AIB 2012 Conference Proceedings - Academy of International ...

MONDAY
How Do Foreign MNCs and Local Firms Compete An Integrative View
Wei Yang, China Europe International Business School
The resource-based view (RBV) and the competitive dynamics perspective are central to the strategy research.
But their tight linkage and re-enforcing nature have been largely ignored. This paper integrates these two views
into one theoretical framework and use survey data to test the interrelationships of the strategic resource
endowment and competitive response, and their influence on firm competitive advantage. We deem that
strategic resources have both direct and indirect impacts on firm competitive advantage. The indirect impact is
realized through the mediating effects of competitive response speed on the relationships of strategic resources
and firm competitive advantage. (For more information, please contact: Wei Yang, China Europe International
Business School, China: ywei@ceibs.edu)
How Uncertainty Avoidance, Risk and Relatedness Matter in Emerging Economy Acquisitions
Somnath Lahiri, Illinois State University
Drawing on entry mode literature we examine in this study how three important factors: (a) cultural distance
along the uncertainty avoidance dimension, (b) difference in country risk, and (c) relatedness between acquirer
and target industry impact cross-border acquisition choice of foreign MNEs in emerging markets. Analysis of a
sample of 1389 acquisitions undertaken in two emerging economies by MNEs from 33 nations over a 11-year
time period generally support our hypothesized relationships on the direct and moderating influence of
uncertainty avoidance difference, country risk difference and relatedness on the choice of partial acquisition
over full acquisition. In addition, our results suggest similar choice of acquisition when the aggregate measure
of national cultural distance is used in place of uncertainty avoidance difference. We conclude by discussing
various implications of the study and providing directions for future research. (For more information, please
contact: Somnath Lahiri, Illinois State University, USA: slahiri@ilstu.edu)
Strategic Alliances, Institutions and Performance in Emerging Markets
Rand Gerges Yammine, EMLYON Business School
This study tackles two research questions. First, how do institutional contexts impact the decision of foreign
firms to opt for strategic alliances as entry strategies in emerging markets Second, are strategic alliances
linked to superior performance in specific institutional contexts Building on institutional theory and a network
perspective, we investigate the relationships between strategic alliances as entry strategies, home and host
countries' institutional contexts, and performance consequences. In particular, we argue that foreign firms are
more likely to enter emerging markets with strategic alliances to counteract market inefficiencies through access
to valuable inter-firm networks. However when the institutional context is similar, foreign firms prefer
alternative entry strategies which allow greater control namely acquisition or greenfield. We also argue that in a
weak institutional context, strategic alliances are associated with superior performance in comparison with other
entry strategies. We opt for a multi-industry, cross country dataset comprising 300 FDI projects in 20 emerging
markets from 1995 to 2005. (For more information, please contact: Rand Gerges Yammine, EMLYON Business
School, France: gergesyammine@em-lyon.com)
Barriers to Bilateral Business Relations: The Case of Australia and Ukraine
Genrikh Salata, Australian National University
Pierre van der Eng, Australian National University
Vinh Nhat Lu, Australian National University
Vesna Sedoglavich, Australian National University
AIB 2012 Conference Proceedings
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