, and all the three measures significantly facilitate nation-state creation for the period 1953-2001 for which INGO data are available. Results affirm the considerable, if historically circumscribed, importance of global legitimation within a world polity for the rise of the nation state. .
Since the term "sustainable development" was coined, a core set of guiding principles and values has evolved around it. However, its definition remains fluid, allowing institutions, programs of environment and development, and places from local to global to project their own aspirations onto the banner of sustainable development.
International Non-governmental Organizations (INGOs) face difficult choices when choosing to allocate resources. Given that the resources made available to INGOs fall far short of what is needed to reduce massive human rights deficits, any chosen scheme of resource allocation requires failing to reach other individuals in great need. Facing these moral opportunity costs, what moral reasons should guide INGO resource allocation? Two reasons that clearly matter, and are recognized by philosophers and development practitioners, are the consequences (or benefit or harm reduction) of any given resource allocation and the need (or priority) of individual beneficiaries. If accepted, these reasons should lead INGOs to allocate resources to a limited number of countries where the most prioritarian weighted harm reduction will be achieved. I make three critiques against this view. First, on grounds the consequentialist accepts, I argue that INGOs ought to maintain a reasonably wide distribution of resources. Second, I argue that even if one is a consequentialist, consequentialism ought not act as an action guiding principle for INGOs. Third, I argue that additional moral reasons should influence decision making about INGO resource allocation. Namely, INGO decision making should attend to relational reasons, desert, respect for agency, concern for equity, and the importance of expressing a view of moral wrongs.
Recent research reveals strong effects of involvement in international organizations on state policies, but much of this research downplays inequality in world political participation, and there is only a limited understanding of what explains world-polity ties. Using data on memberships in intergovernmental and international non-governmental organizations (IGOs and INGOs) for 1960 through 2000, this study analyzes inequality in the world polity. IGO ties are fairly evenly distributed, but the level of inequality in INGO ties is as high as the level of world income inequality. Since 1960, inequality in ties to IGOs decreased sharply, but inequality in ties to INGOs remained more stable. A conflict-centered model of the world polity is developed here that explains world political participation as a function of material and symbolic conflict. Rich, core, Western states and societies have significantly more ties to the world polity than do others. Powerful states dominate IGOs less now than they did in 1960, but rich, core, Western societies have grown more dominant in the INGO field.
This study introduces and validates a measure of country institutional profile for entrepreneurship consisting of regulatory, cognitive, and normative dimensions. Subscales based on data from six countries show reliability, discriminant validity, and external validity. The instrument provides researchers with a valuable resource for exploring why entrepreneurs in one country may have a competitive advantage over entrepreneurs in other countries and how specific country-level institutional differences contribute differently to levels and types of entrepreneurship.
In this paper, we examine the effects of pro-market institutions on both formal and informal entrepreneurship. While formal entrepreneurship has long been studied in economic literature, informal entrepreneurship has been less frequently discussed. The purpose of this paper, therefore, is not only to examine the impact of pro-market institutions, but also to foster a better understanding of, and introduce a method to measure, informal entrepreneurship. For the purpose of this paper, pro-market institutions are broken into their two main components: economic liberalization and governance levels. The arguments posit that economic liberalization positively impacts both formal and informal entrepreneurship while governance levels have a positive impact on formal entrepreneurship but a negative effect on informal entrepreneurship. Furthermore, governance levels reduce informal entrepreneurship to a greater extent than they increase formal entrepreneurship, resulting in a net reduction in entrepreneurial activity. The analyses of a panel covering 51 countries from 2002–2009 provide robust support for these arguments.
The terrorist threat remains a disturbing issue for the early 1990s. This book explores whether terrorism can ever be morally justifiable and if so under what circumstances. Professor Burleigh Taylor Wilkins suggests that the popular characterisation of terrorists as criminals fails to acknowledge the reasons why terrorists resort to violence. It is argued that terrorism cannot be adequately understood unless the collective responsibility of organised groups, such as political states, for wrongs allegedly done against the groups which the terrorists represent is taken into account. Terrorism and Collective Responsibility provides an analysis of various models of collective responsibility, and it takes into account recent discussions of military responsibility and business ethics. The book also explores the problems that terrorism poses for the just war tradition. The arguments of prominent philosophers against terrorism are critically examined and the claim that terrorism necessarily violates the rights of innocent persons is considered. Wilkins sets forth an original definition of terrorism that is sure to provoke controversy.
