Chief marketing officer and internationalization—a resource-based view

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Cher-Min Fong ◽  
Hsing-Hua Stella Chang
Keyword(s):  
Emerging Market ◽  
Work Organization ◽  
Alternative Strategy ◽  
Executive Succession ◽  
Mediation Model ◽  
Developed Country ◽  
Content Type ◽  
Chief Marketing Officer ◽  
Brand Competitiveness ◽  
Positive Effect

PurposeThis study aims to examine whether the selection of a new outsider chief marketing officer from a developed-country incumbent firm with an established brand can serve as an alternative strategy to the acquisition of developed-country firms in benefiting the internationalization of a postselection emerging-market brand marketer that suffers from late-mover disadvantages.Design/methodology/approachA pretest (survey) and two main studies (experiments) were conducted to examine the proposed mediation model of “Chief Marketing Officer background—enhancement of capabilities—brand competitiveness”.FindingsAn emerging-market brand marketer gains enhanced resources and capabilities when a new chief marketing officer is recruited from a developed-country incumbent with a superior reputation, leading to improved brand competitiveness. This positive effect accrues from the new chief marketing officer's background (i.e. prior work organization) spilling over to his/her new emerging-market employer.Originality/valueThis research integrates the research streams of emerging-market firm internationalization, chief marketing officer and executive succession to provide an alternative strategy for emerging-market firms to overcome late-mover disadvantages in global markets.

External technology acquisition, exploitation and process innovation performance in emerging market small and medium sized enterprises: the moderating role of organizational slack

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Thammanoon Charmjuree ◽  
Yuosre F. Badir ◽  
Umar Safdar
Keyword(s):  
Open Innovation ◽  
Emerging Market ◽  
Process Innovation ◽  
Innovation Performance ◽  
Mediating Effect ◽  
Content Type ◽  
Technology Acquisition ◽  
The Relationship ◽  
Unabsorbed Slack ◽  
Positive Effect

PurposeThis study is among the very few to examine the firm's simultaneous use of both dimensions of open innovation and its influences on the firm's process innovation performance (PIP). Specifically, the authors consider the relationship between firm's external technology acquisition (ETA) and external technology exploitation (ETE) and examine their direct, indirect and mediating effect on the firm's PIP. The authors also examine the moderating effect of the organizations' unabsorbed slack (UASL) on the relationship between ETA and ETE.Design/methodology/approachAnalyzing data collected from 311 small- and medium-sized software development firms in emerging market; Thailand, we show that both ETA and ETE have a positive effect on PIP and that ETE fully mediates the relationship between ETA and PIP.FindingsThe authors show that both ETA and ETE have a positive effect on PIP and that ETE fully mediates the relationship between ETA and PIP. Moreover, the relationship between ETA and ETE is positively moderated by the firms' unabsorbed slack (UASL) and that the influence of ETA on PIP through ETE is stronger under higher unabsorbed slack.Originality/valueThe authors extend the “traditional” performance outcome of outbound dimension of open innovation concept, which focuses exclusively on commercialization and market (Chesbrough, 2003b), by showing that ETE positively influences the firm's PIP. Moreover, the study explains the mechanism through which ETA influence the firm's PIP by proposing that ETE fully mediates the relationship between ETA and PIP.

Social stratification, materialism, post-materialism and consumption values

2016 ◽  
Vol 28 (4) ◽  
pp. 580-593 ◽  
Author(s):  
Ying Wang
Keyword(s):  
Social Status ◽  
Social Stratification ◽  
Emerging Market ◽  
Eastern Coast ◽  
Survey Method ◽  
Chinese Consumers ◽  
Content Type ◽  
Consumption Values ◽  
The Impact ◽  
Positive Effect

