The double-edged sword of cultural distance in international alliances

2017 ◽  
Vol 24 (1) ◽  
pp. 33-54 ◽  
Author(s):  
Robin Pesch ◽  
Ricarda B. Bouncken

Purpose While previous studies have primarily assumed dysfunctional effects of cultural distance in joint ventures and M&A, this paper elucidates from a positive organizational scholarship perspective how perceived cultural distance can advance firms’ new product development within non-equity alliances. The purpose of this paper is to explain how perceived cultural distance stimulates task discourse that supports alliance partners’ employees in recognizing and applying culture-related differences as complementary problem-solving potentials. Due to a lower integration level in non-equity alliances compared to joint ventures or M&A, this paper assumes that the positive effects outweigh the negative effects of cultural distance. Design/methodology/approach This study applies structural equation modeling to test the hypothesized effects on a sample of 246 international alliances in the manufacturing industry. Findings The analysis mainly supports the hypothesized model and unravels how positive effects can emerge from perceived cultural distance. Practical implications The findings provide managerial implications. Alliance managers should note that cultural distance can have positive and negative effects, and thus it is not a barrier per se in alliances. Firms can benefit from cultural distance if they are able to leverage culture-specific complementarities through task discourse among partners in alliances. Originality/value The manuscript uses a unique data set of 246 international alliances from the global manufacturing industry. The manuscript has not been published elsewhere.

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Juliana Mansur ◽  
Bruno Felix

PurposeThe purpose of this paper is to investigate how positive affectivity (PA) moderates the indirect effects of positive and negative career shocks – unplanned and often unexpected external events whose effects cannot be anticipated or countered – on thriving via career adaptability.Design/methodology/approachThe authors empirically tested the moderated mediation model with a structural equation modeling (SEM) approach. The study was performed with a valid sample of professionals who had experienced work-related career shocks.FindingsThe results indicated that career adaptability mediated the effects of positive and negative career shocks on thriving. In addition, the slope of the relationship between negative shocks and adaptability became positive for high levels of PA. The authors also found an indirect effect of negative career shocks on thriving at all levels of PA and importantly, when PA was high, the effects of negative shocks on thriving became positive.Practical implicationsIndividuals may use emotional reappraisal strategies to counter negative feelings that accompany negative events to mitigate the negative effects of such events. By strengthening their positivity, individuals facilitate their own perception of shocks, thereby minimizing the possibility of a decrease in adaptability resources.Originality/valueThis paper advances understanding of those mechanisms through which negative shocks lead to positive effects that can help individuals improve their career adaptability and thrive.


2018 ◽  
Vol 36 (4) ◽  
pp. 425-439
Author(s):  
Ossi Pesämaa ◽  
Peter Dahlin ◽  
Christina Öberg

Purpose The purpose of this paper is to examine how tension management as a means of achieving compromise and overcoming minor conflicts reduces the effects of the opportunism and bargaining costs of relationships on the evaluation of business partners. The paper proposes and tests a theoretical model with a full-information approach using structural equation modeling. Design/methodology/approach The data set was based on 312 observations from a unique survey based on a business-to-business relationship sample in Sweden. The measurements reflect the effects of partner opportunism, bargaining costs, and tension management on partner evaluations. Findings The findings corroborate that partner opportunism and bargaining costs have a negative impact on partner evaluation. In addition, the model shows that tension management weakens the negative effects of opportunism and bargaining costs on the evaluation. Originality/value This study offers evidence on how negative effects are reduced through intervening constructs. With most studies focusing on the positive side of relationships, this paper makes an important contribution to the literature through not only describing negative effects, but also how these can be decreased.


2020 ◽  
Vol 35 (3/4) ◽  
pp. 153-173
Author(s):  
Samuel Ogbeibu ◽  
Abdelhak Senadjki ◽  
James Gaskin

