Institutional Disruptions and the Philanthropy of Multinational Firms

This paper studies philanthropy by multinational enterprises (MNEs) during institutional disruptions—the sudden and unexpected, temporary, and systemic breakdowns in market-oriented institutions. The central argument is that, under institutional disruptions, MNEs aim to restore factors that are essential for the market to function, such as infrastructure and labor markets, and the strength of the market restoration motive is positively associated with the economic importance of the affected country to the MNE. Analyses of donations from 2,000 MNEs headquartered in 63 countries in the aftermath of 265 major epidemics, natural disasters, and terrorist attacks affecting 129 countries suggest that the economic importance of the country to the firm strongly explains donations. Country market concentration, public aid, and the country’s regulatory quality moderate this effect. These associations are robust to a matching method; a vector of firm-, country-, and event-specific time-varying and -constant variables; and alternative motives, such as reputation, altruism, media salience, market standing, and poverty-gap avoidance. They offer evidence that company philanthropy in the aftermath of institutional disruptions may deviate from predicted behavior under stable conditions. Particularly, the findings contest the expectation that philanthropy rises in market competition. Monopolistic firms are comparatively large donors and may act as an economic stop-loss mechanism during large disruptions.

OUTWARD FOREIGN DIRECT INVESTMENT: EMERGING ECONOMIES’ HOME COUNTRY DETERMINANTS

The Tendency of firms from emerging economies to invest abroad has increased significantly during the last two decades. Despite this trend, comprehensive literature survey research on macroeconomic determinants and antecedents of outward FDI from emerging economies is still underrepresented. The purpose of this paper is to give a comprehensive understanding of home country level factors’ impact on outward FDI from developing countries through a systematic review of past researches on OFDI’s macroeconomic determinants of home economy. The findings reveal that the most important determinants are, home country market size and openness of home country towards internationalization. However, some researches posted contrasting results for the impact of home country’s interest rates, human capital and technological capability on OFDI from emerging economies. This study also points out that emerging economies suffer from shortage of skilled personnel, thus making human capital an essential push factor for OFDI.

The 3/2 Country Market Evaluation Model: Inclusive Emerging Market Paradigm

The authors present a new country market selection model using a three filter/two phase approach to scanning: 1) a macro filter using mega aggregate country statistics (external environments) in the rough cut phase with “broad fit” company compatibilities (values, vision, goals, capabilities, management feel) and critical success factors (make or break issues); 2) anEM filter to consider and evaluate emerging country markets of potential, also in the rough cut phase, matching the EM factors “broad fit” with the critical success factors of the organization and 3) a micro filter using key success factors for the company and product, market structural factors, and industry/competition factors which produce a “narrow fit” in the diamond cut phase with the organization’s objectives, strategies and resources. The emerging markets will be given full consideration in this model and factors selected will be chosen with the “fit” of the specific company, product, strategies, internal and external environments pertinent to the unique blend of variables in the industry/organization.

Internal relationships of market-oriented EFQM enablers in the Chinese construction industry

PurposeService-oriented innovation economies are becoming the new trend for the construction industry. Benchmarking the quality management level of developed countries and improving quality management are also becoming necessities for promoting innovation in the economy. The purpose of this study is to analyse the internal relationships between the five enablers of the European Foundation for Quality Management (EFQM) Excellence model, based on a market-oriented strategy, to serve as a framework for managing and improving quality.Design/methodology/approachConsidering the different market environment and culture, this study refines the strategy enabler based on Zebal and Goodwin's (2011) Developing Country Market Orientation Scale, and builds a market-oriented EFQM Excellence model. Structural equation modelling (SEM) is used to analyse the results of a questionnaire survey of 683 China construction industry top enterprises to explore the internal relationships between the model's five enablers.Findings(1) “Leadership” has a positive influence on “Market-Oriented Strategy”, “People” and “Partnerships and Resources”; (2) “Market-Oriented Strategy” has positive influence on “Partnerships and Resources”; (3) “People” has a low influence on “Processes, Products and Services”; (4) “Partnerships and Resources” has a medium influence on “Processes, Products and Services” and (5) the relationships between “Market-Oriented Strategy” and “People”, “Partnerships and Resources” are not significant.Originality/valueThis study refines the strategy enabler of the original EFQM Excellence model with Zebal and Goodwin's (2011) Developing Country Market Orientation Scale. It also develops a market-oriented EFQM Excellence model that is suitable for developing countries, and it tests the implicit relationships of its five new enablers in an innovation environment where cultural differences exist.

