scholarly journals Thoughts for the internationalization of SMES in Ecuador and its institutional framework

2021 ◽  
Vol 6 (30) ◽  
pp. e210835
Author(s):  
Rubén Méndez Reátegui ◽  
Fernanda Macías Mero
Keyword(s):  
Transaction Costs ◽  
Strong Influence ◽  
Institutional Environment ◽  
Growth Strategy ◽  
Internationalization Process ◽  
Essential Factor ◽  
Business Climate ◽  
Low Levels ◽  
Rules Of The Game ◽  
Business Structure

Due to their employment and the national GDP, SMEs’ relevance generates interest in promoting their growth through internationalization. From this scenario, its business structure is an advantage for internationalization, allowing greater adaptability to change. Through the Neo Institutional analysis, this research highlights the need to study the game rules that can affect SMEs as an essential factor for developing internationalization as a growth strategy based on the importance of institutions (formal and informal rules of the game) as part of that environment. The result of the investigation points to the conclusion that there would be a strong influence of the institutional environment or framework of the rules of the game in the low levels of internationalization of Ecuadorian SMEs. Therefore, it is necessary to promote actions that improve the said environment (an institutional amalgam of SMEs) and thereby reduce the transaction costs present in the internationalization process and promote a collaborative institutional environment that favors the appearance of incentives that positively affect the business climate for SMEs and, therefore, in their systemic competitiveness.

Transactions in science in comparative perspective

2018 ◽  
pp. 52-69
Author(s):  
A. N. Oleinik
Keyword(s):  
Transaction Costs ◽  
Academic Freedom ◽  
North American ◽  
Institutional Environment ◽  
Scientific Productivity ◽  
Institutional Environments ◽  
Academic Administrator ◽  
The North ◽  
American Case ◽  
Transactional Approach

The article develops a transactional approach to studying science. Two concepts play a particularly important role: the institutional environment of science and scientific transaction. As an example, the North-American and Russian institutional environments of science are compared. It is shown that structures of scientific transactions (between peers, between the scholar and the academic administrator, between the professor and the student), transaction costs and the scope of academic freedom differ in these two cases. Transaction costs are non-zero in both cases, however. At the same time, it is hypothesized that a greater scope of academic freedom in the North American case may be a factor contributing to a higher scientific productivity.

Institutional effect on born global firms in China: the role of Sun Tzu’s The Art of War strategies

2016 ◽  
Vol 10 (1) ◽  
pp. 1-19 ◽  
Author(s):  
Man Zhang ◽  
Qian Gao ◽  
Jane V. Wheeler ◽  
Jungsook Kwon
Keyword(s):  
Emerging Markets ◽  
Institutional Environment ◽  
Critical Role ◽  
Born Global ◽  
Internationalization Process ◽  
Content Type ◽  
International Performance ◽  
The Relationship ◽  
Born Global Firms

Purpose – This paper aims to investigate the role of Sun Tzu’s significant strategies on the relationship between the institutional environment and international performance of Chinese born global firms, a type of small- and medium-sized enterprise (SME) characterized by the company’s limited resources and its early efforts to internationalize. Design/methodology/approach – The methodology is based on a multi-case analysis of interviews conducted with four chosen born global firms, coupled with public database and Web site searches. Through the use of qualitative methods, propositions were developed. Findings – This paper provides insights regarding how the institutional environment, both formal and informal, has a strong positive relationship with born global firm’s international performance. Moreover, Sun Tzu’s significant strategies play a critical role in the internationalization process of born global firms in emerging markets. Originality/value – Although existing studies discuss the application of Eastern philosophical strategies adopted by firms in emerging markets, to the best of our knowledge, this is one of the earliest studies which evaluates the moderation effect of Sun Tzu’s significant strategies on the relationship between institutional environment and business performance. The paper contributes to scholarly discourse on the influencing factors of born global firm’s internationalization process. It also has practical relevance to international entrepreneurs and SMEs from emerging markets.

scholarly journals MAIN PROBLEMS OF DETECTION OF TRANSACTION COSTS IN ACCOUNTING-INFORMATION PROVIDED MANAGEMENT OF AGRICULTURAL ENTERPRISES AGRICULTURAL ENTERPRISES IN THE LIVESTOCK INDUSTRY

2020 ◽  
pp. 126-132
Author(s):  
Dmytro Liudvenko
Keyword(s):  
Transaction Costs ◽  
Information Management ◽  
Agricultural Sector ◽  
Institutional Environment ◽  
Economic Environment ◽  
Livestock Industry ◽  
Agricultural Enterprises ◽  
Doing Business ◽  
Agricultural Enterprise ◽  
Livestock Sector

