Antecedents and Performance Consequences of Subsidiaries' Political Activities in Emerging Markets: An Institutional Approach

Stefan Heidenreich, Jonas F. Puck, Phillip C. Nell

    Publikation: Bidrag til bog/antologi/rapportKonferenceabstrakt i proceedingsForskningpeer review

    Abstrakt

    This paper analyzes antecedents of political activities deployed by MNC subsidiaries in emerging markets and subsequently examines their effect on subsidiary performance. Following institutional theory reasoning, we point towards institutional duality subsidiaries are confronted with, entailing isomorphic pressures stemming from their internal as well as their external environment. Our hypotheses are tested using a three-stage least squares method with data from 156 subsidiaries in emerging markets. Results contribute to theory by providing evidence on the effects stemming from internal vs. external isomorphic pressures on political activities, and delivering a deeper-level understanding of the latter relationship by differentiating the higher-level concept of external isomorphic pressures into pressures from national public and national private stakeholders. Finally, we find significant support for a positive effect of political activities on subsidiary performance, revealing strong implications for practitioners.
    OriginalsprogEngelsk
    TitelProceedings of the 54rd Annual Meeting of the Academy of International Business
    RedaktørerSusan Feinberg, Tunga Kiyak
    UdgivelsesstedEast Lansing, MI
    ForlagAcademy of International Business
    Publikationsdato2012
    Sider124
    StatusUdgivet - 2012
    BegivenhedAIB 2012 Annual Meeting: Rethinking the Roles of Business, Government and NGOs in the Global Economy - George Washington University and University of Maryland, Washington, USA
    Varighed: 30 jun. 20123 jul. 2012
    Konferencens nummer: 54
    http://aib.msu.edu/events/2012/

    Konference

    KonferenceAIB 2012 Annual Meeting
    Nummer54
    LokationGeorge Washington University and University of Maryland
    LandUSA
    ByWashington
    Periode30/06/201203/07/2012
    Internetadresse
    NavnAcademy of International Business. Annual Meeting. Proceedings
    Vol/bind54
    ISSN2078-4430

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