Purpose The increased income and modernity have greatly impacted Chinese consumers’ attitudes and purchasing behavior, making them more sophisticated than ever before. The purpose of this paper is to examine the interrelationship among social stratification, materialism, post-materialism, and consumption values contributing uniquely to understanding Chinese consumers in the context of drastic economic and social changes. Design/methodology/approach Survey method was used to test the proposed model and answer the research questions. The data were collected in Shanghai, the largest city on the eastern coast of China. A multi-stage random sampling strategy was employed to acquire a representative sample of the population in the city. A total of 2,910 completed questionnaires were used for data analysis. Findings The results show that objective social status has a negative effect on post-materialism, whereas subjective social status has a positive effect. Social status does not seem to have a significant effect on materialism. Post-materialism also has a strong positive effect on the consumption orientations of emotional value and social value. Practical implications China was chosen as the research context in this study. As a booming emerging market, China provides an intriguing platform to examine social stratification and materialism. At the macro level, China is developing a new social structure due to the drastic social and economic changes. At the individual consumer level, as China moves further into a market-oriented economy, traditional Chinese values have changed rapidly. Western consumption values and phenomena such as overspending and conspicuous consumption have begun to take hold in China, especially among young people. It is critical for business managers to understand the shift of consumption values among Chinese in order to successfully capture this market. Originality/value A cursory review of past literature reveals that researchers have examined materialism primarily along two avenues: one puts materialism within a macro framework involving political interest or civic engagement (e.g. Davis et al., 1999; Inglehart, 1990); the other one takes a micro perspective exploring the impact of materialism on consumer attitudes and behavior (e.g. Park and Rabolt, 2009; Xiao and Kim, 2009). However, little research has been conducted linking the two approaches. The present study intends to examine the interrelationship among social stratification, materialism, post-materialism, and consumption values. Hopefully, it will shed some light on the connection between macro environment and micro consumer behavior. Furthermore, the current research provides evidences for the emerging transformation to a post-materialistic marketplace.

The dual effect of foreign competition on emerging market firms' internationalization

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hongquan Chen ◽  
Saixing Zeng ◽  
Chongfeng Wu ◽  
Haiping Fu
Keyword(s):  
Environmental Factors ◽  
Home Country ◽  
Emerging Market ◽  
Foreign Competition ◽  
Host Countries ◽  
Content Type ◽  
Negative Effect ◽  
Emerging Market Firms ◽  
Foreign Competitors ◽  
Positive Effect

PurposeThe authors develop a theoretical framework of how foreign competition in a firm's home country jointly interacts with other environmental factors to influence the internationalization pace. This study moves beyond the debate on whether foreign competition promotes or inhibits the internationalization pace by unpacking the nature of pace across strategic and operational dimensions. By differentiating the internationalization paces of market scope and international commitment, the study results show that foreign competition has a positive effect on the former and a negative effect on the latter. This indicates that the determinants of different paces are conditional upon the different knowledge types among foreign competitors.Design/methodology/approachUsing a panel data set of Chinese construction corporations over the period from 2009 to 2015, the authors extend previous research on the effect of home country environment on internationalization behavior in an emerging economy by examining the effects of the interplay between foreign competition in home country and industrial contexts. The authors also explore the moderating effect of subnational institutions on the relationship between foreign competition and internationalization pace. They use a Poisson model and a GEE model to examine the main effects and moderating effects involved.FindingsThe results indicate that industry dynamism strengthens the positive effect of foreign competition and the pace of market scope, while industry munificence weakens the negative effect of foreign competition and the pace of international commitment. The authors’ findings support the coexistence of “pushing” and “pulling” effects of environmental factors from a firm's home country. The authors extend the argument of “institutional escapism” by focusing on subnational institutions. They show that firms located in a region with a low level of marketization are more likely to respond by accelerating the pace of their international expansion to escape from their home country.Originality/valueThe authors’ findings have implications for practitioners and policymakers working with emerging market firms (EMFs). The authors suggest that local governments should consider building high-quality institutions that can reduce the possibility of investment opportunities escaping EMFs. The authors’ findings indicate that international knowledge from foreign competitors may also assist EMFs in understanding more about the cultural environment before entering host countries, although it cannot help them to resolve cultural uncertainty when operating in host countries. Hence, managers should carefully evaluate their competitiveness before they decide to engage in global competition at an accelerated rate.

scholarly journals Greenfield investments or acquisitions? The influence of distance on emerging-market multinationals

2019 ◽  
Vol 57 (5) ◽  
pp. 1223-1236 ◽  
Author(s):  
Laura Rienda ◽  
Enrique Claver-Cortes ◽  
Diego Quer ◽  
Rosario Andreu
Keyword(s):  
Emerging Market ◽  
Mode Choice ◽  
Behavioral Pattern ◽  
Foreign Direct Investments ◽  
Developed Country ◽  
Content Type ◽  
Emerging Market Multinationals ◽  
Greenfield Investments ◽  
The Relationship ◽  
Establishment Mode

