Ties, status, and internationalization of Chinese private firms

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zhu Zhang ◽  
Jiaqi Xue ◽  
Baoxin Qi

Purpose This study aims to investigate the role of network in affecting private firms’ internationalization decision. Specifically, it investigates the way that business ties, political ties and status influence an internationalization decision. Design/methodology/approach On the basis of the survey data collected from Chinese private firms, this study distinguishes business ties from political ties and introduces network status. Binary logistic regression is used to test the hypotheses. Findings Results show that private firms that have business ties are more likely to internationalize, whereas private firms that have political ties are less likely to internationalize. High-status private firms are more likely to internationalize. Political ties negatively moderate the relationship between business ties and internationalization. High-status firms with political ties are more likely to internationalize. Originality/value This study provides theoretical and practical contributions. Results complement previous research on social networks in the context of Chinese private firms and have implications for managers who exert effort to internationalize their firms.

2019 ◽  
Vol 34 (6) ◽  
pp. 1270-1280 ◽  
Author(s):  
Zebin Yan ◽  
Jiangyong Lu

Purpose Although the differential roles of political and business ties are recognized in the literature, the interplay between political and business ties remains unclear. This study aims to explore how political ties affect the formation of business ties with unfamiliar partners by analyzing how a buyer’s political ties affect the market-based selection of suppliers, an important channel through which the buyer forms business ties with unfamiliar suppliers. Design/methodology/approach A survey of 204 Chinese manufacturing firms was conducted to elucidate the relationship between political ties and the market-based selection of suppliers. Findings The findings suggest that buyers with strong political ties are more likely to engage in the market-based selection of suppliers; this positive relationship is diminished when social control is preferred over contractual control in the buyer’s supplier governance and is enhanced when technological uncertainty is high. Originality/value First, this study sheds light on the interplay between political and business ties by revealing how the buyer’s political ties affect the formation of business ties with unfamiliar suppliers, as represented by the market-based selection of suppliers. Second, it uncovers the boundary conditions of the effect of political ties by revealing the moderating effect of social control preference and technological uncertainty. Third, it extends the interorganizational governance structure literature from its focus on the complement-substitute debate on social control and contractual control to examine the contingent effect of a hybrid governance structure.


2019 ◽  
Vol 42 (7) ◽  
pp. 778-796 ◽  
Author(s):  
Parinaz Sami ◽  
Farajollah Rahnavard ◽  
Alireza Alavi Tabar

Purpose The purpose of this study is to investigate the mediator role of product innovation in the relationship between political and business ties (independent variables) and firm performance (dependent variable). Design/methodology/approach In this study, research hypotheses were tested using the structural equation modeling method. Findings The findings from 267 manufacturing companies in Iran show that business ties have an effect on firm performance through product innovation, while the role of innovation is not proved as a mediating variable in the relationships between political ties and firm performance. In addition, business ties have an effect on product innovation and firm performance, whereas political ties have no such effect. Practical implications These results provide useful points for developing economies, theoretically and practically. Originality/value Despite the increasing attention to the role of managerial ties (political and business ties) in improving product innovation and firm performance, there is no study conducted on the mediating role of product innovation in the relationship between managerial ties and firm performance.


2015 ◽  
Vol 29 (7) ◽  
pp. 1080-1097
Author(s):  
Annemiek Stoopendaal

Purpose – Dichotomous “gap” thinking about professionals and managers has important limits. The purpose of this paper is to study the specific ontology of “the gap” in which different forms of distances are defined. Design/methodology/approach – In order to deepen the knowledge of the actual day-to-day tasks of Dutch healthcare executives an ethnographic study of the daily work of Dutch healthcare executives and an ontological exploration of the concept “gap” was provided. The study empirically investigates the meaning given to the concept of “distance” in healthcare governance practices. Findings – The study reveals that healthcare executives have to fulfil a dual role of maintaining distance and creating proximity. Coping with different forms of distances seems to be an integral part of their work. They make use of four potential mechanisms to cope with distance in their healthcare organization practices. Originality/value – The relationship between managers and professionals is often defined as a dichotomous gap. The findings in this research suggest a more dynamic picture of the relationship between managers and professionals than is currently present in literature. This study moves “beyond” the gap and investigates processes of distancing in-depth.


