Drawing on institutionalism supplemented by a micro-political perspective, this study explores how a bilateral development agency’s (BDA’s) regional office manages institutional…
Abstract
Purpose
Drawing on institutionalism supplemented by a micro-political perspective, this study explores how a bilateral development agency’s (BDA’s) regional office manages institutional multiplicity, a situation where organisations are embedded into the institutional environments of their headquarters and multiple host countries.
Design/methodology/approach
I remotely conducted semi-structured in-depth interviews with 20 staff members of a BDA’s regional office in South-East Europe. Reflexive Thematic Analysis was used to analyse the interview data.
Findings
Two themes are developed. One is an institutional decomposition strategy. The subject office decomposes institutional multiplicity into more manageable multiple institutional dualities by deploying local representatives to host countries. The other is the division of duties to demonstrate legitimacy. The division designates who in the office demonstrate legitimacy in which institutional environment. These proactive actions by the office (i.e., the decomposition and the division) question the institutionalist assertion that external institutional conditions determine organisational behaviour.
Research limitations/implications
The findings may not directly apply to other public sector organisations because BDAs’ overseas offices are “donors” for their host countries. In addition, themes developed in the context of South-East Europe may not be generalisable to other regions.
Practical implications
BDA staff members should understand that institutional decomposition through the deployment of local representatives is a rational strategy to deal with complex conditions of institutional multiplicity. They should also understand that experienced local representatives are required to achieve this strategy.
Originality/value
This is the first empirical study to examine how a public sector organisation’s regional office manages complex institutional multiplicity from a micro-macro combined perspective.
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Emmanuel Ofori and Maxwell Oduro Appiah
This study aims to examine the financial investigation system in Ghana in relation to tax evasion and money laundering practices among multinational corporations (MNCs).
Abstract
Purpose
This study aims to examine the financial investigation system in Ghana in relation to tax evasion and money laundering practices among multinational corporations (MNCs).
Design/methodology/approach
The study adopted the qualitative case study design. The population was 15 officials, comprising 14 highly qualified tax enforcement and anti-money laundering officers from key state agencies, as well as a tax consultant. The data was gathered using a semi-structured interview and analysed thematically.
Findings
The study found that there is an effective financial investigation system in Ghana that regulates tax evasion and money laundering practices among MNCs; however, more can be done to perfect the system. There is an effective collaboration among financial investigation agencies in terms of intelligence sharing, although it is often marred by bottlenecks and unnecessary bureaucracies. Finally, there was no consensus that the financial investigation system in Ghana has helped to prevent/retrieve the proceeds of tax evasion and money laundering among MNCs. The study concludes that Ghana’s financial investigation system is well-placed to deal with tax evasion and money laundering practices among MNCs. Notwithstanding, there is room for improvement.
Research limitations/implications
This study only focused on the financial investigation system in Ghana in relation to tax evasion and money laundering practices among MNCs. It did not give attention to other entities, individuals or crimes.
Originality/value
The study offers an inside perspective into the financial investigation system in Ghana in relation to tax evasion and money laundering among MNCs. To the best of the authors’ knowledge, no study of this nature has been conducted in Ghana or elsewhere.
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Sabine Jentjens, Andri Georgiadou and Sophie Hennekam
This article examines the organizational learning processes of multinational corporations (MNCs) regarding diversity equality and inclusion (DEI) practices as they aim to…
Abstract
Purpose
This article examines the organizational learning processes of multinational corporations (MNCs) regarding diversity equality and inclusion (DEI) practices as they aim to implement them across borders.
Design/methodology/approach
Drawing on 22 semi-structured interviews with managers responsible for DEI in MNCs, we adopt a qualitative inductive research approach.
Findings
We adopt an organizational learning lens to unpack the continuous learning processes that consist of an interrelated mix of sharing insights, transferring successful practices and adapting initiatives to fit local realities. These processes take place within an entity (intra-organizational), between entities (inter-organizational) and in interaction with external bodies (extra-organizational) taking the form of transactive memory systems and online learning communities to tap into lived experience and local knowledge.