Purpose In recent years, emerging-market multinationals (EMMs) are receiving significant attention in the international business literature. They represent a challenge for the conventional wisdom, mainly derived from the behavior of developed-country multinationals (MNEs). The purpose of this paper is to analyze how different cross-national distances, namely cultural, administrative, geographic and economic, may affect establishment mode choice by Indian MNEs. Design/methodology/approach Data are collected from 328 outward foreign direct investments carried out by Indian MNEs in 73 countries from 1991 to 2014. A binomial logistic regression analysis is used to test the hypotheses. Findings The results show that cultural and administrative distances negatively affect the choice of an acquisition. Moreover, firm size, acquisition experience, host country experience, industry, belonging to the G20 alliance and being a state-owned enterprise also influence establishment mode choice. Originality/value This is one of the first studies that investigate the relationship between distances and establishment mode choice by Indian MNEs. The findings suggest that they follow a different behavioral pattern among EMMs, since their internationalization decisions are closer to those of developed-country MNEs.

Capital structure of firms when taxes are removed

2015 ◽  
Vol 31 (1) ◽  
pp. 51-63 ◽  
Author(s):  
Bader Alhashel
Keyword(s):  
Capital Structure ◽  
Firm Value ◽  
Emerging Market ◽  
Bank Lending ◽  
Content Type ◽  
Access To Credit ◽  
Efficient Access ◽  
Tax Benefits ◽  
Positive Effect ◽  
Practical Implications

Purpose – The purpose of this paper is to further the understanding of the non-tax benefits of debt. Design/methodology/approach – This paper analyzes the capital structure of firms when taxes are removed by analyzing firms in an emerging market, Kuwait, where personal and corporate taxation does not exist. Findings – The leverage of firms in markets with no taxes are affected by the same leverage factors that affect firms where taxes are present. Non-tax benefits are economically significant and are almost 16 percent of firm value for the average leveraged firm. Practical implications – Given such a finding and the positive effect of debt on firm value, there should be policies to facilitate bank lending and more efficient access to credit for firms. Originality/value – The paper provides an estimate of the size of the non-tax benefits of debt.

Understanding electronic and face-to-face word-of-mouth influencers: an emerging market perspective

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chukwunonso Oraedu ◽  
Ernest Emeka Izogo ◽  
Justie Nnabuko ◽  
Ike-Elechi Ogba
Keyword(s):  
Service Quality ◽  
Word Of Mouth ◽  
Service Providers ◽  
Emerging Market ◽  
Partial Least Square ◽  
Content Type ◽  
Face To Face ◽  
Service Setting ◽  
Relationship Value ◽  
Positive Effect

Purpose This paper aims to advance knowledge on the influencers of positive electronic and face-to-face word-of-mouth (WOM) behaviour by examining an interrelationship model of relationship quality (RQ) components and antecedents in the telecommunication service setting. Design/methodology/approach A survey design was used to generate data from informants and was analysed using the partial least square structural equation modelling technique. Findings Findings indicate that service quality and relationship value have positive effect on trust and satisfaction, while service communication is positively related to trust but not satisfaction. Both trust and satisfaction have positive effect on face-to-face word-of-mouth (fWOM) and electronic word-of-mouth (eWOM). Additionally, relationship value directly influences fWOM but not eWOM, while service quality did not directly influence either mode of WOM behaviour. Research limitations/implications The study was conducted in a single service setting, and thus, outcomes cannot be generalised. Further, the authors limited the study of electronic WOM to only Facebook, WhatsApp and Twitter media. As such, caution should be applied in generalising the research findings across contexts. Practical implications This paper provides a guide on how telecom service managers can develop and manage their relationship network. Specifically, it demonstrates how business referrals can be generated and harnessed to build customer retention from different relationship building strategies. The study suggests that service providers that deliver quality services, engineer superior value and provide reliable information are better placed to develop resounding relationships with customers and consequently get them to engage in positive referrals. Originality/value This study is unique because it investigates the antecedents of WOM from an inter-relational perspective. By simultaneously examining the direct effects of RQ, and its antecedents on both fWOM and eWOM in a single model, the authors illustrate the antecedents and outcomes of RQ in a distinctive way.

