Political perspectives of relationship networks to internationalization of firms in an emerging economy
DOI:
https://doi.org/10.18568/1980-4865.12274-89Keywords:
Relationship Networks, Neo-institutional Theory, Political Perspective, Internationalization, Emerging CountriesAbstract
The neo-institutional theory has been used to explain inter-organizational networks related phenomena from the economic and sociological perspectives. The political perspective has not been often used to study institutional contexts of networks. We aim to analyze the decision-making of the formal institutions in the internationalization process of firms in an emerging economy from a political bias. For the empirical field of study, we considered the Brazilian wine industry. Starting from a case study with twenty-three interviews with representatives of wineries and entities of this industry, our paper furthers the understanding of how institutions influence the internationalization of firms in an emerging economy. Based on the political perspective of the neo-institutional theory, our study describes how institutions, mainly the government, can influence an industry. Government cannot afford resources to benefit or protect all the industries, as well as cannot provide incentives to all firms, and those that are supported will lose competitiveness. For the firms, the choices are based on trying to achieve economic advantages through political influences. For the institutions, the choices are based on political influences considering institutional strategies.Downloads
References
Associação Latino-Americana de Integração (ALADI). (2015). Foco ALADI: Oportunidades comerciais Brasil-Chile, 03, 1/11.
Amin, A., & Thrift, N. (1994). Living in the global. In A. Amin, & N. Thrift (Eds.), Globalization, Institutions and Regional Development in Europe. Oxford: Oxford University Press.
Ball, R., Kothari, S.P., & Robin, A. (2000). The effect of international institutional factors on properties of accounting earnings. Journal of Accounting & Economics, 29, 1-52.
Anand, B.N., & Khanna, T. (2000). Do firms learn to create value? The case of alliances. Strategic Management Journal, 21(3), 295-315.
Banerjee, A., Banerji, R., Duflo, E., Glennerster, R., & Khemani, S. (2006). Can Information Campaigns Spark Local Participation and Improve Outcomes? A Study of Primary Education in Uttar Pradesh, India. World Bank Policy Research, n. 3967.
Bardin, L. (2011). Análise de conteúdo. São Paulo: Edições 70.
Baron, D.P. (1995). Integrated strategy: Market and nonmarket components. California Management Review, 37(2), 47-65.
Boisot, M., & Meyer, M. (2008). Which Way Through the Open Door? Reflections on the Internationalization of Chinese Firms. Management and Organization Review, 4(3), 349-365.
Brey, N.K., Camilo, S.P.O., Marcon, R., & Bandeira-de-Mello, R. (2014). Conexões políticas em estruturas de propriedade: o governo como acionista em uma análise descritiva. RAM. Revista de Administração Mackenzie (Online), 15, 98-124.
Burt, R.S. (1992). Structural holes: The social structure of competition. Cambridge, MA: Harvard University Press.
Child, J., & Faulkner, D. (1998). Strategies of Co-operation: Managing Alliances, Networks and Joint Ventures. Oxford: Oxford University Press.
Child, J., & Rodrigues, S.B. (2005). The internationalization of Chinese firms: a case for theoretical extension?. Management and Organizational Review, 1, 381-410.
Collis, J., & Hussey, R. (2005). Pesquisa em administração. 2nd ed. Porto Alegre: Bookman.
Cropper, S., Ebers, M., Huxham, C., & Ring, P.S. (2014). Introdução às relações interorganizacionais. In S. Cropper, M. Ebers, C. Huxham, & P.S. Ring (Eds.), Handbook de Relações Interorganizacionais da Oxford (pp. 3-28). Porto Alegre: Bookman, 2014.
Cuervo-Cazurra, A., & Genc, M. (2008). Transforming disadvantages into advantages: developing-country MNEs in the least developed countries. Journal of International Business Studies, 39(6), 957-979.
Cuervo-Cazurra, A., Inkpen, A., Musacchio, A., & Ramaswamy, K. (2014). Governments as owners: State-owned multinational companies. Journal of International Business Studies, 45(8), 919-942.
Dahan, N.M., Hadani, M., & Schuler, D.A. (2013). The Governance Challenges of Corporate Political Activity. Business & Society, 52(3), 365-387.
