scholarly journals Overcoming the liability of outsidership in institutional voids: Trust, emerging goals, and learning about opportunities

Author(s):  
Antje Fiedler ◽  
Benjamin P Fath ◽  
D Hugh Whittaker

Building on the complementarity of the revisited Uppsala model and effectual logic, this article examines the role of affective and cognitive trust for developing knowledge in the context of small- and medium-sized enterprise (SME) internationalization in emerging markets. Drawing on qualitative interview data from New Zealand SMEs engaging with Chinese business partners, the article first shows that an overreliance on affective trust can result in a situation of ‘persistent mediation’, in which learning about opportunities is impaired. Second, utilization of the affordable loss principle and a focus on control facilitates relationship-specific knowledge, which may also lead to cognitive trust. However, cognitive trust does not necessarily transform in the substantive business market knowledge needed to overcome the liability of outsidership. Third, business market knowledge is advanced when partners mutually set goals and develop the opportunity, which potentially also fosters cognitive and affective trust.

2020 ◽  
Vol 38 (5) ◽  
pp. 545-558
Author(s):  
Ho Trong Nghia ◽  
Svein Ottar Olsen ◽  
Nguyen Thi Mai Trang

PurposeBased on a duality approach, this study examines the path from utilitarian value via cognitive trust versus hedonic value via affective trust in online shopping well-being. This study also explores the moderating role of extraversion in the relationships between shopping value and trust.Design/methodology/approachA data set collected from 648 online consumers in Vietnam was used to validate the measures employing confirmatory factor analysis (CFA) and to test the hypotheses using structural equation modelling (SEM).FindingsThe results show that online shopping well-being is determined hedonically and affectively rather than in an utilitarian manner and cognitively. Affective trust positively contributes to online shopping well-being, but cognitive trust does not. The dual-process associations between utilitarian shopping value and cognitive trust and between hedonic shopping value and cognitive trust were also confirmed. Finally, extraversion moderates the cognitive and affective associations between shopping values and trust.Originality/valueThis study contributes to the literature on online shopping by applying a dual perspective to confirm the role of hedonic shopping value and affective trust in positively determining online shopping well-being. As a result, this study provides a deeper understanding about if and why online shopping well-being is affect-based, instead of cognition-based.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Katarina Lagerström ◽  
Cecilia Lindholm

Purpose The paper aims to explore how small- and medium-sized enterprises (SMEs) in the health-care sector overcome the liability of being an outsider, instead of gaining a position as an insider in new networks in markets abroad and subsequently internationalizing. The following research questions are posed: How do firms in complex health-care markets build network relationships? How is business market knowledge developed and legitimacy acquired to overcome the liability of outsidership? Design/methodology/approach The paper uses a multiple-case methodology in a nested case study of health-care SMEs, which allows for in-depth study of the importance of network relationships, business market knowledge development and legitimacy building to enter a target market; the study maps the activities and different actor roles as the entry process unfolds. The study draws on empirical evidence from 13 companies as well as industry and interest organizations. Findings The results provide support for process-based explanations of how, but also of why the internationalization of health-care SMEs takes place in distinctive sequential phases, where it is necessary to complete one phase before it is possible to embark on the next. The study answers the calls for more empirical studies capturing how firms actively enter networks to overcome the liability of outsidership, become insiders and subsequently internationalize. Originality/value The principal contribution of the authors’ study is to add to the body of research on internationalization and advance the understanding of how to build an insidership position in relevant networks by overcoming the liability of outsidership. By choosing to study firms in the health-care sector, the authors also contribute to the limited research on firms entering markets characterized by a high level of complexity.


2021 ◽  
pp. 1083-1092 ◽  
Author(s):  
Nursultan Bilisbekov ◽  
Christian Sarfo ◽  
Ala’ Omar Dandis ◽  
Mohammad Al-Haj Eid

The main objective of this paper is to investigate the effect of affective and cognitive trust in bank advertising toward its potential customers. An advertising experiment was conducted by creating two bank advertisements focusing on affective and cognitive trust in bank advertising. SEM analysis is conducted with a sample of 254 customers who banked with the Central Bank of Ghana using STATA 14.1. Results showed that customers of a bank are more drawn to affective advertising than cognitive advertising. Results also showed that cognitive trust is a stronger predictor of anticipation towards future interactions with a bank than affective trust. Uncertainty and commitment had insignificant relationships with affective trust. Cognitive trust had a positive relationship with commitment, while affective trust had no significant relationship with commitment. Managerial implications and future research of the findings are discussed.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Fanbo Meng ◽  
Xitong Guo ◽  
Zeyu Peng ◽  
Qiang Ye ◽  
Kee-Hung Lai