Epidemiological shift of hepatitis A in EAGLE countries – a projection

2019 ◽  
Vol 33 (1) ◽  
pp. 110-119
Author(s):  
Nidhi Ghildayal
Keyword(s):  
Mortality Rate ◽  
Hepatitis A ◽  
Economic Status ◽  
Emerging Market ◽  
Rapid Development ◽  
Weighted Average ◽  
Prototype Model ◽  
Developed Country ◽  
Content Type ◽  
Productivity Costs

Purpose Many world regions are developing quickly and experiencing increasing levels of sanitation, causing an epidemiological shift of hepatitis A in these areas. The shift occurs when children avoid being infected with the disease until a later age due to cleaner water sources, food, and hygiene practices in their environment; but if they are infected at later age, the disease is much more severe and lost productivity costs are higher. The purpose of this paper is to examine what could occur if an epidemiological shift of the disease continues in these regions, and what type of future burden hepatitis A may have in a hypothetical rapidly developing country. Design/methodology/approach Initially, annual hepatitis A mortality was regressed on the Human Development Index (HDI) for each country classified as an emerging and growth-leading economy (EAGLE) to provide an overview of how economic development and hepatitis A mortality related. Data from the various EAGLE countries were also fit to a model of hepatitis A mortality rates in relation to HDI, which were both weighted by each country’s 1995–2010 population of available data, in order to create a model for a hypothetical emerging market country. A second regression model was fit for the weighted average annual hepatitis A mortality rate of all EAGLE countries from the years 1995 to 2010. Additionally, hepatitis A mortality rate was regressed on year. Findings Regression results show a constant decline of mortality as HDI increased. For each increase of one in HDI value in this hypothetical country, mortality rate declined by 2.3016 deaths per 100,000 people. The hypothetical country showed the HDI value increasing by 0.0073 each year. Also, results displayed a decrease in hepatitis A mortality rate of 0.0168 per 100,000 people per year. Finally, the mortality rate for hepatitis A in this hypothetical country is projected to be down to 0.11299 deaths per 100,000 people by 2030 and its economic status will fall just below the HDI criteria for a developed country by 2025. Originality/value The hypothetical country as a prototype model was created from the results of regressed data from EAGLE countries. It is aimed to display an example of the health and economic changes occurring in these rapidly developing regions in order to help understand potential hepatitis A trends, while underscoring the importance of informed and regular policy updates in the coming years. The author believes this regression provides insight into the patterns of hepatitis A mortality and HDI as these EAGLE countries undergo rapid development.

The management of Chinese MNEs’ expatriates

2015 ◽  
Vol 3 (3) ◽  
pp. 289-302 ◽  
Author(s):  
Yifan Zhong ◽  
Cherrie Jiuhua Zhu ◽  
Mingqiong Mike Zhang
Keyword(s):  
Multinational Enterprises ◽  
Emerging Market ◽  
Critical Role ◽  
Theory And Practice ◽  
Outward Fdi ◽  
Tertiary Institution ◽  
Developed Country ◽  
Content Type ◽  
Chinese Mnes ◽  
Expatriate Management

Purpose – Expatriate management is a popular topic in international human resource management (IHRM) because expatriates play a critical role in a firm’s international business operations. The purpose of this paper is to discuss the existing studies that often examine the expatriate management of developed country multinational enterprises (MNEs), aiming to help them identify, employ, prepare and retain expatriates and address challenges these MNEs may face, while how MNEs from emerging countries manage their expatriates is understudied. Design/methodology/approach – The knowledge of expatriate management from emerging market MNEs (EMNEs) may help us understand whether there is anything new for IHRM theory and practice. This conceptual paper aims to address this research gap by selecting China, a leading emerging economy, and reviewing the existing literature in both English and Chinese to examine the status quo of the expatriate management in Chinese MNEs to highlight challenges facing these MNEs in managing their expatriates when conducting outward foreign direct investment (FDI). Findings – This paper aims to make theoretical contributions by generating research propositions to address an under-researched area, i.e., how EMNEs manage their expatriates and the role of their expatriates in the outward FDI. Originality/value – No other person’s work has been used in the main text of the paper. This paper has not been submitted for the award of any other degree or diploma in this or any other tertiary institution.

