Rising power firms – the developmental promises and challenges: an introduction

Abstract

Purpose - The purpose of this paper is to introduce the notion of ?rising power firms? and how these firms offer developmental promises and challenges to the face of international business (IB). We suggest that rising power firms offer novel capabilities, connect IB to global value chains (GVCs) and then introduce the papers in the special issue. Design/methodology/approach - The papers in the special issue are grouped under two distinct themes, one considering the capabilities of rising power firms and how these are shaped broadly by the economic and socio political features of their home countries. The second theme clusters papers that have a GVC dimension in so far as they highlight failures in upgrading, flag the disconnect between economic and social upgrading and provide a novel conceptualisation of social value creation. Findings - The international business literature has paid growing attention to the emergence of multinational enterprises (MNEs) from rising powers, notably the ?BRICS?. One perspective, a dominant perspective in IB, sees RP MNEs as a manifestation of catch?up efforts by firms from emerging economies, another perspective suggests that rising power firms compete with distinct capabilities and business models. This special issue highlights the latter perspective. Originality/value - This paper introduces five diverse papers that deal with issues pertaining to rising power firms and developmental perspectives. Keywords - Rising powers, emerging multinational enterprises (EMNEs), global value chains, development, upgrading, social value creation. Paper type - General review