The purpose of this chapter is to invigorate a research program aimed at understanding the impact of ethnic and political stratification on MNE growth and activity in the BRICS countries. Using contextual data from India, this inter-disciplinary chapter highlights the link between systemic political conditions and MNE strategy and success. Through the lens of intergroup contact theory, from international relations, and institutional theory, we argue that it is advantageous for BRICS MNEs to adopt a strategy of social activism, to avoid their profit being curtailed by ethnic and political conflict. By examining BRICS MNEs at the firm level, in conjunction with national-level political and ethnic factors that must be overcome before these firms can expand beyond their respective borders, this study aims to understand and highlight unique characteristics that propagate the proliferation and success of these MNEs in a globalizing world.
Engaging Organizational Communication Theory and Research: Multiple Perspectives is a book unlike any in the field. Each chapter is written by a prominent scholar who presents a theoretical perspective and discusses how he or she “engages” with it, personally examining what it means to study organizations. Rejecting the traditional model of a “reader,” this volume demonstrates the intimate connections among theory, research, and personal experience. Engaging Organizational Communication Theory and Research is an indispensable resource for anyone wishing to be familiar with current trends in the field of organizational communication.
In a post Great Recession (2008) world, advanced economies have been able to use market liberalization strategies to rebound from the economic devastation. Emerging markets, however, have not fully experienced the same recovery. As the world continues to globalize, and the interaction between economies intensifies, it has become increasingly difficult to ignore the growing “north-south” gap. Is it possible to motivate development to mitigate this inequality? One proposed solution has been entrepreneurship and the creation of new businesses. Further, many scholars have suggested that pro-market reforms, and a reduction of regulatory barriers, are critical to promoting entrepreneurial activity. But in a globalizing world, are state-level policies sufficient? Can transnational actors, such as international non-governmental organizations (INGOs), complement the expansion of entrepreneurship in emerging markets? The purpose of this chapter is to theoretically examine the influence of INGOs on local and international entrepreneurial activity stemming from emerging markets in light of globalization and the aftermath of the global economic crisis. By using contextual evidence from Nigeria, this chapter examines how INGOs can be used as vehicles to promote entrepreneurial activity in emerging markets.
In light of globalization, the international business literature has focused on the economic impacts of interconnectedness resulting in new trade patterns, monetary and labor flows, and global governance. The political science literature has focused on the possibility of new liberal norms allowing for collective action and inter-state relations. While these two theoretical paths have been studied independently, less attention has been given to the interplay between them. Does the changing political environment impact multinational corporations, entrepreneurial activity, and firm performance? The purpose of this chapter is to understand and analyze entrepreneurship in emerging markets through the lens of intergovernmental organizations, global governance and geopolitics, and the changing nature of the over-arching political system. Through a case study of Peru, this chapter aims to provide theoretical insight to the discussion of entrepreneurship within emerging markets to better understand the global antecedents of entrepreneurial activity in order to propel economic development.
Long a fruitful area of scrutiny for students of organizations, the study of institutions is undergoing a renaissance in contemporary social science. This volume offers, for the first time, both often-cited foundation works and the latest writings of scholars associated with the "institutional" approach to organization analysis. In their introduction, the editors discuss points of convergence and disagreement with institutionally oriented research in economics and political science, and locate the "institutional" approach in relation to major developments in contemporary sociological theory. Several chapters consolidate the theoretical advances of the past decade, identify and clarify the paradigm's key ambiguities, and push the theoretical agenda in novel ways by developing sophisticated arguments about the linkage between institutional patterns and forms of social structure. The empirical studies that follow--involving such diverse topics as mental health clinics, art museums, large corporations, civil-service systems, and national polities--illustrate the explanatory power of institutional theory in the analysis of organizational change. Required reading for anyone interested in the sociology of organizations, the volume should appeal to scholars concerned with culture, political institutions, and social change.