Tata Motors’ successful cross-border acquisition of Jaguar Land Rover: key take-aways

2016 ◽  
Vol 32 (9) ◽  
pp. 15-18
Author(s):  
Atul Arun Pathak
Keyword(s):  
Emerging Market ◽  
Core Competencies ◽  
Secondary Data ◽  
Short Term ◽  
Developed Country ◽  
Content Type ◽  
Cross Border ◽  
Long Run ◽  
Land Rover

Purpose This paper aims to focus on Tata Motors, an automobile company from an emerging market, and its successful acquisition of two global marquee car brands in Jaguar and Land Rover (JLR). It traces the evolution of JLR under the stewardship of Tata Motors over an eight-year long period and examines the strategic reasons for the success of the acquisition. Design/methodology/approach The paper approaches strategic issues in cross-border acquisitions using an illustration of a successful deal. It is based on statements of leaders and secondary data about the acquirer and acquired organizations. The paper explores the strategic challenges faced when emerging market firms carry out cross border acquisition deals. It recommends the short-term and long-term strategies that acquirers can follow to improve the chances of a successful acquisition. Findings Any acquisition is challenging. Cross-border acquisitions face greater challenges, especially if the acquirer is from an emerging market country while the target company is from a developed country. Success of the acquisition, especially over the long run, depends on both internal factors that are under the control of the acquirer’s management, as well as external environmental factors that it needs to address. Both patience and luck are required ingredients for success in such contexts. Practical implications While the general temptation in any acquisition is to extract synergies as quickly as possible, the Tata Motors’ acquisition of JLR is an exception. Tata Motors carefully handled short-term challenges and continued to invest in the core competencies of JLR and reaped benefits over the long run. It was also fortunate that a variety of factors in the external environment turned favorable for Tata Motors and JLR in the eight years since the deal took place. Social implications It concedes that during an M&A deal, the leaders of a seller organization may be nervous about their future. JLR trade union leaders were initially not sure whether jobs in UK would remain secure. To ensure success of the deal, the leaders of the acquirer firm need to balance the interests of multiple stakeholders, both in the short-term, as well as over a longer-term perspective. Originality/value The paper considers the Tata Motors’ acquisition of JLR. It is an example of a large, difficult cross-border acquisition by an emerging market based company. While the acquisition proved difficult in the short term, it has yielded excellent dividends to the parent company over the long term. This paper explores the reasons why this cross-border acquisition succeeded and recommends strategies that other companies considering cross-border acquisitions can consider to improve their chances of success.

Postacquisition asset redeployment and marketing adaptation: a consumer perspective

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Cher-Min Fong ◽  
Hsing-Hua Stella Chang
Keyword(s):  
Emerging Market ◽  
Brand Value ◽  
Brand Positioning ◽  
Brand Name ◽  
Moderating Effects ◽  
Developed Country ◽  
Consumer Evaluations ◽  
Content Type ◽  
Consumer Perspective ◽  
Consumer Assessments

PurposeThis research examines consumer assessments of brand value derived from the redeployment of brand-related assets following a crossborder acquisition (CBA). The current study synthesizes research on international marketing standardization/adaptation to the context of crossborder horizontal acquisitions as the market entry strategy to investigate consumer evaluations of the postacquisition choice of brand name and brand positioning.Design/methodology/approachA pretest and two studies were conducted in Taiwan to empirically examine effects from the theory-driven model of product legitimacy (PL) on an entity's postacquisition brand value, as well as any moderating effects of consumer localism.FindingsPostacquisition brands were evaluated more positively when positioned in a manner that was in accordance with perceived PL. Consumer localism as another contingency factor reflected consumers' favorable attitude toward marketing adaptation following CBAs.Originality/valueThis article is a pioneering work to draw on the consumer perspective to investigate asset redeployments between the acquirer and target following a crossborder horizontal acquisition. Specifically, this research introduces PL as a contingency factor to examine consumers' evaluation of brand value, which is derived from the redeployment of brand name and brand positioning in the context of a developed-country firm's acquisition of an advanced emerging-market firm for entry into the market.

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