2017 ◽  
Vol 46 (8) ◽  
pp. 1852-1869 ◽  
Author(s):  
Luisa Helena Pinto ◽  
Carlos Cabral Cardoso ◽  
William B. Werther Jr

Purpose The purpose of this paper is to examine the role of perceived home and destination organizational culture characteristics and general satisfaction with the assignment as antecedents of expatriates’ withdrawal intentions. Design/methodology/approach Data were collected through a web survey of an international sample of expatriates with a broad representation of industries, organizations and countries of origin and destination. Findings The results indicate that home and destination organizational cultures affect expatriates’ withdrawal intentions, after controlling for demographics and national cultural differences, namely: home organizational culture has a stronger influence on withdrawal intentions from the organization, while host organizational culture affects withdrawal intentions from the assignment. Further, the relationship between host organizational culture and expatriates’ intentions to withdraw from the assignment is mediated by expatriates’ satisfaction with the assignment. Evidence was also found supporting a stronger and negative influence of the goal orientation dimension of organizational culture, thus suggesting that a collective orientation toward common business goals (i.e. solidarity) may help retain expatriates. Originality/value This study seeks to fill a gap in the literature by exploring the influence of organizational culture on expatriates’ withdrawal intentions, and the mediating role of expatriates’ satisfaction with the assignment, on that relationship.


2014 ◽  
Vol 16 (1) ◽  
pp. 63-83 ◽  
Author(s):  
Celine Capel

Purpose – This paper aims to highlight the role of mindfulness in the development of indigenous knowledge (IK), indigenous innovations and entrepreneurship or new entry. Design/methodology/approach – Through an extensive analysis of extant mindfulness and indigenous entrepreneurship literatures, the paper argues for the facilitating role of individual mindfulness in IK, indigenous innovations and entrepreneurship and generates several propositions as a result. Findings – The paper argues that mindfulness encourages the appreciation of other forms of knowledge and practices distinct from the more prevalent Western forms, and by so doing, promotes indigenous innovation and indigenous entrepreneurship (or indigenous new entry or new business venture). Research limitations/implications – It is reasoned that indigenous communities around the world have rich experiences and accumulated knowledge that have enabled them develop explanations of their environments and economic development and sustainability, and by recognizing and valuing such knowledge and experiences, mindfulness facilitates innovations and entrepreneurship. Social implications – The facilitating role of IK in developing indigenous innovations and indigenous entrepreneurship is clearly evident, at least in indigenous societies; however, researchers are yet to recognise and explore this dynamics as deserved. Mindfulness not only opens up the mindset of researchers to further explore this phenomenon but also helps society to recognise the contributions and value of IK. Originality/value – This work is a pioneer in the effort to integrate mindfulness concept into the indigenous entrepreneurship research. By using mindfulness lens to view the relationship between IK, indigenous innovations and entrepreneurship, the study locates mindfulness as both antecedent to and moderator of these relationships.


2018 ◽  
Vol 33 (3) ◽  
pp. 277-290 ◽  
Author(s):  
Bashar S. Gammoh ◽  
Michael L. Mallin ◽  
Ellen Bolman Pullins ◽  
Catherine M. Johnson

Purpose The purpose of the study is to address the gap in understanding how the brand influences sales outcomes by focusing one’s attention on the salesperson perceptions of the brand and the salesperson brand selling confidence. Design/methodology/approach The study uses a cross-section survey of professional salespeople. SmartPLS was used to estimate the measurement model and test the hypothesized path relationships. Findings The study’s results indicate that salespeople who believe in the strength of the brands they represent are more likely to identify with the brand, are more confident in selling the brand and, overall, tend to perform better, have higher job satisfaction and are more committed to their companies. Originality/value This paper contributes to the sales literature by further exploring the relationship between the brand and sales function in the firm. This area has recently received academic attention but has not yet considered the mediating processes that connect the two areas. This study identifies perceptions of brand strength and brand selling confidence as mechanisms that mediate the impact of brand on sales outcomes.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Justin F. McManus ◽  
Sergio W. Carvalho ◽  
Valerie Trifts

Purpose This study aims to explore the role of brand personality traits in explaining how different levels of brand favorability evoke affect from and forge connections to consumers. Design/methodology/approach The authors used a quantitative approach consisting of within-subjects (Study 1) and between-subjects (Study 2) experimental designs. Mediation analyses were tested using OLS regression with the MEMORE and PROCESS macros. Findings Findings suggest increases in brand excitement and sincerity to be related to differences in positive affect evoked by favorable and unfavorable brands; decreases in brand sincerity to be related to differences in negative affect between favorable and unfavorable brands (Study 1); brand competence and excitement to be related to the relationship between brand favorability and self-brand connection; and brand competence and excitement to best distinguish favorable brands from unfavorable brands (Study 2). Originality/value These results support the importance of brand personality traits that are considered to be universally positive and provide managers with an initial roadmap for which brand personality traits should be prioritized when communicating with consumers.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Feng Dong ◽  
Xiao Wang ◽  
Jiawen Chen

