IB Scholars Research Articles

Challenging the orthodoxy in international business research: Directions for “new” research areas

A strong critique of the international business field is that it has been “running out of steam” because IB scholars have failed to engage with emerging paradigm shifts in IB practice and management theory. IB research requires rejuvenation with timely, unique, controversial, and challenging new research questions. IB scholars need to move beyond incremental improvements to existing research agendas and focus on questions that are fundamentally new to the field. With this essay, we address four pressing topics (Buckley, Doh, & Benischke, 2017), namely: (1) the resurgence of populism, decoupling, and globalization; (2) disruptive technologies and digitalization; (3) sustainable development goals; and (4) the changing power relationships between firms, and between firms and governments. Our aim is to provide direct avenues for relevant new research that challenges the existing orthodoxy across the IB field. As part of this process, we introduce the papers in this special issue.

Paradigms in Qualitative IB Research: Trends, Analysis and Recommendations

This paper examines trends, challenges and opportunities in terms of research methodologies in qualitative IB research. In particular, it examines trends for the dominant (positivism/(post)positivism) paradigm versus alternative paradigms (i.e., social constructivism, critical realism and interpretivism) and provides a comparative analysis of data collection and methods. Using mixed methods to collect and analyze data on qualitative articles published in International Business Review, Journal of International Business Studies, Journal of World Business, and Management International Review, we examine trends and differences between the dominant and alternative paradigms and use qualitative content analysis to investigate how alternative paradigm papers are conceptualized and presented. Moreover, we interview authors of non-positivist papers to gain in-depth understanding of the findings. We reveal differences across the paradigms and provide evidence of paradigmatic fit between methods and data collection techniques for the dominant paradigm, but more variation for alternative paradigms. Lastly, we provide prescriptions for IB scholars in terms of methodology diversity and how complex IB phenomena can be pursued vis-a-vis alternative paradigms.

Towards a more comprehensive assessment of FDI’s societal impact

Societal actors increasingly expect multinational enterprises (MNEs) to positively impact the host countries in which they operate. While these expectations have prompted IB scholars to engage more extensively with the societal impacts of foreign direct investment (FDI), our collective knowledge of these impacts is limited. Early IB literature investigated FDI’s aggregate impact but generally confined the scope to economic effects. Contemporary, strategy-oriented IB scholarship broadened the scope of impact types to include social and ecological effects, yet mostly limited the scope of the impacted actors to MNEs themselves. We argue that IB research should more comprehensively assess FDI’s impact by incorporating social and ecological effects in addition to economic ones, and by accounting for a broader set of stakeholders beyond MNEs. IB scholars should challenge the assumption that FDI’s economic impacts spill over to positive societal outcomes, and that MNEs’ interests parallel those of host countries. A more comprehensive assessment will require IB scholars to question “win–win” assumptions about the complementarity of corporate societal and financial performance, examine FDI’s societal impact over longer time horizons, leverage innovative approaches from allied sciences, and consider interactions between different types of societal effects in order to appreciate their sometimes countervailing effects.

Decoupling in international business: The 'new' vulnerability of globalization and MNEs' response strategies.

What can MNEs learn from the COVID-19 pandemic? IB scholars have provided ample insights into this question with many focusing on risk management. Complementing these insights, we argue that MNEs should also consider the long-lasting effect that COVID-19, inter alia, had on the institutional logic underlying globalization. The U.S. and its allies have redefined their logic from pursuing cost-reduction to building partnerships based on shared value, aiming to substitute China's role in the world economy. The geopolitical pressure for decoupling from China is the source of 'new' vulnerability of globalization. Such pressure is counteracted by economic rationality, creating unsettled priority between the globalization and deglobalization logics at the macro-level institutional space. Combining both risk-management and institutional logic perspectives, we develop a more comprehensive framework on how MNEs should respond to these challenges. This paper contributes to the debate regarding the impact of COVID-19 on globalization, suggesting that neither globalization nor deglobalization logics will prevail in the short run, and IB will likely be more fractured in the long run, based on not only geographic but also ideological and value propinquity. In strategic sectors, the balance will shift toward bifurcation while in others the balance will shift toward the globalization logic.

