Will increasing government subsidies promote open innovation? A simulation analysis of China's wind power industry

Keeping open innovation both stable and sustainable can be difficult when it involves cooperation between large enterprises. Some empirical studies suggest that subsidy policies can play a positive role. This study addresses two key questions that follow from this observation: first, if the intensity of a subsidy policy is increased, can it play a greater role in strengthening the stability of cooperation between firms? Second, what other factors play a mediating role in this effect? Utilizing a dynamic game model, this paper analyses influential factors such as absorptive capacity, frequency of engagement and technical value on cooperative stability, and investigates the role of innovation policy in the process of cooperation through a random number-driven simulation. The findings indicate that only when the absorption capacity and technological value of both partners meet a certain threshold is the probability of positive cooperative behavior improved. Otherwise, increased subsidies tend to foster negative cooperative behavior instead

The Effect of Independent Director Reputation Incentives on Corporate Social Responsibility:Evidence from China

This paper examines the effect of independent director reputation incentives on corporate social responsibility (CSR). Using an unbalanced panel of 3765 Chinese-listed firms between 2009 and 2014, this study suggests that independent director reputation incentives improve CSR. Furthermore, it is found that this effect is more pronounced in non-state-owned enterprises (non-SOEs) than in state-owned enterprises (SOEs). In addition, our results also show that the effect of independent director reputation incentives on CSR is moderated by firm size, and this effect is much stronger in relatively larger firms. Together, these results suggest that reputation is an effective mechanism that can motivate independent directors to fulfill their role of monitoring and advising CSR, especially in non-SOEs and relatively larger firms. We add new insights to the research on the topics of independent director system, protection of the stakeholders’ interests, and CSR enhancement

Determinants of Cross-Border Venture Capital Investments in Emerging and Developed Economies: The Effects of Relational and Institutional Trust

Acknowledgments We would like to thank Bengt-Åke Lundvall, Jesper Lindgaard Christensen, Andreas Pyka, Tereza Tykvová, Mike Wright, Volker Seiler, Douglas Cumming, Wenxuan Hou, Edward Lee, two anonymous referees, and all participants of the JBE Special Issue Tibet Conference 2014, the Stanford Scancor Seminar Series 2014, the IKE Research Seminar Series 2013, and the UK IRC Cambridge Young Scholar Workshop 2012 for invaluable insight, comments, inspiration, and feedback. All opinions and errors remain our own.Peer reviewedPublisher PD

Light touch goes where? A longitudinal study of post-acquisition integration paths adopted by Chinese private-owned enterprises

This study explores the evolution of post-acquisition integration drawing on an eight-year longitudinal multi-case study of eight strategic-asset-seeking acquisitions of Western firms by globalizing Chinese private owned enterprises and taking a dual view from both the acquiring and the acquired companies. In contrast to the extant literature, it reveals significant heterogeneity by identifying three differing post-acquisition integration evolution paths. All three start with a form of light-touch integration as proposed by existing research but transition to different target models, either another form of light touch or absorption. A driving system has been developed to explain these differing evolution paths which are largely determined by the catch-up strategy (strategy to catch up with Western incumbents) whilst resource dependency and cultural difference working as the steering drivers for transition. Overall, seven distinct forms of integration (six distinguished forms of light-touch integration plus absorption) and three types of catch-up strategy are identified and explained in this study