MNEs and the practice of international business diplomacy

Doh, Jonathan P.; Dahan, Nicolas; Casario, Michelle

doi:10.1016/j.ibusrev.2021.101926

Cited by 20 publications

(15 citation statements)

References 94 publications

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“…Furthermore, strategy scholars may explore the fit between host country contexts and MNE subsidiaries' deployment of organizational practices on, for example, environmental protection, data protection, or corruption influences policymakers. On non‐market strategies, and interactions with governments in particular (Butzbach, Fuller, & Schnyder, 2020; Devinney & Hartwell, 2020; Doh, Dahan, & Casarion, 2021), do MNE subsidiaries use their non‐market activity to genuinely help the host society, as opposed to promoting their own interest viz. local competitors?…”

Section: Research Challenges: a Focus On Mne Subsidiariesmentioning

confidence: 99%

The MNE and its subsidiaries at times of global disruptions: An international relations perspective

Meyer

2022

Global Strategy Journal

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The global economy has recently entered a period of disruptions, increasing barriers to cross-border business and potentially inhibiting the merits and legitimacy of integrated global strategies.We explore how three major disruptions in the global economy (reduced people mobility, divergent national regulatory institutions, and anti-globalization populism) affect the strategies of multinational enterprises, and, in particular, the role of their foreign subsidiaries.These external disruptions call for a reassessment of theories regarding the nature of global strategy and the interaction between businesses and their political environment. Specifically, we argue that the international relations perspectives of realism, liberalism, and constructivism help explain the nature of the disruptions, and hence can inform strategy scholarship in explaining and examining strategic responses to such external disruptions. Managerial Summary: Firms establish subsidiaries abroad in order to exploit the opportunities of globalization to the benefit of their shareholders and other

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Section: Research Challenges: a Focus On Mne Subsidiariesmentioning

confidence: 99%

The MNE and its subsidiaries at times of global disruptions: An international relations perspective

Meyer

2022

Global Strategy Journal

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“…The concept elaborates on research that has captured the influences of context in firm internationalization in terms of such issues as trade policy, security, and geostrategy (e.g., Dittfeld, 2017). It also touches upon the practice of IB diplomacy (Doh, Dahan, & Casario, 2022). These arrangements can actually be seen as pronounced in our internationalization process analysis, and they are driven by partnership-and politically-oriented opportunity beliefs.…”

Section: Discussionmentioning

confidence: 99%

Opportunity beliefs in internationalization: A microhistorical approach

Leppäaho

Mainela

Paavilainen-Mäntymäki

2023

J Int Bus Stud

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We propose the concept of opportunity belief as a means of understanding individuals as the interpreters of their contexts over the internationalization process of a firm. To illustrate the concept, we conducted a microhistorical analysis on one of the largest forest industry MNEs with an internationalization history of more than 150 years. Historical archival data and rich secondary material provided access to the reasonings of individuals over the firm’s internationalization. This allowed depiction of different types of opportunity beliefs as the drivers of internationalization actions within particular historical contexts. We portray opportunity belief as a complementary lens to current internationalization models focusing primarily on firm-level development.

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“…Recently, the role of corporate diplomacy has been noted: Through a set of micro-diplomatic activities, it enables MNEs to maintain longterm relationships with influential stakeholders, which in turn allow them to collect valuable information, influence the business climate, and even shape the socio-political environment (e.g., Alammar and Pauleen, 2016;Henisz, 2016;Falcão et al, 2021;Ru€ el, 2020;Sidibe, 2017). However, this research is still in its nascent stage, with the conceptualization, Corporate diplomacy operationalization, and influence of corporate diplomacy being largely underdeveloped, leading to various calls for a more precise conceptualization of corporate diplomacy (Doh et al, 2022;Li et al, 2022). Doh et al (2022) suggest that corporate diplomacy creates an ideal environment for fostering social capital and can be understood as a social capital-cultivating process, through which MNEs obtain valuable resources and information from influential stakeholders.…”

Section: Corporate Diplomacy: a Social Capital Theory-based Viewmentioning

confidence: 99%

Corporate diplomacy: the dimensional structure and outcomes

Jiang,

Teng,

Huang

et al. 2024

CCSM

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PurposeGiven the great upheaval in the international situation and the increasing operating risk in international business, research on corporate diplomacy is thriving. However, it still lacks clear conceptualization and operationalization. Based on social capital theory, our study conceptualizes corporate diplomacy as a three-dimensional construct and quantifies its distinct and combined impacts on multinational enterprises’ (MNE) subsidiary performance.Design/methodology/approachThis research analyzes 134 responses collected from a questionnaire survey among key informants in Chinese MNEs using the regression method.FindingsThis research finds that corporate diplomacy is positively correlated with MNEs’ subsidiary performance. Specifically, compatriot-oriented diplomacy is the most effective, followed sequentially by host-partner-oriented and host-regulator-oriented diplomacy. In addition, compatriot-oriented diplomacy substitutes for host-partner-oriented diplomacy but complements host-regulator-oriented diplomacy in enhancing subsidiary performance.Originality/valueOur research enriches the conceptualization and operationalization of corporate diplomacy and provides a nuanced view of its distinct and combined effects on MNEs’ subsidiary performance.

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MNEs and the practice of international business diplomacy

Cited by 20 publications

References 94 publications

The MNE and its subsidiaries at times of global disruptions: An international relations perspective

The MNE and its subsidiaries at times of global disruptions: An international relations perspective

Opportunity beliefs in internationalization: A microhistorical approach

Corporate diplomacy: the dimensional structure and outcomes

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