Contents BOLI JOHN THOMAS GEORGE M. Part One: 1. BOLI JOHN THOMAS GEORGE M. 2. BOLI JOHN LOYA THOMAS A. LOFTIN TERESA Part Two: 3. FRANK DAVID JOHN HIRONAKA ANN MEYER JOHN W. SCHOFER EVAN TUMA NANCY BRANDON 4. BERKOVITCH NITZA 5. KIM YOUNG S. 6. FINNEMORE MARTHA Part Three: 7. LOYA THOMAS A. BOLI JOHN 8. BARRETT DEBORAH FRANK DAVID JOHN 9. CHABBOTT COLETTE 10. SCHOFER EVAN BOLI JOHN
Global economic transactions such as foreign direct investment (FDI) must extend over an institutional abyss between the jurisdiction, and therefore protection, of the states involved. Intergovernmental organizations (IGOs) represent an important attempt to span this abyss. The authors use a network approach to demonstrate that the connections between two countries, through joint membership in the same IGOs, are associated with a large positive influence on the FDI that flows between them. Moreover, they show that this effect occurs not only in the case of connections through economic IGOs but also through those with social and cultural mandates. This demonstrates that relational governance is important and feasible in the global context, even for the most risky transactions. The authors also examine the interdependence between the IGO network and the domestic institutions of states. Social and cultural IGO connections do more and economic IGO connections less to increase FDI when the target country is more democratic.
Mahtaney explores the next phase of economic growth, by arguing that globalization is a mindset.
Purpose
– The purpose of this paper is to combine notions from the POST Model of Economic Geography and Learning Theory from International Business to study how firms may enhance their responsiveness to institutional processes and changes through different forms of international learning. Focussing on one form of institutional changes, namely pro-market reforms, the paper analyzes how firms may boost the potential benefits from such changes through international strategies that increase their access to knowledge spillovers and absorptive capacity. These strategies include international product diversification, enhancing innovation capabilities, informal institutional exposure, accumulated internationalization knowledge, and overall experiential knowledge.
Design/methodology/approach
– The hypotheses are tested using generalized least squares models with AR(1) panel-specific autocorrelation and heteroskedasticity correction. Based on the preliminary analyses performed in these studies, the author also executes a Hausman test, Bartlett’s test, and James/Alexander’s test. The results of these analyses indicate that the use of random effects is appropriate; that moderating effects are present; and that multivariate analyses using these moderators are suitable, respectively.
Findings
– The results indicate that pro-market reforms have a positive and significant effect on the profitability of firms from developing countries. Furthermore, they provide support for the positive moderating effects of international product diversification, innovation capabilities, informal institutional exposure, accumulated internationalization knowledge, and overall experiential knowledge. Together, these findings suggest that through their international strategic decisions, MNEs can enhance their access to knowledge and become more responsive to institutional changes in their home market.
Research limitations/implications
– This paper contributes to the economic geography literature by linking the POST Model with the classification of types of knowledge from Learning Theory. The paper analyzes how characteristics of place, organization, space, and time play a different role for each of the three basic types of knowledge that is relevant for international firms: institutional, business, and internationalization. Furthermore, the paper contributes to the literature on reforms and firm profitability by delving deeper into the moderating effect of strategic decisions on the relationship between reforms and firm performance. This allows us to have a deeper comprehension of how various sources of international learning may enhance the responsiveness of firms to institutional changes.
Originality/value
– The paper provides several important contributions to the international strategy literature. First, it contributes to Learning Theory by combining it with the POST Model of Economic Geography to study how each of the three sources of knowledge (and their subcomponents) can be further broken down into factors of place, organization, space, and time. Second, it contributes to the literature of institutional change by studying how knowledge acquired through vastly different means can provide firms with sources of competitive advantage over other local competitors when responding to institutional changes in their home market. Third, it contributes to the literature on reforms and profitability by studying five novel moderators of this relationship.
