A Review and Prospects of Cross-boundary Assemblage of EMNEs

Abstract

Internationalization and digitalization are superimposed at present. Some emerging market enterprises (EMNEs) are catching up or even surpassing the original incumbents. The initial resources and capabilities of EMNEs are not outstanding and traditional strategic theories cannot fully explain the EMNEs’ phenomenon of defeating the strong by the weak. Cross-boundary assemblage of EMNEs provides a more enlightening theoretical perspective. Cross-boundary assemblage of EMNEs refers to that EMNEs continue to cross the boundaries of technology, industry and geography, creatively integrate various resources and capabilities, continuously iterate products and services, and then form the compositional competitive advantage. The theoretical assumption of cross-boundary assemblage of EMNEs is organizational boundary dynamics. Based on the theoretical assumption, firstly, this article demonstrates the natural compatibility of cross-boundary assemblage of EMNEs, and clarifies the three-dimensional, global and open characteristics of cross-boundary assemblage. Second, this article combs the theoretical foundation of cross-boundary assemblage of EMNEs—strategic management theory and interdisciplinary theory, refines the influencing factors of cross-boundary assemblage of EMNEs from the two aspects of external and internal driving forces, and describes the dynamic process of cross-boundary assemblage of EMNEs. It expounds the profound relationship between cross-boundary assemblage and EMNEs’ compositional competitive advantages at the organizational and individual levels, puts forward the necessity and specific path for EMNEs to control the negative impact of cross-boundary assemblage, and finally constructs the three-stage dynamic theoretical framework of cross-boundary assemblage of EMNEs. On this basis, this article puts forward the future research directions of cross-boundary assemblage, mainly including: Qualitative research on how to deeply describe the specific process of EMNEs implementing cross-boundary assemblage, and how EMNEs resolve the negative impact of cross-boundary assemblage; how EMNEs respond to the heterogeneous impact of globalization on cross-boundary assemblage; how EMNEs deal with the opportunities and challenges brought by digitization to cross-boundary assemblage; how cross-boundary assemblage of EMNEs affect the breadth and depth of their international social responsibility; how EMNEs build organizational resilience through cross-boundary assemblage. The theoretical contributions of this article are as follows: It explains the mystery of corner-overtaking of EMNEs and expands the classical strategic theories represented by the resource-based view (RBV); cross-boundary assemblage of EMNEs is more specific than other strategic frontier theories like the resource orchestration theory. The practical contribution of this article is to provide feasible solutions for the strategic choice and tactical execution of EMNEs, which contributes to the rise of more EMNEs.