Originality/value
Our findings contribute to the literature on organizational learning in MNCs and global diversity management by revealing the complex, multi-directional nature of learning processes in implementing global DEI initiatives.
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Noah Cheruiyot Mutai, Lawrence Ibeh, Manh Cuong Nguyen, Joyce Wangui Kiarie and Cynthia Ikamari
Many African countries struggle to sustain steady economic growth. Specific macro-economic factors can influence a country’s economic growth. We investigated the trend and…
Abstract
Purpose
Many African countries struggle to sustain steady economic growth. Specific macro-economic factors can influence a country’s economic growth. We investigated the trend and influence of diaspora remittances, foreign direct investment (FDI) and imports on Kenya’s economic growth.
Design/methodology/approach
We used panel data from the World Bank Indicators database from 1973 to 2021. By utilising the autoregressive distributed lag (ARDL) model for econometric analysis and performing computations using R software, we provide valuable insights into both short-term and long-term dynamics.
Findings
In the short term, we establish a non-significant negative impact of FDI and imports on economic growth, contrasting with the positive influence of diaspora remittances. However, in the long term, all three variables – FDI, imports and remittances – emerge as significant determinants of economic growth.
Research limitations/implications
The availability and quality of data on diaspora remittances, FDI inflows, imports and economic indicators may vary, leading to potential data limitations, biases or gaps in the analysis. External factors such as global economic trends, political stability, COVID-19, regulatory changes and natural disasters may influence the study’s findings and should be considered when interpreting the results.
Practical implications
In the short term, the non-significant negative impact of FDI and imports on economic growth suggests that policies promoting FDI and imports may not yield immediate economic growth benefits. Policymakers might need to reassess the effectiveness of current strategies aimed at attracting FDI and managing imports in the short term. The positive influence of diaspora remittances on economic growth underscores the significance of these inflows in supporting economic development. Governments may need to focus on policies that encourage remittance inflows, such as facilitating remittance channels and providing incentives for diaspora investment in the home country. The shift in significance from non-significant in the short term to significant in the long term for FDI, imports and remittances highlights the importance of considering long-term effects in economic planning. Policymakers should adopt strategies that consider the cumulative impact of these factors over time.
Social implications
Diaspora remittances often play a crucial role in alleviating poverty and reducing inequality by providing direct financial support to families. Recognising the importance of remittances in improving living standards, policymakers should ensure that policies support the effective utilisation of remittance inflows to address poverty and inequality challenges.
Originality/value
We therefore contribute original insights by examining the interplay between diaspora remittances, FDI, imports and economic growth over the study period. The emphasis on both short-term and long-term effects adds nicety to understanding their roles in shaping Kenya’s economic growth trail.
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Shuchuan Hu, Qinghua Xia and Yi Xie
This study investigates firms' innovation behaviour under environmental change. Therefore, it examines the effect of trade disputes on corporate technological innovation and how…
Abstract
Purpose
This study investigates firms' innovation behaviour under environmental change. Therefore, it examines the effect of trade disputes on corporate technological innovation and how product market competition moderates this relationship.
Design/methodology/approach
This research tests the hypotheses using the fixed effects model based on panel data of publicly listed enterprises in China from 2007–2020.
Findings
The empirical results validate the positive association between trade disputes and corporate research and development (R&D) intensity as well as the U-shaped relationship between trade disputes and radical innovation. Additionally, the moderating effect of product market competition is verified: a concentrated market with less competition flattens the U-shaped curve of radical innovation induced by trade disputes; as the market becomes more concentrated and less competitive, the U-shaped relationship eventually turns into an inverted U.
Originality/value
First, this study contributes to the corporate innovation and trade dispute literature by expanding the environmental antecedents of technological innovation and the firm-level consequences of trade disputes. Second, this study enriches the theoretical framework of the environment–innovation link through an integrated perspective of contingency theory and dynamic capabilities view. Third, instead of the traditional linear mindset which had led to contradictory results, this study explores a curvilinear effect in the environment–innovation relationship.