Purpose - The purpose of this chapter is to examine how multinational firms have an added incentive to promote corporate social responsibility (CSR) in order to maximize profitability and adapt to the changing normative climate in a post Great Recession economy. Methodology/approach - This chapter builds on institutional theory using contextual evidence from Mexican firms to provide insight into the varying pressures facing local and multinational enterprises in emerging markets. Findings - This chapter highlights different sets of pressures faced by emerging market firms, both domestic and multinational. This chapter contends that emerging market multinational enterprises (EMNEs) are incentivized to uphold CSR practices to a greater degree than domestic firms from emerging markets. Research limitations - Contextual evidence for this chapter was confined to Mexican firms, which provides an opportunity for future research to be carried out from alternative emerging markets. Social and practical implications - From a social standpoint, this chapter sheds light on the challenges of globalization and the current rift between national level policies, coinciding behavior, and global expectations. From a practical standpoint, this chapter could inform and alert CEOs and practitioners to the nuances of CSR expectations, contingent upon the sphere in which they choose to operate in. Originality/value - This chapter contributes to the growing dialogue on EMNEs while highlighting the schism between national and global expectations for CSR. Further, this chapter adds to the literature on institutional theory by connecting it to the in-group and out-group literature from sociology.
We examine the relationship between immigrant concentration and entrepreneurial activities in a country. Building on the role of knowledge in entrepreneurship, we hypothesize that immigrant concentration is positively related to the prevalence of total, growth-oriented, and export-oriented entrepreneurial activities through the influx of immigrants’ diverse knowledge into a country. We further suggest that this relationship is positively moderated by favorable attitudes of natives toward immigrants. Using data of 37 countries between 2006 and 2009 from the Global Entrepreneurship Monitor, we find support for the positive relation between immigration and entrepreneurial activities in developed countries and some support in developing countries. We also find support for the moderating influence of a nation’s attitude toward immigrants. Our study has implications for theories on entrepreneurship, knowledge, and immigration.
This conceptual paper focuses on the relationship between biculturalism and team performance. Building on Transactive Memory Theory, I argue that bicultural team members have a latent potential to enhance the transactive memory systems and performance of their teams. However, I propose that this potential is only fully realized when the characteristics of the individual and team are synchronized. More specifically, I argue that biculturals may have a different impact on culturally homogenous teams, culturally diverse teams, and teams characterized by a deep cultural faultline, depending on whether the biculturals share neither, one, or both of their cultures with other members of the team. In order to integrate these ideas, I develop a dynamic, multi-level theoretical model that delineates the relationships in question.
The word 'legitimacy' is seldom far from the lips of practitioners of international affairs. The legitimacy of recent events - such as the wars in Kosovo and Iraq, the post-September 11 war on terror, and instances of humanitarian intervention - have been endlessly debated around the globe. And yet the academic discipline of IR has largely neglected this concept. This book asks that legitimacy be taken seriously, both as a facet of international behaviour with practical consequences, and as a theoretical concept necessary for understanding that behaviour. It offers an historical and theoretical account of international legitimacy. It argues that the development of principles of legitimacy lie at the heart of what is meant by an international society, and in so doing fills a notable void in English school accounts of the subject. The book's conclusion, in the end, is that legitimacy matters, but in a complex way. Legitimacy is not to be discovered simply by straightforward application of other norms, such as legality and morality. Instead, legitimacy is an inherently political condition. What determines its attainability or not is as much the general political condition of international society at any one moment, as the conformity of its specific actions to set normative principles.
This article synthesizes the large but diverse literature on organizational legitimacy, highlighting similarities and disparities among the leading strategic and institutional approaches. The analysis identifies three primary forms of legitimacy: pragmatic, based on audience self-interest; moral, based on normative approval: and cognitive, based on comprehensibility and taken-for-grantedness. The article then examines strategies for gaining, maintaining, and repairing legitimacy of each type, suggesting both the promises and the pitfalls of such instrumental manipulations.
This volume brings together the recent essays of Richard Ned Lebow, one of the leading scholars of international relations and US foreign policy. Lebow's work has centred on the instrumental value of ethics in foreign policy decision making and the disastrous consequences which follow when ethical standards are flouted. Unlike most realists who have considered ethical considerations irrelevant in states' calculations of their national interest, Lebow has argued that self interest, and hence, national interest can only be formulated intelligently within a language of justice and morality. The essays here build on this pervasive theme in Lebow's work by presenting his substantive and compelling critique of strategies of deterrence and compellence, illustrating empirically and normatively how these strategies often produce results counter to those that are intended. The last section of the book, on counterfactuals, brings together another set of related articles which continue to probe the relationship between ethics and policy. They do so by exploring the contingency of events to suggest the subjective, and often self-fulfilling, nature of the frameworks we use to evaluate policy choices.