Introduction. The article describes the market and globalization exacerbate the problem of competitiveness of products, enterprises, states. The role of accounting-formation support is increasing for the management, socioeconomic and environmental basis of the competitiveness of enterprises in the livestock sector. Accounting in the agrarian sector has unquestionable success. It is demonstrated clearly by the identification of transaction and transaction costs in the livestock industry today. The importance of accounting are achievements in the agricultural sector. The accountants' attention and therefore at all levels of management are not isolated in accounting standards for these costs in the economic activity of an agricultural enterprise. Purpose. The task is to substantiate: The need to isolate the composition of transaction costs in accounting accounts. We must to ensure competitiveness in the new economic environment. It is requires accounting and information management of agricultural enterprises engaged in the livestock industry. Results. Scientists are suggest: transaction costs depend on the institutional environment in which the agrarian business operates. It makes impossible to directly influence such costs. The problem of competitiveness transaction costs are of great importance.We must require greater control at all levels of management. It is requires appropriate response of accounting specialization in accountingThe information management of agricultural enterprises engaged in the livestock industry. It should be emphasized: Transaction costs have become particularly important in the socio-economic environment over the last century. This component operates outside the scope of transformational costs. This component has a significant impact on the convenience of doing business in agriculture. The presence of these costs derive from the availability and clarity of accounting. The information management of agricultural enterprises engaged in the livestock sector . This is determine the competitiveness of economies.

scholarly journals Institutional Impact of Forestry on the Economy

2021 ◽  
Vol 12 (4) ◽  
Author(s):  
Dmitry Litvin ◽  
Galina Davydova ◽  
Anastasia Biryukova
Keyword(s):  
Property Rights ◽  
Transaction Costs ◽  
Institutional Environment ◽  
Sustainable Growth ◽  
Forest Industry ◽  
Forest Sector ◽  
Institutional Impact ◽  
Institutional Relations ◽  
First Time ◽  
Russian Forest

The problems of the forest sector identified by many researchers are primarily related to the quality of institutions and the lack of effective institutional relations in the industry, according to the authors’ opinion. The results presented in the article, which prove the existence of a causal relationship between the qualitative characteristics of institutions and institutional relations and economic results, are shown for the first time in the case of the forest industry. In order to achieve the objective, the economic interrelations between forest industry entities are analyzed in the context of their institutional environment. It is revealed that the existing institutional structure of the industry supports the conflict of incentives between the owner (state) and the user (tenant) of forest land. The theoretical aspects of the specification of property rights, minimization of transaction costs and costs of contractual relations in the Russian forest industry to increase its economic efficiency are investigated. The transformation of Russian forest industry institutions should be based on the comparative advantages of existing institutions, economic models of successful forest management, objective institutional and economic indicators of sustainable growth, such as the specification of property rights and the minimization of specific transaction costs.

scholarly journals INSTITUTIONAL ISSUES FOR THE BULGARIAN TOURISM INDUSTRY FOLLOWING AMENDMENTS IN TAX LEGISLATION

2019 ◽  
Vol 17 (Suppl.1) ◽  
pp. 64-68
Author(s):  
M. Georgiev ◽  
Iv. Dimitrova
Keyword(s):  
Transaction Costs ◽  
Institutional Environment ◽  
Tourism Industry ◽  
Economic Effects ◽  
Coordination Mechanisms ◽  
Tax Legislation ◽  
Institutional Issues ◽  
Tourism Sector ◽  
Retail Outlets ◽  
The Impact

The current study examines the institutional issues in the tourism sector of Bulgaria in terms of the impact of the by-law Ordinance № 18 of 13 December 2006 on the registration and reporting of sales in retail outlets through fiscal devices. The research applies: (1) defining the legal “error”; (2) the information asymmetries that pose a problem to the coordination mechanisms of the organization are described; (3) the negative economic effects are presented through the measurement of transaction costs. In conclusion, proposals have been made to improve this section of the institutional environment.

Economic Reforms in Ukraine in Comparative Perspective: Formal and Informal Dimensions

2016 ◽  
Author(s):  
Alexander Libman ◽  
Anastassia Obydenkova
Keyword(s):  
Cluster Analysis ◽  
Hierarchical Cluster Analysis ◽  
Institutional Environment ◽  
Hierarchical Cluster ◽  
Economic Reforms ◽  
The Other ◽  
Business Climate ◽  
Formal Institutions ◽  
Micro Level ◽  
Informal Practices

Alexander Libman and Anastassia Obydenkova set out inductively to identify the countries whose economies are most similar to Ukraine’s using a hierarchical cluster analysis of indicators of the micro-level institutions, such as obtaining permits, registering property, and enforcing contracts. This analysis indicates that in terms of formal institutions, Ukraine performs like a country of southeastern Europe, while in informal terms, it looks more like the other post-Soviet states. While the formal institutional environment in Ukraine has improved, perceptions of the business climate have worsened. This highlights the disconnect between formal institutions and informal practices. They stress that government cannot directly change informal practices—it can only change formal rules or personnel.