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Derrick Anquanah Cudjoe, Yumei He and Hanhui Hu
This study examines the impact of China's trade and foreign direct investment (FDI) on Africa's global value chain (GVC) participation and economic upgrading.
Abstract
Purpose
This study examines the impact of China's trade and foreign direct investment (FDI) on Africa's global value chain (GVC) participation and economic upgrading.
Design/methodology/approach
The study covered 48 African countries, cutting across the western, eastern, central, southern and northern subregions to cover the heterogeneity of the continent. The study adopted feasible generalized least squares panel VAR-Granger causality Wald test and system generalized methods of moments techniques for estimation.
Findings
Overall, China's FDI to Africa and US-Africa trade have a linear relationship with Africa's GVC involvement and economic upgrading. The findings suggest that although China-Africa trade has a positive impact on GVC engagement and upgrading, the marginal effect decreases in the face of US-Africa and EU-Africa trade.
Originality/value
This study provides new evidence on the impact of China's FDI and trade on African economies' GVC participation and economic upgrading. To the best of the authors’ knowledge, this is the first study to empirically explore the effects of China's FDI and trade on Africa's GVC integration and economic upgrading as well as from the perspectives of backward and forward GVC participation. Furthermore, the study empirically examines whether the effects of Africa's economic cooperation with China relative to its GVC engagement differ from those of Europe (EU) and the US via a comparative regression.
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Daisy Mui Hung Kee, Miguel Cordova and Sabai Khin
The study sheds light on the internal enabling factors towards emerging market (EM) small and medium-sized enterprises’ (SMEs) preparedness for Industry 4.0 (I4.0) using three…
Abstract
Purpose
The study sheds light on the internal enabling factors towards emerging market (EM) small and medium-sized enterprises’ (SMEs) preparedness for Industry 4.0 (I4.0) using three dimensions: managerial, operational and technological readiness.
Design/methodology/approach
The study uses convenience sampling, having online and paper-based surveys and collecting 110 responses from manufacturing Malaysian SMEs. This sample allowed assessing the relationships of the hypothesized variables through the structural model of data analysis.
Findings
This study’s findings demonstrate that financial capability and perceived benefits enhance Malaysian SMEs' managerial, operational and technological readiness.
Research limitations/implications
Using Malaysia's case, this paper extends the discussion of the key drivers that underline the decision of EM firms to adopt I4.0.
Practical implications
This study’s results provide valuable insights for policymakers to improve the digital ecosystem. Also, understanding critical drivers for I4.0 readiness would encourage SMEs in Malaysia to embrace new digital technologies.
Originality/value
Although digital transformation towards I4.0 for manufacturing SMEs would be decisive, little is known about how ready these Malaysian firms are to adopt it or the driving factors that motivate them. Meanwhile, inadequate readiness causes a high failure rate in implementing new technology, processes or organizational changes.
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This study aims to explore the diverse factors influencing the adoption of post-employment noncompete agreements (NCAs) between firms and their CEOs. Drawing on the organizational…
Abstract
Purpose
This study aims to explore the diverse factors influencing the adoption of post-employment noncompete agreements (NCAs) between firms and their CEOs. Drawing on the organizational literature regarding the diffusion of contested organizational practices as well as research on law and organizations, this study seeks to understand how internal power dynamics, legal environments, as well as external economic shocks collectively shape organizational NCA adoptions among leading US corporations.
Design/methodology/approach
Using NCAs between Standard and Poor’s 500 firms and their CEOs in 1996–2015, this study uses discrete-time event history analysis to examine the impact of CEO duality, state legal environments regarding NCA enforcement and the Great Recession on the hazard ratios of organizational NCA adoption.
