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AIB 2012 Conference Proceedings - Academy of International ...

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MONDAY<br />

Harnessing Business Services Sourcing Capabilities for Economic Development in Newly Industrialized<br />

Economies<br />

Xing Zhong, Duke University<br />

Arie Y. Lewin, Duke University<br />

The economic development potential <strong>of</strong> business services sourcing <strong>of</strong>fers a new lever for economic growth. But<br />

so far a systematic roadmap is missing for guiding and assessing how to harness the benefits <strong>of</strong> attracting<br />

sourcing <strong>of</strong> business process services at a time when global sourcing <strong>of</strong> such services is becoming a new<br />

business normal. The extent to which a country can realize a full spectrum <strong>of</strong> economic development potential<br />

from business sourcing, ranging from income shift to moving up the global value chain given the country<br />

specific development paths and national absorptive capacity is currently under explored, as well as the<br />

effectiveness <strong>of</strong> policy instruments a country can deploy to promote its attractiveness for business services<br />

sourcing. In this paper, we propose a comprehensive two-stage model involving a multi-level analysis, and<br />

provide fresh insights on the global organization and reconfiguration <strong>of</strong> value chain and work, and how global<br />

sourcing <strong>of</strong> business services can contribute to developing countries economic growth. The model also considers<br />

the mediating effect <strong>of</strong> complementarities necessary for addressing the question <strong>of</strong> how piecemeal policies and<br />

economic development instruments can be bridged successfully and sustainably. (For more information, please<br />

contact: Xing Zhong, Duke University, USA: xing.zhong@duke.edu)<br />

The influence <strong>of</strong> the National Institutional Environment on the Entry <strong>of</strong> Indigenous Firms into Global Value<br />

Chains: A Comparative Case Study Investigation in Tajikistan and Kyrgyzstan<br />

Dilshod Makhmadshoev, University <strong>of</strong> Strathclyde<br />

Much <strong>of</strong> the recent research on global value chains (GVCs) has focused on how relations amongst different<br />

participants in chains are governed, and further, how global governance structures (i.e. behaviours <strong>of</strong> lead<br />

firms) affect the process <strong>of</strong> entry into chains. In fact, the literature asserts that entry barriers (and therefore<br />

access to chains) are predominantly determined and defined by governance structures. This paper argues that<br />

policies, regulations, practices, and norms <strong>of</strong> doing business at local and national levels (especially in transition<br />

economies) could be as important as global governance structures in shaping the opportunities for indigenous<br />

producers to enter GVCs. (For more information, please contact: Dilshod Makhmadshoev, University <strong>of</strong><br />

Strathclyde, United Kingdom: dilshod.makhmadshoev@strath.ac.uk)<br />

Session: 2.1.13 - Interactive<br />

Track: 7 - Emerging Economies<br />

Studying Consumer and Employee Behavior in Emerging Markets<br />

Presented On: July 2, <strong>2012</strong> - 09:00-10:15<br />

Chair: Douglas Sanford, Towson University<br />

Consumer Responses and Cross-border Acquisitions: Evidence from China<br />

Cher-Min Fong, National Sun Yat-sen University<br />

Chun-Ling Lee, National Sun Yat-sen University<br />

Yunzhou Du , Anhui University <strong>of</strong> Finance & Economics<br />

This study investigates Chinese consumer responses toward acquisition <strong>of</strong> a local firm by foreign multinational<br />

corporations (MNCs) from different animosity-evoking countries (High: Japan vs. low: Netherland). This study<br />

designs an experiment by manipulating the animosity-evoking and corporate reputation to examine the effects<br />

<strong>of</strong> consumer animosity and local target reputation on Chinese consumers' responses toward the post-acquisition<br />

target (foreign subsidiary). Results show that animosity against specific country does affect Chinese consumers'<br />

<strong>AIB</strong> <strong>2012</strong> <strong>Conference</strong> <strong>Proceedings</strong><br />

Page 117

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