IJVs’ CEOs as Boundary Spanners and Inter-Organization Cooperation

Abstract

Integrating boundary spanning and organizational identification theories, we posit that a boundary spanner’s organizational identification (i.e., the sense of oneness with an organization) is an important factor shaping inter-organizational relationships. We examined CEOs of international joint ventures (IJVs) as the boundary spanners. We found that organizational identification of an IJV’s CEO with a parent firm is positively related to cooperation between the venture and that parent, and this relationship is stronger when the level of goal incongruence between parents is higher. The cooperation between the foreign (but not local) parent and the IJV is in turn positively related to the IJV’s performance. This study extends extant research by revealing the role of a boundary spanner’s organizational identification in inter-organizational boundary spanning as well as inter-firm goal incongruence as a boundary condition for this role.