Do guanxi and harmonious leadership matter in the sociocultural integration by Chinese multinational enterprises in The Netherlands?

Abstract

PurposeThe study aims to examine the effects of guanxi and harmonious leadership on acquisition performance and the role of sociocultural integration as a mediating mechanism impacting the above links, with a focus on Chinese cross-border acquisitions in The Netherlands.Design/methodology/approachData were collected through survey questionnaire with 91 respondents who work in Dutch-acquired companies. Regression analysis was used for exploring the relationship.FindingsThe study finds that both guanxi and harmonious leadership are positive to acquisition performance, and sociocultural integration represents a significant mediating mechanism by which guanxi and harmonious leadership can result in improved acquisition performance.Originality/valueThis study contributes to culture research by emphasizing the clarification of specific Chinese cultural values and cultural practices in cross-border acquisitions and examining the role of guanxi and harmonious leadership in acquisition performance. Meanwhile, this study helps to unveil Chinese cross-border acquisitions in The Netherlands by examining the mediating force – sociocultural integration.