This paper combines notions from the POST Model of Economic Geography and Learning Theory from International Business to study how firms may enhance their responsiveness to institutional processes and changes through different forms of international learning. Focusing on one form of institutional changes, namely pro-market reforms, we analyze how firms may boost the potential benefits from such changes through international strategies that increase their access to knowledge spillovers and absorptive capacity. These strategies include internationalizing through joint ventures, acquisitions, subsidiary network control, industry diversification, enhancing innovation capabilities, subsidiary network centralization, institutional exposure, and extant experiential knowledge.
Building on Knowledge-Based Theory, I study the relationship between pro-market reforms, firm internationalization strategy, and firm profitability in developing countries. I argue that pro-market reforms augment firm profitability because they increase the competitiveness of local markets, allowing firms to increase their market experiential knowledge and ultimately their profitability. However, I also explain that the effects of reforms on firm profitability may be enhanced by the international strategic choices of firms because such choices may increase the potential for absorptive capacity and learning. I propose that developing-country firms that operate in international markets increase their market experiential knowledge by learning how to compete at international levels, which makes it easier to be competitive in their home market in response to reforms. This effect is especially pronounced for developing-country firms that establish subsidiaries in advanced economies, as it forces them to develop their market knowledge to the highest international levels. It is also stronger for firms that become multinationals before the start of pro-market reforms implementation because such firms have a head-start over other local firms by learning how to compete at international levels before the local market becomes more competitive. In short, I argue that the different aspects of a firm’s internationalization that help increase its market experiential knowledge enhance the benefits of pro-market reforms on firm profitability because they make it easier for the firm to compete successfully in a market where such reforms are implemented. Using a panel of the largest 500 companies in Latin America from 1989–2008 and data from multiple sources, the analyses provide robust support for these arguments.
Today civil society groups are important actors on the international stage. Nongovernmental organizations (NGOs) have taken roles that traditionally have been the sole province of states or intergovernmental institutions. NGOs are not bound to act in the public interest. Neither are their actions justified by formal democratic procedures, as is the case with states. Therefore, questioning the legitimacy of their actions is a crucial thing to do. This article presents the results of empirical research on the legitimacy of internationally operating NGOs (INGOs). From the interview data seven types of legitimacy are distinguished. These do not give us a comprehensive categorisation of sources of legitimacy; rather they provide tools to counterbalance existing views of legitimacy. The aim is to develop concepts for evaluating the legitimacy of INGO activities which are grounded in theory as well as in practice. Before analysing the empirical results concerning NGO legitimacy, some views on civil society will be discussed with a focus on the problem of legitimacy.
In this study, we evaluate whether the increase in the number of intergovernmental organizations (IGOs) has resulted in their increased use for foreign policy behavior by the nations of the world. This question is examined in three related ways: (1) the aggregate use of IGOs for foreign policy behavior; (2) the relationship between IGO membership and IGO use; and (3) the kinds of states that use IGOs. Our data base consists of the 35 nations in the CREON (Comparative Research on the Events of Nations) data set for the years 1959–1968.
The main findings are that IGOs were employed over 60 percent of the time with little fluctuation on a year-by-year basis, that global and “high politics” IGOs were used more often than regional and “low politics” IGOs, that institutional membership and IGO use were generally inversely related, and that the attributes of the states had limited utility in accounting for the use of intergovernmental organizations. Some of the theoretical implications of these findings are then explored.
This paper aims to understand why some Entrepreneurship Education (EE) initiatives in secondary schools are ineffective. Specifically, the goal of this paper is to identify mistakes, which could have been responsible for the failures and to derive some useful lessons from them. From a theoretical perspective, it reviews entrepreneurship literature in order to examine the main five constitutive elements of EE in secondary schools: what should the goals of EE be, who should attend EE, who should teach it, what should be taught and how it should be taught. From an empirical perspective, it provides descriptions of the unsuccessful EE initiatives under investigation and discusses failure by collecting the opinions of stakeholders (teachers, principals and students) involved.
