UM
The role of international institutional complexity on emerging market multinational companies’ innovation
Wu,Jie1; Park,Seung Ho2
2019-05-01
Source PublicationGlobal Strategy Journal
ISSN20425805
Volume9Issue:2Pages:333-353
AbstractResearch Summary: This study examines the role of international institutional complexity, which is defined as the scope and multiplicity of institutional dimensions across foreign markets, on emerging market multinational companies’ (EMMCs) innovation performance. We propose that international institutional complexity provides learning opportunities for EMMCs’ innovation performance but also incurs higher management costs to handle information overload from overextended internationalization. We further propose that the host exposure and the heterogeneity of an EMMC's top management team (TMT) moderate the main effect of international institutional complexity on EMMC innovation. The empirical testing utilizes a longitudinal panel dataset of 7,072 foreign expansion steps by 767 Chinese firms from 2001 and 2010 and offers strong support for the proposed hypotheses. Managerial Summary: Despite the emergence of EMMCs over the past 30 years, there is little understanding of how international institutional complexity impacts EMMCs’ innovation capabilities. By analyzing a longitudinal panel dataset of 7,072 foreign expansion steps by 767 Chinese firms from 2001 and 2010, we find that the international institutional complexity of an EMMC has an inverted U-shaped impact (first increasing and then decreasing) on its innovation, such that a moderate level of international institutional complexity generates the most innovation output. We also find that TMT host exposure and TMT heterogeneity positively moderate the relationship between international institutional complexity and EMMCs’ innovation performance. Our study contributes to better understanding EMMCs’ international strategies in enhancing their innovation capabilities.
Keywordemerging market multinational companies innovation international institutional complexity TMT heterogeneity TMT host exposure
DOI10.1002/gsj.1166
URLView the original
Language英语
Fulltext Access
Citation statistics
Cited Times [WOS]:4   [WOS Record]     [Related Records in WOS]
Document TypeJournal article
CollectionUniversity of Macau
Corresponding AuthorWu,Jie
Affiliation1.Department of Management and Marketing,Faculty of Business Administration,University of Macau,Avenida da Universidade,,Taipa,Macao
2.Department of Strategy and Entrepreneurship,China Europe International Business School,,Pudong,China
First Author AffilicationFaculty of Business Administration
Corresponding Author AffilicationFaculty of Business Administration
Recommended Citation
GB/T 7714
Wu,Jie,Park,Seung Ho. The role of international institutional complexity on emerging market multinational companies’ innovation[J]. Global Strategy Journal,2019,9(2):333-353.
APA Wu,Jie,&Park,Seung Ho.(2019).The role of international institutional complexity on emerging market multinational companies’ innovation.Global Strategy Journal,9(2),333-353.
MLA Wu,Jie,et al."The role of international institutional complexity on emerging market multinational companies’ innovation".Global Strategy Journal 9.2(2019):333-353.
Files in This Item:
There are no files associated with this item.
Related Services
Recommend this item
Bookmark
Usage statistics
Export to Endnote
Google Scholar
Similar articles in Google Scholar
[Wu,Jie]'s Articles
[Park,Seung Ho]'s Articles
Baidu academic
Similar articles in Baidu academic
[Wu,Jie]'s Articles
[Park,Seung Ho]'s Articles
Bing Scholar
Similar articles in Bing Scholar
[Wu,Jie]'s Articles
[Park,Seung Ho]'s Articles
Terms of Use
No data!
Social Bookmark/Share
All comments (0)
No comment.
 

Items in the repository are protected by copyright, with all rights reserved, unless otherwise indicated.