PurposeThis study seeks to investigate how leader ability and diverse organisational cultures (OC) act to influence employee creativity in manufacturing organisations. By leveraging the multifaceted nature of the competing values framework (CVF), this study examines the growing deterioration of employee creativity through the lens of four OC quadrants within the Nigerian manufacturing industry and further investigates how distinct OCs and leader ability can aid to bolster employee creativity. The CVF is a model used to assess organisational cultures, irrespective of their industry, for the overarching purpose of improving organisational performance.Design/methodology/approachThe target population consists of employees of research and development (R&D) and information technology (IT) in the headquarters of 21 manufacturing organisations. Our useable sample consisted of 439 responses from the Nigerian manufacturing industry.FindingsResults indicated that leader ability and adhocracy OC have positive effects on employee creativity. Market and clan OC have negative effects on employee creativity. Likewise, leader ability dampens the effects of adhocracy OC on employee creativity and reinforces the market OC effect on employee creativity.Originality/valueThis study provides novel insights that challenges several controversial and contemporary postulations of extant research which theorise the OC–employee creativity relationships. By leveraging the construct of leader ability, unique contributions are also made to provoke congruence.


2018 ◽  
Vol 36 (1) ◽  
pp. 124-137 ◽  
Author(s):  
Nguyen Dinh Tho ◽  
Nguyen Dong Phong ◽  
Tran Ha Minh Quan ◽  
Nguyen Thi Mai Trang

Purpose Positing that human capital resources of marketers comprise both psychological capital (PsyCap) and marketing capital (MarCap), and that PsyCap in combination with MarCap will have a synergistic effect on marketers’ job performance, the purpose of this paper is to investigate the configurational roles of PsyCap and MarCap in marketers’ job performance. Design/methodology/approach Using a survey data set collected from 472 marketers in Ho Chi Minh City, Vietnam, the study tested the net effects of PsyCap and MarCap on job performance using structural equation modeling (SEM). Then, the study investigated the configurational roles of PsyCap and MarCap in job performance employing the fuzzy-set qualitative comparative analysis (fsQCA). Findings SEM results show that two components of PsyCap (efficacy and optimism) and one component of MarCap (organizational MarCap) have positive effects on job performance. fsQCA findings reveal that, except hope, combinations of PsyCap and MarCap components form several sufficient conditions for job performance. Research limitations/implications The focus of this study is on marketers, that is, at the individual level. Future research should examine both PsyCap and MarCap at a higher level, such as the team, unit, or firm level. Practical implications The study’s findings suggest that firms should pay attention not only to the net effect but also to the configuration of PsyCap and MarCap when designing and implementing their human resource strategies and policies. Originality/value This study contributes to the literature on human capital resources by confirming the configurational roles of PsyCap and MarCap in marketers’ job performance.


2015 ◽  
Vol 115 (1) ◽  
pp. 88-106 ◽  
Author(s):  
Shuchih Ernest Chang ◽  
Anne Yenching Liu ◽  
Sungmin Lin

Purpose – The purpose of this paper is to evaluate privacy boundaries and explores employees’ reactions in employee monitoring. Design/methodology/approach – The research used the metaphor of boundary turbulence in the Communication Privacy Management (CPM) theory to demonstrate the psychological effect on employees. The model comprised organizational culture, CPM, trust, and employee performance in employee monitoring to further investigated the influence exerted by organizational culture and how employees viewed their trust within the organization when implementing employee monitoring. Variables were measured empirically by administrating questionnaires to full-time employees in organizations that currently practice employee monitoring. Findings – The findings showed that a control-oriented organizational culture raised communication privacy turbulence in CPM. The communication privacy turbulence in CPM mostly had negative effects on trust in employee monitoring policy, but not on trust in employee monitoring members. Both trust in employee monitoring policy and trust in employee monitoring members had positive effects on employee commitment and compliance to employee monitoring. Research limitations/implications – This research applied the CPM theory in workplace privacy to explore the relationship between employees’ privacy and trust. The results provide insights of why employees feel psychological resistance when they are forced to accept the practice of employee monitoring. In addition, this study explored the relationship between CPM and trust, and offer support and verification to prior studies. Practical implications – For practitioners, the findings help organizations to improve the performance of their employees and to design a more effective environment for employee monitoring. Originality/value – A research model was proposed to study the impacts of CPM on employee monitoring, after a broad survey on related researches. The validated model and its corresponding study results can be referenced by organization managers and decision makers to make favorable tactics for achieving their goals of implementing employee monitoring.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Junaidi Junaidi ◽  
Ready Wicaksono ◽  
Hamka Hamka