War and International Business: Insights from Political Science

How might businesses foster peace? We borrow insights from political science on the causes of war to guide IB scholarly research. We analyze war as a bargaining failure and present five causes of war (unchecked authority, intangible incentives, uncertainty, commitment problems, and misperceptions). We then identify business-for-peace initiatives (modifying incentives for war and peace, ex-combatant demobilization and reintegration, providing information, mediation and track-two diplomacy, peace guarantees, and community engagement) and propose research questions for each. Our work has important implications for IB scholars conducting research on firms operating in conflict-prone environments.

Managing, Structuring and Scaling Innovation in International Organizations

This article summarizes my award-winning dissertation on innovation for transforming the United Nations (UN) to solve the grand challenges in a technologically evolving world. It answers: how do the processes of managing, structuring and scaling innovation impact international organizations and the fulfilment of their missions? Findings show that innovative initiatives lead to the development of responsible innovation capacity, that scaling digital solutions for wicked problems requires global/local ecosystem actors to take on new roles in each location, and that innovation units create value through relationships not owned by one party. These contributions exhibit the cross-sectoral potential for delivering global impact through innovation. It also shows that IB scholars have the frameworks and tools to move beyond traditional contexts to address real problems in the global economy.

(Not) Keeping up with the Joneses: Income Inequality, Social Cohesion and Crimes Against Businesses

Rising inequality is one of the grand societal challenges of our time. Yet, its effects on firms – including multinational enterprises (MNEs) – and their operations have not been widely examined by IB scholars. In this study we posit that income inequality within a country is positively associated with the incidence and severity of crime experienced by businesses. Further, we propose that this relationship will be negatively moderated by social cohesion (in the form of greater societal trust and lower ethno-linguistic fractionalization) in these countries, such that social cohesion helps to offset the negative impacts of inequality on crime against businesses. We test these hypotheses using a comprehensive data set of 114,000 firms from 122 countries and find consistent support for our theses. Our findings, which are robust to different alternative variables, model specifications, instrumentation, and estimation techniques, advance our understanding of the intricate ways through which inequality affects societies worldwide, specifically via business organizations, and the challenges this may pose to MNEs and other businesses. They also offer important managerial and policy insights regarding the consequences of inequality and potential mitigation mechanisms.

The Role of Multinationals in the Energy Transition

The primary aim of the proposed symposium is to discuss research questions focused on the implications of climate change for international business and on the role IB scholars can play in addressing climate change through a multi-level perspective. Building on seminal and own work of the organizers and presenters, the symposium will highlight important aspects at the intersection of climate change and IB as well as possible directions for future research and knowledge generation. It offers a platform for discussion and mutual learning among participants and should ideally ‘produce’ follow-up activities. Public policy, non-market capabilities and energy transition through foreign investments Presenter: Joao Albino Pimentel; U. of South Carolina, Darla Moore School of Business Leveraging dynamic capabilities for the energy transition: balancing energy sources Presenter: Birgitte Grogaard; BI Norwegian Business School Presenter: Helene Loe Colman; BI Norwegian Business School Presenter: Thao Vo; BI Norwegian Business School The oil and gas industry and its role in the energy transition Presenter: Andrew Inkpen; Thunderbird School of Global Management at ASU Interorganizational networks in energy transition collaboration Presenter: Randi Lunnan; BI Norwegian Business School MNE-specific responses to energy transition regulations Presenter: Michael Nippa; Free U. of Bozen-Bolzano Presenter: Markus David Taussig; Rutgers Business School

And the subsidiary lives on: Harnessing complex realities in the contemporary MNE

Managing multinational enterprise subsidiaries is a core facet of international business research. A shifting reality on the ground has triggered concerns around the waning relevance of the subsidiary because the MNE and its structure and processes have become increasingly complex. Consequently, more decentralized, responsive, and fluid organizational designs are now at the core of IB research. Juxtaposing recent arguments questioning subsidiary research altogether, we argue that IB scholars can explore and explain complex realities in the contemporary MNE without unnecessarily restricting the breadth of the field and giving up links to established research and theory. We reframe conversations around inward- and outward-looking perspectives, providing a path forward that emphasizes the importance of embracing the subsidiary concept in research reflecting today’s complex business environment.