Purpose This study aims to investigate the impact of family ownership on cooperative research and development (R&D). Drawing on the ability and willingness paradox framework in family business research, the authors suggest that family ownership influences cooperative R&D via two opposing mechanisms: power concentration and wealth concentration. It also deepens the current understanding of the boundary conditions of informal institutions for the impact of family ownership on cooperative R&D by investigating the moderating role of political ties. Design/methodology/approach The authors analyze a panel of 610 Chinese manufacturing family firms and 2,127 firm-year observations from 2009 to 2017. Fixed effects regression analysis is used to test the hypotheses, with the two-stage Heckman model to address sample selection bias. Findings The research findings indicate that family ownership has an inverted U-shaped relationship with cooperative R&D and political ties moderate the relationship in such a way that the inverted U-shaped relationship will be steeper in firms with more political ties than in firms with fewer political ties. Practical implications Family ownership influences firms’ cooperative R&D through the positive effect of power concentration and the negative effect of wealth concentration. Family owners should, therefore, take advantage of concentrated power, for instance, by adapting quickly and committing sufficient resources to cooperative R&D opportunities, while controlling path-dependent relationship development caused by concentrated family wealth. The effect of political ties on the relationship between family ownership and cooperative R&D is found to be a double-edged sword. Originality/value This study extends the ability and willingness paradox framework and provides novel insights into cooperative R&D in family businesses by integrating power concentration and wealth concentration associated with family ownership. Moreover, this study provides a contingency perspective and introduces the moderating role of political ties in shaping cooperative R&D in family firms.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
I Nengah Aristana ◽  
I Wayan Edi Arsawan ◽  
Ni Wayan Rustiarini

Purpose This research aims to test employee loyalty in the hotel industry, particularly during the Covid-19 pandemic. This study examines the relationship between leader support in building job satisfaction, trust and employee loyalty. Also, this research aims to test and explain the role of satisfaction and trust as mediator variables. Design/methodology/approach This research used a quantitative design by distributing questionnaires to 206 employees of the 97 hotels in Bali, Indonesia, particularly during pandemic Covid-19. The research data were then analyzed by using WarpPLS software. Findings The results revealed that leader support did not have a significant effect on loyalty. Satisfaction and trust act as double mediators in leaders’ support and loyalty relationships. Research limitations/implications Employees need leaders’ support to remain loyal to their organization in a slowdown situation due to the Covid-19 pandemic and its various challenges. Originality/value Research on the effects of the Covid-19 pandemic on various sectors has been comprehensive. However, the research that invests in employee loyalty in the hospitality industry is still rare. This study analyzes the loyalty of hotel employees, particularly when the tourism sector is experiencing a slowdown. This study also examines the role of trust and satisfaction as mediating relationships between leaders’ support and loyalty, which have not been widely analyzed in previous studies.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kanhaiya K. Sinha ◽  
Chad Saunders ◽  
Simon Raby ◽  
Jim Dewald

PurposeThe purpose of this paper is to investigate the moderating role of previous venture experience on the relationship between learning breadth and innovation breadth, defined as the range of innovation types within a firm, and the impacts on SME performance.Design/methodology/approachA theoretical model was developed, and hypotheses were tested using step-wise multivariate regressions on survey data from 509 North American SME respondents.FindingsThe results demonstrate that the previous venture experience of a firm's top management plays a key role in enhancing the innovation breadth for a given level of learning breadth. There is a curvilinear relationship between innovation breadth and learning breadth, and increases in innovation breadth lead to increases in firm performance.Practical implicationsThe results indicate that organizations seeking higher performance returns by expanding their breadth of innovations need parallel attention on higher learning breadth in order to adequately capture the value from this broader set of innovations.Originality/valueThe paper contextualizes learning and innovation in the SMEs and argues that the consideration of diversity (breadth) of learning and innovation can help us understand their performance implications across industries. It also extends the effect of previous venture experience (PVE) of the leadership team in explaining performance. Beyond their ability to address external factors, PVE has a moderating effect on the relationship between learning and innovation breadth across the organization. Previous venture experience serves as both a guide and catalyst for investments in learning activities that lead to a broader range of innovation activities across the firm.


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