Abstract
T he research in social sciences on economic growth in developing economies has reached a consensus on the crucial role played by “institutions” (North, 1990; Olson, 1982; Ostrom, 1990). The transplanting of foreign institutions or the adjustment of local institutions requires the involvement of local knowledge and local participation. We believe that nongovernment organizations (NGOs) can play a vital bridging role in the transfer of foreign institutions, for example, multinational corporations (MNCs), to facilitate their integration with local institutions. Buckley (2002) in a recent analysis of the future research agenda for international management has pointed out the importance of analyzing the roles of new actors such as NGOs in the international business environment. This complements Arpan’s (1997) Academy of International Business (AIB) presidential address, which raised the issue of the need for international business research to broaden its scope in terms of topics,
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