How does liability of origin influence cross-border acquisition completion? Evidence from Chinese firms

Purpose The environment of international business (IB) and the capabilities of emerging market multinational enterprises (EMNEs) as well as their home countries have changed significantly, leading to some new features of liability of origin (LOR). This paper aims to extend the LOR literature by particularly focusing on the LOR of Chinese multinational enterprises (MNEs) and by taking into account the heterogeneity among industries and across individual MNEs. Design/methodology/approach Based on the stereotype content model and organizational legitimacy perspective, this study explores how LOR influences Chinese MNEs’ cross-border acquisition completions. Several hypotheses were tested by using a binary logistic regression model with panel data techniques based on data of 780 Chinese MNEs’ acquisition deals between 2008 and 2018. Findings The results of this study show that when the competence dimension of China’s LOR is perceived as high in the host country, Chinese MNEs are less likely to complete cross-border acquisitions. Moreover, deals are less likely to be completed when the warmth dimension of China’s LOR is perceived to be low. Global experience and the foreign-listed status of individual Chinese MNEs can alter the relationship between the LOR and deal completions. Originality/value This study advances and enriches the LOR research. It shows that a high level of competence in the home country has led to LOR for Chinese MNEs rather than the low level of competence proposed by existing LOR studies; and the LOR for Chinese MNEs is also determined by the perceived low level of warmth in the home country resulting from the geopolitical conflicts between two countries. In addition, the LOR suffered by EMNEs could vary based on certain industry- and firm-level characteristics. The findings of this study provide important practical implications for emerging economy governments and for firms intending to go abroad.

Strategies of German Bundesliga and English Premier League clubs for the COVID-19 crisis: the case of international broadcasting fans

During the COVID-19 pandemic that paused sports worldwide, the German Bundesliga League (GBL) and English Premier League (EPL) took two different strategic approaches to agree with their players on returning to play. To become better informed and prepared for future crisis management, this study examines consumer responses to these opposing strategies. We also identify how perceived organizational legitimacy, trustworthiness, reliance, and justifiability have an impact on consumer multimedia consumption of the games. A sample of 503 participants responded to an online questionnaire regarding the contrasting decisions taken by the GBL and the EPL during the global health crisis. SEM with multi-group analysis was conducted to test the research hypotheses. When comparing the two selected sport leagues, the league that reached an agreement with their players experienced higher levels of perceived legitimacy while needing fewer perceptions of trustworthiness, reliance, and justifiability to obtain higher multimedia consumption intention from consumers.

Influence of CSR stakeholders on the textile firms performances

Ready-made garments (RMG) are one of the most critical sectors in the economy of the South Asian region in terms of the labor force employed and export earnings. This research study aims to determine the Corporate Social Responsibility Stakeholders dimension and its influence on textile firms Performance. The study used organizational legitimacy as mediating variable between the CSR stakeholders and firms’ performances. The research study was used in the quantitative analysis approach to determine the cause and effect of the relationship between CSR and Textile firm’s financial and non-financial performance. Though the study collected primary data & secondary data from 250 respondents using survey questionnaires, the researcher obtained secondary data by analyzing the audited annual and sustainability reports of various RMG companies. We have collected data by conducting a focus group interview forming a team of employers, top-level managers, and CSR officers. We asked them all the questions, filled it, tapped it, reserved it for the interpretations. We have surveyed 67 industries, but it enabled us to collect the data from the 50 sectors—the data collected from 2016 April to 2018 December. Our study has some limitations in that the sample size is small compared to the other research. SPSS-23 & MS-Excel were used to analyze the collected data. CSR practices benefitted RMG companies in terms of long-term sustainable development by increasing the firm’s financial and non-financial performance of the RMG sector.

Utilizing the Chinese Diaspora by Russian Firms: Capabilities and Legitimacy Implications

ABSTRACT This article examines the impact of foreign diasporas on host country firms. It contributes to diaspora research by focusing on the context of emerging market host countries and the specific case of Chinese diaspora in Russia. Drawing on the concepts of organizational capabilities and organizational legitimacy, we explain how the Chinese diaspora can be beneficial for the competitiveness of Russian firms, and how Russian firms can uniquely leverage these potential benefits through engagement with individual Chinese diasporans and diaspora institutions. Our article adds to the diaspora literature in several ways. First, unlike the majority of past research, which tends to focus on the benefits for the diaspora's home country, we highlight the potential impact on host country firms, specifically their capabilities and legitimacy at home and abroad. Second, our model can be viewed as a direct response to the many calls in the literature to study the microfoundations of firms’ capabilities. Third, we add to the legitimacy literature by proposing that engagement with a foreign diaspora can help host country firms establish and maintain their legitimacy both at home and on a global scale. Although our framework is informed by the Chinese diaspora in Russia, we discuss its generalizability to other contexts.

Problematizing Scientization in International Organizations

Comparative education studies examined the roles multilateral organizations and non-governmental organizations play in global governance and international development. Emphasis has been given to their engagements both at policy and practice levels as well as their impacts. Generally, the mechanisms international organizations use to govern education and development seem qualitatively to change over time. The most recent emerging research trajectory explains how international organizations primarily use the power of scientific knowledge for organizational legitimacy, credibility, and impact. This is referred to in the literature as soft governance, epistemic governance, scientization, or scientific multilateralism, as it significantly relies on the authority of scientific knowledge as opposed to hard, financial preconditions, for global governance and development. Our understanding of scientization is still in its ‘infancy’, partly due to its relatively recent emergence and partly due to the use of varied indicators to assess it across organizational types. To contribute toward further theorization, this study problematizes scientization in international organizations, with a focus on multilateral, intergovernmental organizations. The study is organized around answering this overarching question: What are the conceptual and methodological attributes or features of scientization in international organizations? Using sociological theories and conceptions of policymaking and transfer, it discusses core substantive, methodological, and theoretical issues of scientization having relevance for further research.