Building Bridges Between (Global) Business and the Rainbow Community in India: An Interview with Pride Circle’s Co-founder Ramkrishna Sinha

As long as business is done, there also has to be a business case for diversity, equity and inclusion (DEI), says Ram Sinha from the Pride Circle. When it comes to DEI activities, the often invisible nature of the LGBT+ community, its smaller size (relative to other minorities) and vast heterogeneity, as well as lack of standardization of basic terminology, make building bridges between MNEs and the community quite challenging. In this interview with one of Asia’s leading social enterprises in the LGBT+ space, Ram shares his vast experience in the rapidly evolving DEI landscape. He also provides actionable insights for IB scholars, practitioners, educators and policymakers on MNE operations in an emerging market which is quickly becoming a hotbed of DEI innovation.

Income inequality, social cohesion, and crime against businesses: Evidence from a global sample of firms.

Rising inequality is one of the grand societal challenges of our time. Yet, its effects on firms – including multinational enterprises (MNEs) – and their operations have not been widely examined by IB scholars. In this study, we posit that income inequality within a country is positively associated with the incidence and severity of crime experienced by businesses. Further, we propose that this relationship will be negatively moderated by social cohesion (in the form of greater societal trust and lower ethno-linguistic fractionalization) in these countries, such that social cohesion helps to offset the negative impacts of inequality on crime against businesses. We test these hypotheses using a comprehensive data set of 114,000 firms from 122 countries and find consistent support for our theses. Our findings, which are robust to different alternative variables, model specifications, instrumentation, and estimation techniques, unpack the intricate ways through which inequality affects businesses worldwide and the associated challenges to MNEs. They also offer important managerial and policy insights regarding the consequences of inequality and potential mitigation mechanisms.Supplementary InformationThe online version contains supplementary material available at 10.1057/s41267-022-00535-5.

Integrating Historical Research into International Business: Towards an eventful temporality

Historical research is inherently temporal, highly contextualised and offers important insights to IB scholars. These accounts demonstrate eventful temporality in that they are contingent, complex and causally heterogeneous. We outline a framework for historical research in IB that focuses on 1) embedding theory to make historical accounts more relevant to IB scholars, 2) configuring such narratives as sequential, multi-level and contextual, and 3) generalising insights as contributions to theory. We end by reflecting on the potential for theoretical contributions through the integration of more historical research on international phenomena.

International business research and scholarship in the Middle East: developments and future directions

In this introduction we review the extant literature that demonstrate the importance of the Middle Eastern institutional and cultural context in shaping international business’s (IB) strategies and practices across several countries. Drawing on the literature, as well as the five articles included in this special issue, we (1) outline the state of socio-cultural, historical and economic forces that shape international business in several Middle Eastern nations; (2) utilize institutional theory to evaluate the constraints of international business practices in the Middle East; and (3) highlight the key gaps in the literature and the challenges faced by IB scholars and practitioners in the Middle East. We subsequently propose an agenda for future research in order to lay the foundation for international business scholars to advance the theorizing and application of IB practices in the Middle East context.

The Adoption Challenge: An Analysis of Research Methods in JIBS

This study introduces the concepts of translational distance and complexity distance to explain challenges to adoption of research methods in JIBS. We examine three analytical techniques and data collection approaches: (1) Heckman models, (2) ethnographic studies, and (3) data collection equivalence procedures in survey-based research. We note that progress has been made to reduce translational and complexity distance for analytical techniques. However, concerns remain for data collection equivalence and ethnography as IB scholars are using increasingly advanced analytical techniques on less credible data.

Innovation in and from emerging economies: New insights and lessons for international business research

This article argues that innovation in and from emerging economies is largely shaped by the challenges of sustained catching-up with the advanced economies. Just as firms and industries are constantly seeking to upgrade their technological and organizational capabilities, so too are their societies reconfiguring their institutions and networks to improve their knowledge resources. Such a co-evolutionary process requires IB scholars to draw on interdisciplinary work from the innovation and development literature in order to reconsider the key drivers of innovation at multiple levels within these economies. Innovation is not just limited to technological activities but includes organizational and transactional improvements, and is largely a process of recombination of local and imported knowledge, shared through multiple forms of collaboration. This can redefine the FSAs of local and foreign firms, often shaped by the strategies of domestic public and private actors. Simultaneously, policymakers need to develop the appropriate institutions needed to underpin R&D, training, standards, and knowledge coordination. MNEs play unique roles as instigators of innovation, as conduits for new knowledge, and as beneficiaries themselves, via their own recombination capabilities.