Findings
Organizations are less likely to enforce NCAs with duality CEOs, reflecting internal power dynamics and CEO influence within the organization. The study also finds that firms are more likely to have NCAs with CEOs in states where NCAs are easier to enforce and where partial NCA enforcement is permitted. Finally, the findings underscore how exogenous shocks, particularly the recent Great Recession, prompt firms to adopt NCAs to avoid additional disruptions from CEO turnover.
Originality/value
This study contributes to management research on the diffusion of contested organizational practices by uncovering various factors at multiple levels that drive the adoption of NCAs. Specifically, this study offers fresh insights into the intricacies of state NCA laws and how organizations respond to their legal environments. Moreover, it sheds light on how unexpected economic events, such as the Great Recession, influence organizations to embrace contested practices, expanding the study of organizational practices beyond conventional investigations of sociopolitical and institutional factors.
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Nayanjyoti Goswami, Atul Mehta, Ashutosh Bishnu Murti and Sandeep Rao
This systematic review comprehensively examines corporate political contributions (CPC), exploring their antecedents, evolving mechanisms and diverse organizational outcomes. It…
Abstract
Purpose
This systematic review comprehensively examines corporate political contributions (CPC), exploring their antecedents, evolving mechanisms and diverse organizational outcomes. It offers a holistic understanding of the business–politics relationship and proposes a managerial decision-making framework for strategic CPC engagement. The study also identifies gaps in the literature and suggests future research avenues.
Design/methodology/approach
This study employs a systematic review process to assess the CPC literature. Utilizing leading journals and databases like Web of Science, Scopus and EBSCO, we apply rigorous screening criteria to select 72 relevant papers critically analyzed using the “Antecedents-Phenomenon-Consequences” framework.
Findings
The research identifies two primary dynamics influencing CPC: “essential need” for firm survival and “elective choice.” It reveals that CPC strategies impact various firm performance metrics, including market returns, operational performance and policy outcomes. Research is concentrated in the US, with a limited focus on developing economies. Future research should focus on industry-specific studies, timing of contributions and cross-national comparisons.
Practical implications
This paper provides managers with a comprehensive framework for CPC engagement, helping them navigate political dynamics, optimize contributions and enhance firm performance while maintaining ethical and strategic considerations.
Originality/value
This paper systematically reviews the complex political strategy of CPC, providing a nuanced understanding of how CPC operates across different countries and contexts. It offers academics and professionals insights to develop robust theories and make informed decisions in a modern, complex business environment.
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Lina Xu, Hui Situ, Joe Chao Ren and Yunxiao Yang
This study aims to use corporate social responsibility (CSR) reporting focused on poverty alleviation in China as a case to demonstrate a unique interplay between the state and…
Abstract
Purpose
This study aims to use corporate social responsibility (CSR) reporting focused on poverty alleviation in China as a case to demonstrate a unique interplay between the state and private enterprises. It illustrates how CSR reporting has influenced both the mechanisms and outcomes of their interactive relationship, contributing to the construction of symbolic power.
Design/methodology/approach
Drawing on Bourdieu’s theory of symbolic power, this study explores how symbolic power has been constructed and reinforced between the state and private enterprises. It highlights the unique role of CSR reporting in facilitating an alignment between private enterprises objectives and state goals, ultimately reinforcing symbolic and social order. The empirical materials examined are the CSR reports prepared by the top 20 private enterprises in China from 2017 to 2022.
Findings
Major private business enterprises in China actively engage with the state’s objectives on poverty alleviation as reflected through their CSR reporting practices. This engagement is evidenced by shifts in keywords, dominant language and reporting structure, which closely align with the state’s stance on the issue. As a result, these enterprises receive heightened public recognition, which in turn helps reinforce the symbolic power and its influence on corporate behaviour.
Originality/value
This paper contributes to the CSR accounting literature by revealing a strategic role of CSR reporting that extends beyond conventional compliance levels commonly observed in Western liberal democratic societies. It serves as a function that facilitates interaction between the state and private enterprises in a symbolic power relationship, where both parties mutually benefit from the alignment of interests in poverty alleviation and social positioning.