Networks, institutional environment and firm internationalization

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sussie C. Morrish ◽  
Anna Earl
Keyword(s):  
Institutional Environment ◽  
Secondary Data ◽  
Wine Industry ◽  
Personal Networks ◽  
Internationalization Process ◽  
Structured Interviews ◽  
Content Type ◽  
Study Approach ◽  
Brand Authenticity ◽  
Firm Networks

Purpose The purpose of this study is to investigate the influence of network relationships and institutional environment on premium winegrowers’ internationalization process. Design/methodology/approach This study uses a case study approach to examine two premium wine producers engaged in internationalization. The data sources consist of semi-structured interviews, observations at three major events and secondary data sourced from industry reports and materials that are available online. Findings Findings illustrate that both personal and inter-firm networks help wineries to internationalize. Inter-firm networks play a significant role in gaining international legitimacy. Personal networks were found to be more important in establishing brand authenticity that facilitates wineries in their internationalization process. Gaining international legitimacy and establishing brand authenticity are crucial in the successful internationalization of premium wineries. Research limitations/implications This study provides an explanation of how networks can be put into institutional context. Future studies could map out the formal and informal institutions within the wine industry and investigate the closer dynamics among the different actors in the whole network. A whole network is formally structured and governed, yet still built on the relationships among members, making it a very complex phenomenon. This would allow the evaluation of multilateral ties that link firms and actors within the network and how this affects the internationalization process. Practical implications This paper provides managers with insights on how they can capitalize on their inter-firm and personal networks to help them deal with domestic and international institutional environments when embarking on internationalization activities. Originality/value This paper adds to the existing literature on networks relationships and provides an important link between networks, institutions and internationalization.

scholarly journals The impact of transaction costs on the transformation of the natural gas market of Ukraine

2019 ◽  
Vol 2019 (3) ◽  
pp. 60-77
Author(s):  
Roman Yukhymets
Keyword(s):  
Natural Gas ◽  
Transaction Costs ◽  
Institutional Environment ◽  
Energy Sector ◽  
Transformation Process ◽  
Third Party ◽  
Free Access ◽  
Natural Gas Market ◽  
Gas Market ◽  
The Impact

The desire to integrate into the European development model stipulated that Ukraine voluntarily assumed international commitments about transformation of the institutional environment according to the European model. The level of political awareness of the content of the necessary changes and how to achieve a systemic balance of reforming different sectors was often declarative in the absence of any sound estimates, including the implications for different economic actors. However, the need to reform the energy sector was determined not only by international obligations, but also by the presence of domestic problems, which over time without the application of systemic changes would become barriers to the entire further economic development of Ukraine. The main content of the implementation of European directives in the energy sector was just intended to systematically transform market relations by changing the rules of market functioning, which was supposed to solve the main crisis problems in various areas of the energy sector. The recent model of Ukrainian natural gas market was featured by all the shortcomings of the pre-reformed state of European markets: the tariff system did not promote rational consumer behavior, which exacerbated the pressure on the state budget; the delivery rules did not guarantee the proper quality of service; the absence of investment in the gas transportation sector made it impossible to expand fixed assets; the established transport and distribution rules became a barrier to free access to third-party networks and the development of competition in the supply segment. The actual implementation of the Second and Third Energy Package standards in the functioning of the national market of the natural year began in 2015, with the adoption of the Law on the Natural Gas Market. Today, an urgent task remains to estimate the process of reforming the natural gas market and to efficiently solve those crisis phenomena that caused the distortion of the institutional environment of the natural gas market. Since the accumulated problems of the previous model of the natural gas market were due to the inefficiency of the institutions, the article attempted to evaluate the effectiveness of the gas sector transformation process and analyze the impact of changes in certain market segments from the perspective of neoinstitutional theory and study the level of transaction costs.

The role of trust in government and institutional environment in future business climate

2021 ◽  
Vol 13 (5) ◽  
pp. 425
Author(s):  
Gentjan Çera ◽  
Edmond Çera ◽  
Humberto Nuno Rito Ribeiro ◽  
Sadik Maloku
Keyword(s):  
Institutional Environment ◽  
Trust In Government ◽  
Business Climate ◽  
Future Business

Does the Colour of the Cat Matter? The Red Hat Strategy in China's Private Enterprises

2007 ◽  
Vol 3 (1) ◽  
pp. 55-80 ◽  
Author(s):  
Wenhong Chen
Keyword(s):  
Property Rights ◽  
Transaction Costs ◽  
Resource Constraints ◽  
Institutional Environment ◽  
Early Years ◽  
Organizational Dynamics ◽  
Social Embeddedness ◽  
Private Enterprises ◽  
Private Firms ◽  
The Public

The proliferation of new property rights regimes in transitional economies provided an opportunity to examine the interaction between institutions and organizations. Some private enterprises in China developed the Red Hat strategy whereby they disguised their private ownership by registering as a public-owned organization. Drawing on a national survey, this study investigated how institutional variations, transaction costs and social embeddedness affected the firms’ Red Hat strategy. The findings suggest that private firms preferred a fuzzy property rights arrangement in the early years of market transition. The temporal and regional variation of the institutional environment contributed to the adoption of the Red Hat strategy. High transaction costs — networking cost and resource constraints — were positively related to the adoption of the Red Hat strategy. Social embeddedness also played an important role. The reliance on transaction partners in the public sector increased the pressure to adopt the Red Hat, while connections with high-ranking cadres facilitated the process. However, private firms opted for clearly delineated property rights as the institutional environment improved. In turn, the decisions of individual firms affected the institutional environment at the aggregate level. The Red Hat strategy exemplifies the co-evolution of institutional change and organizational dynamics.

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