EU – China and the Non-transparent Race for Inward FDI

In this paper it is argued that the restructuring following the stiffer competition stemming from increased global integration will trigger a race between countries to attract inward foreign direct investment (FDI). It is further argued that this race consists of last minute efforts and tailor-made packages designed by governments and their agencies to temporarily improve their country’s otherwise inferior profile. This race is non-transparent and the factors used to compete for inward FDI (the 'elements' of the race) deviate from those of long-term efforts to develop a favourable investment climate and improve productivity, as well as medium-term efforts, such as lowering corporate taxes. The paper elaborates on the research problem of properly understanding the drivers of inward FDI in the absence of data on the elements of the non-transparent race. It also addresses the economic policy problem following from this race with a scenario where a large share of global FDI ends up in China, putting the cohesion of the EU at stake and triggering a regional race within China.Inward FDI; China; European Union; Investment-diverting Policies

The chinese business negotiation process: a socio-cultural analysis

Hoogovens Steel (HS) is a vertically integrated steel company, which until 1995 was functionally structured. During the eighties the steel market became saturated and more heterogeneous. In order to remain a flexible, market-oriented company, HS changed its organizational structure, by introducing business units responsible for their own financial results. Nevertheless, it remained a vertically integrated steel producer. With the functional structure HS had used cost-based transfer prices. But following the introduction of the business units the question was raised as to whether the transfer pricing system should be changed. A business unit structure implies a decentralization of authority and the delegation of certain activities to the units, but vertically integrated production requires close relations between the various stages. This paper discusses the extent to which the tensions between decentralization and integration can be resolved through the coordination of internal transactions. After introducing the relevant theoretical concepts, the issues which emerged in discussions about the coordination of internal transactions at HS are discussed. Some possible solutions are evaluated on the basis of criteria derived from the theoretical concepts, and the choice made within HS is described. Finally, some conclusions are drawn regarding the significance of the theoretical concepts.

Establishing Data Collection Procedures Equivalence in International Business Research

Following a number of earlier studies on data equivalence in cross-cultural international business research, this article uses a content analysis of articles published in four leading international business journals from 2000 to 2009, to uncover the equivalence in current state of data collection procedures used by researchers in mail surveys. The results show that, despite repeated calls and the existence of a well established theoretical framework for mail survey data collection by Don Dillman (1978, 1999), international business scholars have not been inspired to adopt and report the data collection procedures adequately in their work. We hope this work will draw due attention to the aspect in international business research.International business research · Mail survey · Data collection procedure · Equivalence and Content analysis

Establishing Data Collection Procedures Equivalence

Following a number of earlier studies on data equivalence in cross-cultural international business research, this article uses a content analysis of articles published in four leading international business journals from 2000 to 2009, to uncover the equivalence in current state of data collection procedures used by researchers in mail surveys. The results show that, despite repeated calls and the existence of a well established theoretical framework for mail survey data collection by Don Dillman (1978, 1999), international business scholars have not been inspired to adopt and report the data collection procedures adequately in their work. We hope this work will draw due attention to the aspect in international business research.http://deepblue.lib.umich.edu/bitstream/2027.42/133028/1/wp1013.pd

Technology Capability and the Internationalization Strategies of New Ventures

This study investigates the impact of technological capability and the combination of technological capability, networking capability and financial capital on growth strategies adopted by new ventures in China. Technological capability needs leveraging through the process of combining with other capabilities. The results show that the interaction between technological capability and networking capability increases the possibility that a new venture chooses an internationalisation strategy. Technology capability provides a base to allow networks to have a positive impact on internationalisation strategies. The findings from the study provide a better understanding of technology capability and its impact on internationalisation strategies. This study also generates some important implications for high-tech new ventures in emerging economies

Technology Capability and the Internationalization of New Ventures

This study investigates the impact of technological capability and the combination of technological capability, networking capability and financial capital on growth strategies adopted by new ventures in China. Technological capability needs leveraging through the process of combining with other capabilities. The results show that the interaction between technological capability and networking capability increases the possibility that a new venture chooses an internationalisation strategy. Technology capability provides a base to allow networks to have a positive impact on internationalisation strategies. The findings from the study provide a better understanding of technology capability and its impact on internationalisation strategies. This study also generates some important implications for high-tech new ventures in emerging economies

Reverse knowledge acquisition in emerging market MNEs:the experiences of Huawei and ZTE

Based on case studies of leading Chinese MNEs' international operations in developed countries, this study develops a reverse knowledge acquisition model of emerging market MNEs through subsidiary-led reverse learning, knowledge sharing and integration processes. It unpacks MNEs' external learning process and contributes to the literature by exploring three mechanisms of learning, sharing and integration. It finds three reverse learning channels, a multi-level hub-spoke type of knowledge acquiring mechanism, and a two-tier three-step integration mechanism. The learning mechanism confirms knowledge acquisition driven by reverse learning behaviours; the sharing mechanism enriches the community perspective of capability building and sharing; the integration mechanism provides an effective way of knowledge integration within the MNEs