Family Businesses and Adaptation: A Dynamic Capabilities Approach

The main objective of this research was to propose a framework centred on the dynamic capabilities approach, and to be applied in the context of family businesses’ adaption to their changing business environment. Data were gathered through interviews with ten FBs operating in Western Australia. Based on the findings, the clusters of activities, sensing, seizing, and transforming emerged as key factors for firms’ adaptation, and were reinforced by firms’ open culture, signature processes, idiosyncratic knowledge, and valuable, rare, inimitable and non-substitutable attributes. Thus, the usefulness of the proposed framework was confirmed. Implications and future research opportunities are presented. © 2018, The Author(s)

International experience and FDI location choices of Chinese firms: The moderating effects of home country government support and host country institutions

We examine the extent to which Chinese government support of foreign direct investment (FDI) projects and host country institutional environments interact with prior entry experience by Chinese firms, and how this interrelationship affects FDI undertaken by Chinese firms. We hypothesize that home country government support and well-established host country institutions enhance organizational capabilities to take risks in FDI. As such, they reduce the need to accumulate experiential knowledge and capabilities relating to entering host countries based on prior entry experience in a particular country when undertaking follow-up investment projects. Using a unique, hand-collected panel data set of Chinese publicly listed firms during 2002–2009, we find that home government support and well-developed host country institutions reduce the importance of prior entry experience and significantly increase the likelihood of FDI entry into a host country. Further, from our subsample analyses we identify differences between entering developed and developing host countries in terms of the impact of home country government support and quality of host country institutions. Our findings help explain the puzzle concerning why emerging economy firms have rapidly internationalized in a short period of time and do not follow the pattern predicted by classical IB theories

Is the relationship between innovation performance and knowledge management contingent on environmental dynamism and learning capability? Evidence from a turbulent market

Abstract This study aims to explore the separate and combined effects of knowledge management capabilities, environmental dynamism and learning capability on innovation performance. To achieve this aim, a survey was carried out on a sample of 221 firms and a couple of hypotheses were tested. The findings showed that higher levels of environmental dynamism and learning capability made the positive linkage between knowledge management capabilities and innovation performance stronger. Based on the findings, it was suggested that whilst environmental dynamism may compel firms to assimilate and use new information better, create more new product configurations and move readily to new markets through their knowledge management capabilities, learning capability improves the understanding of organizational knowledge and helps the firm embed this knowledge into organizational processes. In this sense, environmental dynamism and learning capability moderate the relationship between knowledge management capabilities and innovation performance

Translating theoretical logics across borders: organizational characteristics, structural mechanisms and contextual factors in international alliances

In this essay, I critically review the 2006 JIBS Decade Award article by Lyles and Salk ‘Knowledge acquisition from foreign parents in international joint ventures (IJVs): An empirical examination in the Hungarian context’. This article develops theoretical arguments and empirically tests a two-stage research question: (1) What are the organizational characteristics and structural mechanisms between IJV parents that influence knowledge acquisition from the foreign parent, and (2) what is the relationship between knowledge acquisition and performance in Hungarian IJVs? The most important contribution is the focus on both the antecedents and the consequences of knowledge acquisition in IJVs. I also discuss subsequent research that draws heavily on the conceptual or empirical findings of the 2006 JIBS Decade Award paper. I conclude by suggesting areas of future research in the field of knowledge transfer, organizational learning and international strategic alliances. Journal of International Business Studies (2007) 38, 38–46. doi:10.1057/palgrave.jibs.8400254