A Reforma Trabalhista e o empregado intermitente: instrumento de precarização dos direitos trabalhistas

RESUMO:Diante das mudanças da realidade do mercado de trabalho e das crises econômicas que afetaram a situação brasileira a partir de 2008/2009, pode-se ver o fortalecimento do discurso neoliberal como instrumento apto e capaz de resolver todos os problemas, como se fora uma fórmula mágica para tudo e todos, tendo como foco central as Reformas Trabalhista e Previdenciárias, prevendo a drástica redução de direitos assegurados constitucionalmente. Nesse diapasão, cresce a pressão para flexibilizar a legislação trabalhista de modo a tornar o país market friendly e superar a recessão econômica e os altos índices de desocupação. Assim, aprovou-se a Reforma Trabalhista em caráter de urgência, modificando diversas normas do sistema justrabalhista. Dentre estas mudanças, tivemos a incorporação de diversas modalidades empregatícias estratificadas, voltadas a precarizar a relação de emprego tradicional (prestada por pessoa física, subordinada, habitual, com direito à jornada de trabalho de oito horas diárias e 44 horas semanais e remunerada). Sob o enfoque do empregado intermitente, o presente estudo analisa as normas celetistas em face da Constituição, do Direito Comparado e dos Tratados Internacionais de Direitos Humanos. ABSTRACT:Faced with the changes in the reality of the labor market and the economic crisis of 2015, we can see the strengthening of the neoliberal discourse, as an apt instrument and savior of all problems, as if in fact it was the magic formula of everything and everyone. In this context, the pressure is growing to make labor legislation more flexible in order to make the country market friendly and to overcome the economic recession and high rates of unemployment. Thus, the Labor Reform was approved as a matter of urgency, modifying various norms of the labor system. Among these changes, we had the incorporation of several stratified employment modalities, aimed at precariousness of the traditional employment relationship (provided by individual, subordinate, habitual, entitled to a working day of eight hours a day and 44 hours a week and remunerated). Focused on the intermittent employee, this study analyses the changes in the Brazilian Labour Law compared to the Constitution, the Comparative Law and the International Human Rights Trades.

Understanding and implementing CRM initiatives in international markets

Purpose Drawing from prior research, the purpose of this paper is to outline the benefits of cause-related marketing (CRM) campaigns for the sponsoring multinational organization and the non-profit, to examine the impact of firm–cause fit and how this fit forms and to describe consumer reactions to CRM campaigns. With this backdrop, the paper offers recommendations for how multinational corporations (MNCs) should undertake international CRM activities. Design/methodology/approach A comprehensive literature review, undertaken with a theoretical lens, helps reveal how CRM campaigns can be executed in international markets. Findings With accurate country market assessments, MNCs are better prepared to integrate with the local environment and deliver effective CRM strategies and value. Practical implications This paper offers guidance for MNCs that are interested in expanding internationally in terms of how to develop an effective CRM in international markets. In addition, it explores relationship elements that are critical for creating a successful, synergistic relationship between the firm and the non-profit. Originality/value When adopted effectively, CRM can be a valuable tool for firms as they expand internationally, by establishing relationships with local customers. This research suggests guidelines for multinationals to consider as they expand their presence globally and apply CRM in broader contexts.

Aspiration, foreignness liability and market potential

PurposeUsing behavioral theory of the firm, the purpose of this paper is to examine how a small firm’s performance relative to historical and social aspirations is related to its international entrepreneurial orientation (IEO). This study also explores two environmental factors, liability of foreignness (LoF) and host-country market potential (HMP), as the moderators for the relationship of performance and IEO.Design/methodology/approachThis study uses survey for data collection from Canadian small firms and employs regression models for data analysis.FindingsThe results show that small firms demonstrate stronger IEO when their performance is below aspirations, but their IEO diminishes when their performance exceeds aspirations. The authors also found that a small firm’s LoF does not moderate the impact of its performance feedback on IEO. However, the authors found HMP plays a moderating role when a small firm’s performance is below aspirations.Originality/valueThis study investigates the relationship of IEO to aspiration and found that this relationship is moderated by HMP. The study advances our knowledge on small firms’ international behavior.

Social Media Ties Strategy in International Branding: An Application of Resource-Based Theory

Despite the prominence of social media (SM) in global branding, no prior studies have evaluated an international brand's strategy of establishing market-based relational ties with SM users in local markets. This study draws from the resource-based theory to conceptualize SM ties as latent relational resources and evaluate an international brand's SM ties strategy on the basis of three resource attributes: value, inimitability, and rarity. Whereas value is the initial basis for a relational resource in SM, inimitability and rarity are the foci of an international brand's strategy in local SM networks. The authors interviewed brand managers and SM users in China and New Zealand and conducted direct observations on brands’ SM sites. They develop two theoretical frameworks (one initial; one advanced) to offer insights into the development of brand–user ties as a relational resource in the context of an international brand's global or foreign consumer culture positioning in a host-country market. The authors conclude that combined incentives offered in SM must be tailored to the type of brand–user tie.