Purpose This paper aims to investigate whether and how religiosity (e.g. extrinsic and intrinsic) influences the mediator variables (consumers’ commitment and materialism) in the Islamic bank consumers context. It also examines how the mediators should be influence consumers’ preferences. Design/methodology/approach In total, 658 Muslim people and Islamic bank consumers were recruited for a survey study and structural equation modeling was used to test the research hypotheses. Findings The empirical results indicate that religiosity (e.g. extrinsic and intrinsic) has significant and positive effects on consumers’ commitment and materialism, whereas intrinsic religiosity has no significant effect on consumers’ commitment which subsequently influences consumers’ preference. Furthermore, mediator variables (e.g. consumers’ commitment and consumers’ materialism) have partial mediators between religiosity and consumers’ preferences. Research limitations/implications The current study was limited to Indonesian Muslim people; there is a future need to study consumers’ attitudes and engagement in religious products and services (e.g. Islamic brands). It is can help practitioners, regulators and researchers to observe the dynamic behavior to elaborate on the impact of religion and Islamic products on consumers’ preference. Practical implications The bank managers and regulators should enhance the information of products and services Islamic banks and the difference principle between conventional banks. Moreover, enlighten the consumers about the principle operation of Islamic banks from the perspective of marketing and religiosity. Originality/value This study contributes to consumers’ behavior literature and, specifically, for the decision-making process through developing and testing a model of religious determinants toward Islamic bank products, as well as offers new insights into the determinants of religion and consumers’ decision process toward Islamic banking.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Denni Arli ◽  
Fandy Tjiptono

PurposeReligious doctrines generally encourage people to behave ethically. However, in daily life, individuals notice inconsistencies between religious beliefs and behavior, leading them to ask, in the context of commerce, why religious consumers would behave unethically. The purpose of this study was to investigate the impact of consumers' intrinsic and extrinsic religiosity on their ethical behavior. Specifically, the moderating effect of ethical ideology on the relationship between Indonesian consumers' religiosity and their ethics was examined by means of a survey.Design/methodology/approachThe data derived from the questionnaire were complemented by convenience samples of Indonesians living in Daerah Istimewa Yogyakarta (DIY) in central Java. The researchers distributed 600 questionnaires in two major shopping malls and several housing areas in the region, of which 467 were completed and returned, for an overall response rate of 77.8%.FindingsThe results indicated that the participants' intrinsic religiosity negatively impacted their ethical beliefs and was mediated by their idealistic ethical ideology. The present study also found that idealism had negative effects on three of the four dimensions of the consumer ethics scale (CES) (actively benefiting, passively benefiting and questionable behavior), while relativism had positive effects on two of the dimensions (passively benefiting and questionable behavior.Research limitations/implicationsOne limitation of the present study was that the analysis did not distinguish among the religions practiced by the respondents to the questionnaire.Originality/valueThis is one of the first few studies investigating the mediating role of ethical ideology in a religious society. This study contributes to the literature on these issues in theoretical and managerial terms by extending the Hunt-Vitell theory (1986) to the context of consumer ethics.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Matthew Kalubanga ◽  
Sheila Namagembe

PurposeThis study examines the relationships among trust, commitment, logistics outsourcing relationship quality (LORQ), relationship satisfaction, strategy alignment and logistics performance considering selected manufacturing firms in a developing country, Uganda.Design/methodology/approachDrawing on insights from the commitment-trust theory and strategy alignment literature, and using a cross-sectional survey design with a self-administered questionnaire, and applying the partial least squares structural equation modeling (PLS-SEM) approach to analyze quantifiable data obtained from managers of 103 manufacturing firms in Uganda outsourcing logistics operations, the study examined the logistics performance effects of trust, through commitment, LORQ and relationship satisfaction.FindingsThe study findings reveal that trust influences logistics performance, indirectly through its effects on commitment, LORQ and relationship satisfaction, sequentially, and that the positive effects of relationship satisfaction on logistics performance strengthen with improvements in LORQ. Strategy alignment exerted a strong positive influence on LORQ.Research limitations/implicationsThe study findings have important implications for theory development and literature. The study applies the commitment-trust view to both theoretically and empirically examine logistics outsourcing as a competitive strategy to enhance logistics performance, and thereby providing a theoretical base for future research. However, this research is confined to manufacturing firms in Uganda, and the results are not necessarily generalizable to other contexts.Practical implicationsThe study findings provide insights for logistics managers regarding the role of trust, commitment, LORQ, relationship satisfaction and strategy alignment in enabling successful logistics outsourcing relationships, and how drawing on these, managers can improve firm logistics performance.Originality/valueThis study contributes to logistics management literature by empirically examining the relationship of trust, commitment, LORQ, relationship satisfaction and strategy alignment with logistics performance, considering manufacturing firms in a developing country, where these aspects have not been largely explored before. It highlights the need to build trust, promote greater commitment of logistics user firms in logistics outsourcing relationships as well as aligning logistics outsourcing strategies to improve LORQ and enhance logistics performance. Additionally, the study provides for the first-time new evidence for the moderation effect of LORQ on the influence of relationship satisfaction on logistics performance. The study findings suggest advancing further scholarly discussions on logistics outsourcing as a critical strategy to enhance firm logistics performance within a developing country context. Due to limitations in logistics infrastructure, and existing low-level technologies, logistics in developing countries still revolves around conventional materials handling, packaging, inventory and transportation operations, and logistics outsourcing is new, thereby presenting an interesting research context for empirical investigations on logistics in general, and logistics outsourcing in particular.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Abinash Panda ◽  
Subhashis Sinha ◽  
Nikunj Kumar Jain