PurposeMobile health (mHealth) services are considered an important means of relieving the problems of the aging population. The efficiency of mHealth services can be enhanced by engaging more elderly users and guaranteeing their continued use. However, limited attention has been directed toward investigating elderly users' continuance intention regarding mHealth services. The purpose of this paper is to explain elderly users' continuance intention by investigating the contingent role of technology anxiety and health anxiety on affective trust and cognitive trust.Design/methodology/approachSurvey data were collected from 232 elderly users to verify the research model and hypotheses based on structural equation modeling (SEM).FindingsThis study revealed that both affective and cognitive trust enhance elderly users' continuance intention regarding their use of mHealth services. Health anxiety strengthens the effect of cognitive trust but weakens the effect of affective trust with regard to continuance intention. Furthermore, technology anxiety strengthens the effect of affective trust but not the effect of cognitive trust with regard to continuance intention.Originality/valueThis study is one of the first to examine elderly users' continuance intention regarding mHealth services use from the perspective of affective and cognitive trust, thus enriching the extant literature on the use of mHealth services. Additionally, this study sheds light on the contingent effects of technology anxiety and health anxiety on affective and cognitive trust, which have been neglected by previous research.


2016 ◽  
Vol 12 (2) ◽  
pp. 22-28
Author(s):  
Olufemi Adigun Lawal ◽  
Sunday Samson Babalola

The study examines the extent and nature of mediational roles of affective and cognitive trusts on the predictive relationship between leader-member exchange (LMX) and job insecurity. Six hundred and twenty-six employees are surveyed through questionnaire administration. Analysis of the data is done with simple regression and multiple regression analyses. The findings show no significant prediction of job insecurity by affective trust as well as no significant mediation of the LMX and job insecurity relationship by affective trust. The study also shows significant prediction of job insecurity by LMX, and significant mediation of the LMX-job insecurity relationship by cognitive trust. The results are discussed in the light of reviewed literature and current realities. The implications of the study are also highlighted.


2013 ◽  
Vol 19 (6) ◽  
pp. 756-778 ◽  
Author(s):  
Chen Huan Hong ◽  
Dauw-Song Zhu ◽  
Louis P. White

AbstractThis research reviews the constructs and measurements of guanxi and concludes that colleague guanxi is appropriately conceptualized as a multidimensional construct that describes Chinese colleague relationships. The development of a colleague guanxi scale with four dimensions is described. Two studies test the convergent, discriminant, and nomological validity of the guanxi scale. In validation tests guanxi intensity increases with cognition features (subjective fit and cognitive trust) and results in a positive affect (affective trust). Contributions of the colleague guanxi scale are offered.


2013 ◽  
Vol 27 (2) ◽  
pp. 103-125 ◽  
Author(s):  
Thilo J. Pukall ◽  
Andrea Calabrò

This article systematically reviews and critically examines 72 journal articles published (from 1980 to 2012) on the internationalization of family firms. Stemming from existing literature, core aspects and main gaps are identified. We aim to overcome the inconclusiveness of findings of previous research by offering an integrative theoretical model integrating the concept of socioemotional wealth with the revised Uppsala model. Our framework helps understand behaviors of internationalizing family firms by focusing on when and how they internationalize, especially related to risk attitudes, the role of knowledge and networks. Ultimately, we provide future research themes flowing from our suggested model.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Xun Zhang ◽  
Biao Xu ◽  
Jun Wu

Purpose This study aims to examine the relationship between renqing and purchase intentions and the mechanism of its impact in the Chinese business-to-business (B2B) context. Design/methodology/approach Renqing in China has played an important role in business relationships and has been receiving increased attention in both practice and theory. However, little is known about whether it can influence purchase intentions in a rational B2B condition. This research aims to examine the relationship between renqing and purchase intentions and the mechanism of its impact in the Chinese B2B context. Based on a survey of 1,010 industry buyers from 468 Chinese downstream buyer companies, the empirical findings indicate a positive relationship between renqing and purchase intentions and the mediating role of long-term orientation (LTO) for increasing purchase intentions. In addition, this study also finds that product involvement (PI) has a negative moderating effect on the relationship between renqing and purchase intentions, which means that renqing has a big positive effect on purchase intentions in low PI conditions. The results highlight several implications for B2B companies that sell products to Chinese enterprises. Findings The empirical findings indicate a positive relationship between renqing and purchase intentions and the mediating role of LTO for increasing purchase intentions. In addition, this study also finds that PI has a negative moderating effect on the relationship between renqing and purchase intentions, which means that renqing has a big positive effect on purchase intentions in low PI conditions. Originality/value First of all, by answering the research question, this study shows that renqing has a positive effect on purchase intentions in Chinese B2B context. Second, this study elucidates the influence mechanism of renqing on purchase intention and identifies the mediating effect of LTO and the moderating effect of PI.


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