Internationalization strategy and the home-regionalization hypothesis: The case of Australian multinational enterprises

2017 ◽  
Vol 42 (4) ◽  
pp. 673-691 ◽  
Author(s):  
Youngok Kim ◽  
Sidney J Gray
Keyword(s):  
Multinational Enterprises ◽  
Home Country ◽  
Multinational Enterprise ◽  
International Experience ◽  
Differential Impact ◽  
Country Effects ◽  
Australian Context ◽  
Internationalization Strategy

In this study, we set out to, first, replicate the classification of multinational enterprise (MNE) types proposed by Rugman and Verbeke in the Australian context. Second, we explore how a firm’s international experience influences the degree of its home regionalization and how industry affects the international experience–home regionalization relationship. We find that while home regionalization is still a dominant regionalization strategy for Australian MNEs, the proportions are different from those of Rugman and Verbeke. In particular, the share of home-regional firms is less pronounced and the share of host-regional firms is higher than Rugman and Verbeke’s findings. We also find that a firm’s international experience is negatively related to home regionalization, and that this relationship is further moderated by the firm’s industry. Our findings suggest that more attention be devoted to uncovering both home-country effects and the differential impact of international experience on home regionalization across industries.

Outward FDI Type and Ownership Mode: The Effect on Home Country Exports

2016 ◽  
Vol 3 (2) ◽  
Author(s):  
Neelam Singh
Keyword(s):  
Multinational Enterprises ◽  
Joint Venture ◽  
Home Country ◽  
Outward Fdi ◽  
Differential Impact ◽  
Firm Level ◽  
Capability Building ◽  
Wholly Owned Subsidiary ◽  
The Empirical Analysis ◽  
Auto Component

The influence of outward foreign direct investment (OFDI) by emerging economy multinational enterprises (EMNEs) on the parent company and home economy are relatively under-researched areas. The OFDI-heterogeneity dimensions such as the ownership mode as wholly-owned subsidiary (WOS) or international joint venture (JV) - have received little attention in the empirical analysis. This study examines the firm-level determinants of exports by auto component companies in India. Considering the prior recent OFDI flows by the firm, we distinguish among the effects of having manufacturing-JV, manufacturing-WOS and non-manufacturing OFDI. Thus exploring the differential impact of JV versus WOS ownership mode of manufacturing abroad, adds to the limited literature on the effects of OFDI by OFDI-type. Consistent with the expectation of greater capability building, the JV mode of overseas production is found to lead to relatively more exports by the investing firm. We also estimate the separate effects of magnitude of manufacturing and non-manufacturing OFDI flows.

SPORTS BRAND AMBASSADORS AS A MARKETING PROMOTION TOOL

2020 ◽  
Author(s):  
Элиза Александровна Петрова ◽  
Ольга Александровна Артемьева
Keyword(s):  
International Experience ◽  
Opinion Leaders ◽  
Marketing Tool ◽  
Brand Ambassadors

В статье автор рассматривает использование бренд-амбассадора как инструмента маркетинга; особое внимание уделяется изучению его сущности, сильных и слабых сторон, в том числе на практических примерах; рассмотрен международный опыт использования лидеров мнений как представителей спортивных брендов или коллекций; приведена классификация амбассадоров спортивных. In the article, the author considers the use of a brand ambassador as a marketing tool; special attention is paid to the study of its essence, strengths and weaknesses, including practical examples; also the international experience of using opinion leaders as representatives of sports brands or collections is considered; at the end of the article the classification of sports ambassadors is given.

scholarly journals Chinese Service Multinationals: The Degree of Internationalization and Performance

2021 ◽  
Author(s):  
Ziyi Wei ◽  
Quyen T. K. Nguyen
Keyword(s):  
Financial Performance ◽  
Multinational Enterprises ◽  
Home Country ◽  
Academic Research ◽  
Brand Names ◽  
Theoretical Development ◽  
Superior Performance ◽  
Foreign Firms ◽  
Service Firms ◽  
Degree Of Internationalization

AbstractWe investigate the degree of internationalization of Chinese service multinational enterprises (MNEs) and their performance relative to global peers operating in the same industries, using the benchmarking method with the industry financial data. Our theoretical development is based upon Verbeke and Forootan (2012)’s framework, grounded in “new” internalization theory, arguing that an MNE’s financial performance is fundamentally determined by its firm-specific advantages (FSAs). Here FSAs include not only conventional strengths in R&D and brand names, but also the recombination capabilities, which is a higher-order FSA. We theorize that Chinese service MNEs develop FSAs, which are built upon home country-specific advantages (CSAs) and thus their FSAs are home country-bound in nature. They have not yet been able to develop advanced management capabilities through recombination with host CSAs. We empirically examine the largest 500 Chinese service firms. We find that only 23 Chinese service firms are true MNEs, whereas the majority of them are purely domestic firms. The financial performance of Chinese service MNEs is poor relative to global peers. They internationalize mainly through acquisitions of foreign firms, which help them increase their foreign sales, but they are not able to achieve superior performance in overseas operations. We discuss the strategic implications of our findings for managers, public policy makers, and academic research.