We draw from the recently developed construct of institutional distance to propose a framework that explains foreign direct investment by the multinational enterprise. We decompose the institutional distance between the host and home countries into distances on the regulative, normative, and cognitive dimensions of institutions, and match these with firm-level attributes to produce propositions regarding host country selection and foreign market entry strategies.
This paper took a study of Nigeria's growing unemployment situation and how it increasingly dwindles the potentials of the country, especially following official figures from the Bureau of statistics that puts the figure at about 20% (about 30million), which still did not include about 40million other Nigerian youths captured in World Bank statistics in 2009. By implication, it means that out of the 150 million Nigerians, 50% are unemployed, or worse still, at least 71% of Nigerian youths are unemployed. These days, employment creation is no longer the prerogative of government but, a joint effort between the public and private sectors. It is in this regard that this paper seeks a permanent solution to this endemic and pandemic phenomenon in Entrepreneurship development. In doing so, the paper is divided into eight segments, covering the background of the study, literature review and theoretical discourse on entrepreneurship development in Nigeria and its potency in employment generation as well as its problems and prospects. At the end of the study, having utilized the secondary source of data generation to source data for the paper, relying extensively on current articles from ardent scholars on entrepreneurship development and government statistical documentations, the paper made several findings and recommendations among which is that government should make entrepreneurship sellable to the people by inculcating it into the educational curriculum at every strata of the educational sector and also utilize a re-modeled NYSC scheme to educate the youths more on the importance, essence and need for entrepreneurship development especially on a practical basis and then find a means of supporting these entrepreneurship projects cutting across all spheres of the country; and also create enabling environment for entrepreneurship to thrive by ensuring social security and adequate infrastructural facilities.
About HPG The Humanitarian Policy Group at the Overseas Development Institute is Europe's leading team of independent policy researchers dedicated to improving humanitarian policy and practice in response to conflict, instability and disasters. In brief • Non-governmental organisations have become a crucial pillar of the international humanitarian architecture. • The NGO landscape is dominated by a handful of 'giants' in the US and Europe. These agencies account for the lion's share of aid resources, and set the terms of debate for the rest of the community. • In the altered international environment following 11 September, competition for funding, philosophical disputes and cultural differences are set to become still more pronounced.
In this dissertation, I ask: Which attributes of intergovernmental organizations (IGOs) are conducive to member state interest convergence? Scholars testing the effects of IGOs on state behavior usually control for state interests in order to counter realist arguments. However, by doing so, they may be missing one channel through which IGOs ultimately affect state behavior - through changes in state interests. While research on socialization informs the study of interest convergence, it is insufficient to answer the question of which attributes of IGOs make them conducive to state interest convergence. These studies consist largely of case studies with which one cannot easily control for material factors that affect member state interests and they focus on the induction of new member states into an existing community. I argue instead that all states are subject to the acceptance of ideas (both normative and cognitive) that can affect how they define their interests and that it is more appropriate to look at pairs of states to assess their interaction affects their similarity to each other.I argue that greater interaction between member states provides more opportunities for the transmission of ideas between them and therefore greater convergence in how they define their interests. I therefore expect IGOs with more substructures and covering more issues to be more conducive to interest convergence. I also propose that different types of similarity between states (regime type and cultural similarity) can make states predisposed to the acceptance of ideas from one another and thus enhance the degree to which intra-IGO interaction may lead to interest convergence. The aforementioned hypotheses are tested in statistical models, using an original dataset of IGOs or IGO structures as the key independent variables. The findings provide support for the theory that more interaction within IGOs leads to greater interest convergence. The findings with regard to dyadic attributes are mixed, providing support for the idea that dyads with common cultural attributes experience greater interest convergence as a result of interaction within IGOs than other dyads, while domestic regime type similarity has the opposite effect to that expected.
Why do international non-governmental organizations (INGOs) ‘name and shame’ the countries that they do? Do they target states that provide domestic groups with political opportunities to collaborate with INGOs, or do they target states that repress domestic activism? Focusing on the case of the environment, we test the empirical validity of these competing hypotheses. We find that environmental INGOs target countries as a substitute for national political institutions that encourage domestic activism or a lack of environmental institutions. This is in contrast to a ‘strategic complementarity’ approach, where INGOs would target ‘easy’ countries in which domestic institutions would bolster the effectiveness of international shaming. Using a novel data set of environmental INGO shaming by over 2,000 organizations, we find support for the strategic substitution approach: INGOs shame autocratic regimes and those countries that lack environmental ministries. This article offers insight into the strategies that INGOs use to shape state behavior.
