The new middle class in emerging markets: How values and demographics influence discretionary consumption

The rise of new middle‐class consumers in rapidly transforming emerging markets has attracted the attention of Western business executives. What they know about this growing segment of customers will determine whether they succeed or fail in these markets. The present study examines the factors that drive the discretionary consumption of this new middle class, including the effects of consumerist values, religious values, occupation, education levels, and ownership of fixed assets. The study draws its insights from data gathered from 391 new middle‐class consumers in Ankara, the second‐largest city in Turkey. The findings provide important implications for businesses, both indigenous and foreign. An overall implication is that managers ought to understand and qualify the new middle class in emerging markets not simply by their access to disposable income but by deeper attitudinal and behavioral characteristics

Redefining the Organizational Resilience Construct using a Frame Based Methodology : A New Perspective from the Ecology Based Approach

Open Access via the Elsevier AgreementPeer reviewedPostprin

Race for market share gains : how emerging market and advanced economy MNEs perform in each other’s turf

Peer reviewedPostprin

The Great Lockdown Recession and International Business

The global health pandemic and the ensuing global recession has caused unprecedented uncertainty, risks, and devastation to individuals, families, societies, and organizations. In this context, a central question arises: what are the prospects for globalization? This article addresses five pressing questions that affect globalization for multiple stakeholders: (1) How is this pandemic different from previous disruptive events? (2) Are there silver linings to this economic disruption? (3) What are current and future impacts on globalization? (4) How will different entities be affected? and (5) What will be the likely impact on major economies? We have opportunities to fundamentally shift international business for economic, environmental, and social advancements that offer hope during this overwhelming health crisis

Always trust in old friends? Effects of reciprocity in bilateral asset specificity on trust in international B2B partnerships

Grounded in Social Exchange Theory (SET), this study is motivated by two unresolved issues. First, scholars find mixed results on how relationship duration facilitates business-to-business (B2B) trust. The lack of consensus results from the assumption that relationship duration is a measure of prior trust-building efforts. We contend that trust-building lies in exchanges between B2B partners, and relationship duration moderates the effects of reciprocal exchanges. Second, although Transaction Cost Analysis (TCA) is one of the most used theoretical lens in the study of B2B trust, TCA is criticized for neglecting the exchange process in B2B trust-building. To provide clarity to these issues, we validate the expectation that bilateral asset specificity constitutes social exchange processes, which communicate goodwill reciprocity and equivalence reciprocity. Empirical findings suggest that, within bilateral asset specificity: (1) achieving goodwill reciprocity always enhances trust, regardless of the duration contingency; and (2) violating equivalence reciprocity impairs trust over the duration

Psychic distance : antecedents, retail strategy implications and performance outcomes

The authors propose a conceptual model of the psychic distance&ndash;organizational performance relationship that incorporates organizational factors (international experience and centralization of decision making), entry strategy, and retail strategy implications. The findings suggest that when entering psychically distant markets, retailers should adopt low-cost/low-control entry strategies and adapt their retail strategy to a greater extent than in psychically close markets. However, the authors find that such strategic responses have an adverse effect on performance. They find that international experience, psychic distance, entry strategy, and retail strategy adaptation are significant drivers of organizational performance and factors that determine critical success in international retailing.<br /

Organizational-Social-Capital, Time and International Family SMEs:An Empirical Study from the East of England

Previous studies on family-SME internationalization have largely focused on what resources are needed to drive an incremental process rather than how resource management occurs in historical time. This paper focuses on the latter, adopting a social capital perspective (capturing both internal, i.e. among family-SME board members, and external, cross border agent dyads, relations) in order to decipher case study data from the East of England. Findings show that it is not the presence or absence of organizational-social-capital that affects family-SME internationalization success but rather its variable use over the years driven by the future pursuit of longevity, not growth. Key within this context is the variable use of the international expertise and management capability of non-family managers in the family SME intra-organizational context. Ultimately this may lead to change and learning that occurs erratically, often including reversals, without causing family-SME progression across a sequence of incremental stages

Performance Issues in U.S.–China Joint Ventures

Based on an in-depth study of U.S.-China joint ventures, this article offers some insights into the performance of such international business relationships. While the conventional literature treats government as an amorphous aspea of the political-legal environment, in this case government is an active participant and influence in the performance of international joint ventures (UVs). It has both a constraining and enabling effect on LJV structure, strategy, and performance. For example, limits can be placed on ownership shares of joint ventures and on prices of the output. At the same time, government can cooperate with LJVs and foreign parent companies by creating partners for foreign parent companies, acting as major customers, and improving financial performance by lowering taxes

Institutional Export Barriers on Exporters from Emerging Markets: Evidence from China

The emerging markets have become the increasingly important trading nations in the global economy. Given its significance to practitioners and policymakers, export barriers has been the popular topic in the international business studies. However, research about export barriers caused by the local institutions are under developed, though institutional voids and institutional inefficiency are reported as the major determinants for business development in emerging markets. This paper aims to fill in this gap by exploring the institutional export barriers in emerging markets. Based on existing studies on export barriers and institutional perspective, a conceptual framework is initially developed by separating formal and informal institutional export barriers. Then three specific institutional export barriers are identified, including government policy, weak legal system and informal and personal networks. In the meanwhile, this paper sheds light on how the institutional export barriers are developed and obstruct exporting in emerging markets

Policy drivers of international entrepreneurship in Europe

The diversity of countries and cultures in Europe necessitates an international outlook for most businesses. This paper examines the internationalisation of business in Europe through a literature review on international entrepreneurship theory. The role of the individual business owner and of business and interorganisational activity in facilitating the internationalisation of businesses in Europe is discussed by utilising the theoretical framework of international entrepreneurship and by putting forward three main propositions. The main aim and intent of this paper is to understand how the policies of individual governments and institutions such as the European Union help businesses in Europe to internationalise, with particular emphasis on businesses in the Baltic region. The paper discusses policy implications and suggestions for future research, which highlight the importance for firms in Europe of focussing on international markets.<br /