Multinational Enterprises and the Globalization of Medicine: Siemens and the Business of X-ray Equipment in Non-Western Markets, 1900–1939

2014 ◽  
Vol 15 (4) ◽  
pp. 820-848
Author(s):  
Pierre-Yves Donzé
Keyword(s):  
International Organizations ◽  
Multinational Enterprises ◽  
Large Scale ◽  
Multinational Enterprise ◽  
Central Africa ◽  
Great Difficulty ◽  
X Ray ◽  
Hospital Development ◽  
Slight Growth ◽  
The 19Th Century

Whereas the globalization of medicine since the middle of the 19th century has primarily been approached as the sociopolitical and cultural outcome of imperialism, this article argues that Western big business also played a major role through the worldwide export of standardized medical technologies. It focuses on the expansion of Siemens on the X-ray equipment market in non-Western countries during the first half of the twentieth century. This German multinational enterprise experienced slight growth from the mid-1920s onwards but relied mainly on two markets (Argentina and Brazil). It specialized in providing large-scale equipment to a few urban hospitals and engaged during the 1930s in large-scale hospital development together with local authorities and international organizations in various countries (China, Peru, and Central Africa). However, Siemens had great difficulty in expanding its business to include private doctors and inland outlets, where it faced intense competition from other Western X-ray producers. This paper emphasizes that this shortcoming stemmed from a direct application of the European strategy (high-quality, expensive equipment for hospitals) to non-Western markets, where health systems differed.

scholarly journals Repatriation turnover revisited: A focus on South African multinational enterprises

2018 ◽  
Vol 21 (1) ◽  
Author(s):  
Christiaan J. Naude ◽  
A. Johan Vogel
Keyword(s):  
South African ◽  
Quantitative Study ◽  
Negative Correlation ◽  
Multinational Enterprises ◽  
Multinational Enterprise ◽  
First Year ◽  
Turnover Rates ◽  
Expatriate Managers ◽  
Positive Correlations ◽  
Spearman’S Correlation

Background: The topic of repatriation turnover as a major source of concern for repatriates and their multinational enterprise has been covered extensively in the literature over the years, with the literature showing that between 15% and 38% of repatriated expatriates leave the employment of their multinational enterprise within the first year after repatriation. However, no such study has focused on the repatriation of South African expatriates. Aim: The primary aim of this study was to determine if there is a correlation between the repatriation practices of South African multinational enterprises and their repatriation turnover rates. The secondary aim of the study was to determine why repatriated employees leave the employment of South African multinational enterprises. Method: This quantitative study surveyed 41 expatriate managers of South African multinational enterprises, with the Mann-Whitney U test and Spearman’s correlation coefficient being used to test for correlations between the repatriation practices of South African multinational enterprises and their repatriation turnover rates. Results: The results revealed positive correlations between appointing a mentor to an expatriate to assist with the repatriation process, conducting an orientation programme prior to repatriation and supporting the expatriate with various initiatives during repatriation and lower repatriation turnover rates. Meanwhile a negative correlation was found between when a multinational enterprise starts with an orientation programme prior to repatriation and repatriation turnover rates. Conclusion: These findings provide valuable insights for South African multinational enterprises into practices they can employ to reduce their repatriation turnover rates.

Taxes, Transfer Pricing, and The Multinational Enterprise

2009 ◽  
Author(s):  
Lorraine Eden
Keyword(s):  
United States ◽  
Multinational Enterprises ◽  
Transfer Pricing ◽  
Multinational Enterprise ◽  
The United States ◽  
International Taxation ◽  
Complex Issue ◽  
Daunting Task ◽  
National Governments

For more than ten years now, transfer pricing has been the top international taxation issue faced by multinational enterprises (MNEs). This article aims to outline, for the reader, the complex issue of transfer pricing, as seen by MNE managers and by governments faced with the daunting task of taxing business profits. The article is organized as follows. First, it briefly discusses transfer pricing from the MNE's perspective and the problems that this raises for national governments. It then reviews the basic rules of international taxation as they apply to MNE profits. The specific rules and procedures that apply to transfer pricing, as practiced in the United States and recommended by the OECD, are then outlined. It concludes with a discussion of unresolved problems that are likely to plague transfer pricing over the next few years.

Innovation and Information Technology in the MNE

2009 ◽  
Author(s):  
John Cantwell
Keyword(s):  
Information Technology ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Multinational Enterprises ◽  
Multinational Enterprise ◽  
Product Cycle ◽  
Cycle Model ◽  
Transfer Of Technology ◽  
The 1950S ◽  
The Impact

This article focuses on the roles innovation and information technology play in the multinational enterprise. In recent years there has been a steady expansion in the literature that relates the internationalization of production to the development and transfer of technology by multinational enterprises (MNEs). It is a literature that can be dated back at least to John Dunning's (1958) seminal study of the impact of US MNEs upon UK technology and productivity, and Ray Vernon's (1966) development of the product cycle model (PCM) as an explanation of the technological dynamism associated with the growth of US foreign direct investment (FDI) in Europe in the 1950s and 1960s.

Cultural Management for Multinational Enterprises

2017 ◽  
pp. 1731-1763
Author(s):  
Christian Zuber ◽  
Hans-Christian Pfohl
Keyword(s):  
Social Environment ◽  
Multinational Enterprises ◽  
Multinational Enterprise ◽  
The Other ◽  
Foreign Subsidiaries ◽  
Cultural Management ◽  
Country Level ◽  
Environmental Requirements ◽  
The One ◽  
Operational Processes

Due to the dynamics in international business, it has become increasingly complex for the Multinational Enterprise (MNE) to find a balance between worldwide standardisation of operational processes and the usage of local advantages. The foreign subsidiary's managers and employees are stuck in the middle of environmental requirements, defined by the parent company on the one hand and the local social environment on the other hand. To ensure organizational efficiency in foreign subsidiaries, the rising conflict between corporate and country cultural characteristics can be solved through active cultural management. This chapter describes fundamentals of culture on corporate and country level and deduces a framework for cultural management. Furthermore, strategies are presented to close the gap between a subsidiary's external requirements and the internal implementation.

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