Plentiful research suggests that embeddedness in alliance networks influences firms’ innovativeness. This research, however, has mostly overlooked the fact that interorganizational ties are themselves embedded within larger institutional contexts that can shape the effects of networks on organizational outcomes. We address this gap in the literature by arguing that national institutions affect the extent to which specific network positions, such as brokerage, influence innovation. We explore this idea in the context of corporatism, which fosters an institutional logic of collaboration that influences the broker’s ability to manage its partnerships and recombine the knowledge residing in its network as well as the extent of knowledge flows among network participants. We argue that differences in institutional logics lead brokerage positions to exert different effects on firm innovativeness. We propose that the firm spanning structural holes obtains the greatest innovation benefits when the firm the broker or its alliance partners are based in highly corporatist countries, or under certain combinations of broker and partner corporatism. We find support for these ideas through a longitudinal study of cross-border fuel cell technology alliance networks involving 109 firms from nine countries between 1981 and 2001.
Building on the institution-based view of strategy, I study the impact of pro-market reforms on developing country firm multinationality. I propose that reforms increase multinationality by reducing institutional imperfections and increasing domestic competition, thus inducing firms to expand internationally. However, I argue the effect is higher for private firms than state firms because the former are compelled to be more responsive to institutional changes and opportunities in order to survive. Three-level RCM Poisson analyses of a panel of the largest firms in Latin America for the period 1989 to 2009 provide robust support for the arguments.
The moment is ripe to revisit the idea of global health. Despite tens of billions of dollars spent over the past decade under the auspices of global health, 1 a consensus defi nition for this term remains elusive. 2–5 Yet the way in which we understand global health critically shapes not only which and whose problems we tackle, but also the way in which we raise and allocate funds, communicate with the public and policy makers, educate students, and design the global institutions that govern our collective eff orts to protect and promote public health worldwide.
This research note examines the relationship between economic development and gender equality. Drawing on the concept of the Kuznets curve, the authors hypothesize that the relationship between economic development and gender inequality is curvilinear (S shaped), with three distinct stages. In the first stage, economic development improves gender equality because it enables greater female labor-force participation. An independent income stream increases women's intrahousehold bargaining power. The opportunity to develop human capital confers greater political and social recognition. In the second stage, labor-force stratification and gender discrimination encourage divergent male/female income trajectories, which decrease the opportunity costs of female labor-force withdrawal and lend traction to social resistance against burgeoning gender norms. Consequently, there is a deceleration in initial equality gains. In the final stage, gender equality again improves, as greater educational participation and technological advancement provide new employment opportunities for women, increase the opportunity costs of staying home, and encourage the evolution of new social institutions and norms that overcome prior discriminatory practices. The authors find support for this argument in statistical tests of the relationship between economic development and gender equality on a panel of 146 developing countries for the period 1980–2005. They employ four indicators that reflect distinct dimensions of women's political, social, and economic status. They find economic development positively influences gender equality when per capita incomes are below 8,000–10,000. These equality gains level off or decline slightly in the second stage, from 25,000–$30,000. Beyond this level, economic development is again associated with improvements in gender equality. The key implication is that the effect of economic development on gender equality is contingent on the level of development. Policymakers and social activists should develop policy correctives to ensure that economic development confers improvements in gender equality across phases of development.
World culture in the post-war era of rapid globalization is increasingly organized, rationalized, and ubiquitous. The core of world culture - rationalized science, technology, organization, professionalization, etc. - has been thoroughly institutionalized. For all kinds of actors, global principles and procedures for the production of identity, action, and progress have expanded. Ontologically, individualism has been rising rapidly while collective identities have also strengthened in some respects. Normatively, the global moral order has become increasingly organized and broadly activated, particularly in terms of the ideology of human rights. In a dualistic process, world culture generates both extensive homogenization and the legitimation of certain forms of difference. Though some countervailing forces are evident, world culture is likely to continue to become further codified, institutionalized, and consequential in coming decades.