PurposeGuided by social exchange, broaden and build and conservation of resources theoretical perspectives, this study explores the moderated mediating role of supervisory support (SS) on the relationship between job meaningfulness (JM) on job performance (JP) through employee engagement (EE).Design/methodology/approachField data were collected from two hundred and nineteen executives and their thirty-eight supervisors of a large paint manufacturing industry through a time-lagged research design and was analyzed with partial least squares based structural equation modeling.FindingsFindings of this study indicate that JM mediated by EE contributes to JP, which means if an employee finds one's job meaningful, she/he is likely to be more engaged emotionally, psychologically and cognitively to deliver better JP. SS is also found to be salient as it moderates both direct and indirect relationships between JM and JP through EE.Research limitations/implicationsGeneralizability of the findings of this study should be done with caution. Though the study has time-laggard data from two different sources but missing longitudinal data restricts causality of relationships/findings.Practical implicationsThese findings are relevant for organizations given that organizational leaders can create a context, by appropriate job design and engaging work context that motivates employees to perform better in their jobs. Insights of this study will be useful for organizations to curate meaningful jobs for their employees and also groom leaders with requisite skills and competencies to help subordinates perform up to their potential.Originality/valueThis study is an attempt toward a better understanding of the interplay of JM, work engagement and SS on JP in a manufacturing set-up in India, which has not been hitherto examined in Indian context.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Christine Falkenreck ◽  
Ralf Wagner

Purpose Until today, scholars claim that the phenomenon of “co-creation” of value in an “interacted” economy and in the context of positive actor-to-actor relationships has not been adequately explored. This study aims to first to identify and separate the accessible values of internet of things (IoT)-based business models for business-to-business (B2B) and business-to-government (B2G) customer groups. It quantifies the drivers to successfully implement disruptive business models. Design/methodology/approach Data were gathered from 292 customers in Western Europe. The conceptual framework was tested using partial least square structural equation modeling. Findings Managing disruptions in the digital age is closely related to the fact that the existing trust in buyer-seller relationships is not enough to accept IoT projects. A company’s digitalization capabilities, satisfaction with the existing relationship and trust in the IoT credibility of the manufacturer drives the perceived value of IoT-based business models in B2B settings. Contrastingly, in B2G settings, money is less important. Research limitations/implications Research refers to one business field, the data set is of European origin only. Findings indicate that the drivers to engage in IoT-related projects differ significantly between the customer groups and therefore require different marketing management strategies. Saving time today is more important to B2G buyers than saving money. Practical implications The disparate nature of B2B and B2G buyers indicates that market segmentation and targeted marketing must be considered before joint-venturing in IoT business models. To joint venture supply chain partners co-creating value in the context of IoT-related business models, relationship management should be focused with buyers on the same footing, as active players and co-developers of a personalized experience in digital service projects. Originality/value Diverging from established studies focusing on the relationship within a network of actors, this study defines disruptive business models and identifies its drivers in B2B and B2G relationships. This study proposes joint venturing with B2B and B2G customers to overcome the perceived risk of these IoT-related business models. Including customers in platforms and networks may lead to the co-creation of value in joint IoT projects.


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