Long-term energy transitions and international business: Concepts, theory, methods, and a research agenda

International business and management (IB/IM) scholars are increasingly calling for more research attention to subject matter that incorporates global-scale issues (Buckley, Doh, & Benischke, 2017). These calls have frequently focused on societal “grand challenges” that transcend discrete geographical locations and well-defined (typically short) time periods. The present long-term energy transition (LTE), characterized by a shift away from hydrocarbons and towards renewables, represents an important example of a multi-level, multi-actor global challenge that unfolds at the interface of business and society, and requires employing multiple conceptual lenses to process and understand. Researchers addressing such multi-faceted complex problems face a range of challenges related to theorizing, framing, modeling, and ultimately conducting empirical studies. Based on our collective work as IB scholars and journal editors, in this Perspective article we identify some of the challenges long-term energy transitions pose, reflect on how those challenges can be conceptualized, offer potential responses, and propose a future research agenda.

Managing Internationalisation Tensions in Producer Cooperatives

Cooperatives, an important part of Oceania’s economies, are attracting renewed interest as an organisational form for addressing societal challenges. Yet that mission often depends on growth and internationalisation strategies, which introduce multiple tensions that can lead to an erosion of cooperative principles. How cooperatives can successfully manage such tensions arising from internationalisation has been understudied by IB scholars. Our study of Zespri shows that the transfer of cooperative principles is possible when internationalisation is viewed as an incremental process of learning and active managerial agency aimed at reconciling competing logics.

Encouraging Convergence of Information Behaviour Theory and Information Services Education

Information behaviour theory, models, and concepts (IB TMCs) are foundational for effective reference and information services (RIS) and yet they are not widely addressed in basic RIS courses. This study explores how librarianship students are being educated in IB TMCs. Course syllabi and assigned textbooks of RIS courses were analyzed for integration of IB TMCs. This analysis is followed by a survey of instructors of these courses to determine key factors in integration of IB TMCs. Preliminary results indicate that treatment of IB TMCs remain limited and suggest that IB scholars may have an impact on the integration of their work.

(Re)discovering social identity theory: an agenda for multinational enterprise internalization theory

PurposeFirm internalization is a central concept within the business strategy literature, as part of the broader social sciences. The purpose of this paper is to show how and where MNE internalization theory can benefit from a social identity theory (SIT) perspective to better understand 21st-century multinational enterprises (MNEs).Design/methodology/approachThis paper provides a review and future research agenda for the use of SIT related to MNE internalization theory. The authors complement an evolutionary review of SIT literature with a systematic bibliometric analysis identifying specific thematic gaps. Extending Buckley and Casson’s review of and future research agenda for MNE internalization theory, the authors propose three specific future research directions along with eight guiding research questions.FindingsInternational business (IB) scholars are familiar with limited aspects of SIT and apply it only in certain research areas, mainly connected to human resource management and leadership, organizational identity and work-related outcomes or international marketing. Strategic management and strategy-oriented IB scholars are less familiar with SIT, despite growing interest in MNE micro-foundations and decision-making under uncertainty.Originality/valueThe authors position SIT as a natural meta-theoretical fit to MNE internalization theory. By providing a future research agenda along with eight supporting research questions, the authors help to advance the MNE internalization theory by linking individual, group and intergroup perspectives against a more socially nuanced, interactionist and dynamic view of MNEs and their decision-making.

(Social) Identity Theory in an Era of Identity Politics: Theory and Practice

As a social psychology meta-theory, social identity theory (SIT) continues to evolve and expand in terms of areas of applicability and issues. Revisiting SIT can help IB scholars go beyond applying it to just in-group/out-group behaviour. SIT can also be used to explain collective action, emotion and social change in the face of uncertainty. Managers can use it to address increasing relevance of identity politics, uncertainty and divisiveness. The article overviews the current use of SIT by IB scholars, identifies potential areas of application and provides theoretical and managerial recommendations for the use of SIT.