DiMaggio, P., & Powell, W. (1983). The iron cage revisited: Institutional isomorphism and collective rationality in organizational fields. American Sociological Review, 48, 147-160.
Dunning, J.H., & Lundan, S.M. (2008). Multinational enterprises and the global economy. Cheltenham: Edwar Elgar.
Edwards, T., Delbridge, R., & Munday, M. (2005). Understanding Innovation in Small and Medium-Sized Enterprises: A Process Manifest. Technovation, 25, 1119-1127.
Eisenhardt, K.M. (1989). Building theories from case study research. Academy of Management Review, 14(4), 532-550.
Farias, C.V.S. (2011). Inovação e ganhos competitivos na vitivinicultura gaúcha: uma abordagem preliminar. Anais do 6º Congresso do Instituto Franco-Brasileiro de Administração de Empresas, Franca, SP, Brasil.
Flick, U. (2009). Desenho da pesquisa qualitativa. Porto Alegre: Artmed.
Fligstein, N. (1996). Markets as politics: a political-cultural approach to market institutions. American Sociological Review, 61, 656-673.
Frieden, J.A. (1991). Invested Interests: The Politics of National Economic Policies in a world of global finance. International Organization, 45(4), 425-451.
Gammeltoft, P., Barnard, H., & Madhok, A. (2010). Emerging multinationals, emerging theory: macro and micro-level perspectives. Journal of International Management, 16, 95-101.
Granovetter, M. (1973). The Strength of Weak Ties. A Network Theory Revisited. American Journal of Sociology, 78(3), 3-30.
Grant, W., Coen, D., & Wilson, G. (2010). Political Science Perspectives on Business and Government. APSA 2010 Annual Meeting Paper.
Grossman, G., & Helpman, E. (1994). Protection for Sale. American Economic Review, 84(1), 833-850.
Gulati, R., Nohria, N., & Zaheer, A. (2000). Strategic Networks. Strategic Management Journal, 21(3), 203-215.
Hall, P.A., & Soskice, D. (2001). Varieties of capitalism: the institutional foundations of comparative advantage. New York: Oxford University Press.
Hall, P., & Taylor, R. (1996). Political science and the three new institutionalisms. Political Studies, 44, 936-957.
Instituto Brasileiro Do Vinho (Ibravin). (2013). Site. Retrieved from: http://www.ibravin.org.br
Jarillo, J.C. (1988). On strategic networks. Strategic Management Journal, 9(1), 31-41.
Klijn, E.H. (2008). Policy and Implementation Networks: Managing Complex Interactions. In S. Cropper, C., Huxham, Ebers, M., & Ring, P.S. The Oxford Handbook of Inter-Organizational Relations (pp. 118-146). Oxford: Oxford University Press.
Klijn, E.H. (2001). Rules as Institutional Context for Decision Making in Networks: The Approach to Postwar Housing Districts in Two Cities. Administration & Society, 33, 133-164.
Kostova, T., & Zaheer, S. (1999). Organizational legitimacy under conditions of complexity: the case of multinational enterprise. Academy of Management Review, 24(1), 64-81.
Lawrence, T.B. (1999). Institutional Strategy. Journal of Management, 25(2), 161-188.
Lazzarini, S.G. (2015). Strategizing by the government: can industrial policy create firm-level competitive advantage? Strategic Management Journal, 36, 97-112.
La Porta, R., Lopez-De-Silanes, F., Shleifer, A., & Vishny, R.W. (1999). The quality of government. Journal of Law, Economics and Organization, 15, 222–279.
Lindblom, C.E. (1977). Politics and Markets: The World’s Political Economic Systems. New York: Basic.
Lotia, N., & Hardy, C. (2008). Critical perspectives on collaboration. In S. Cropper, C. Huxham, M. Ebers, & P.S. Ring. The Oxford Handbook of Inter-Organizational Relations. Oxford: Oxford University Press.
Luo, Y., & Tung, R.L. (2007). International expansion of emerging market enterprises: A springboard perspective. Journal of International Business Studies, 38, 481-498.
Marcon, R., Lazzarini, S.G., Musacchio, A., & Bandeira-De-Mello, R. (2015). What Do State-Owned Development Banks Do? Evidence from BNDES, 2002-09. World Development, 66, 237-253.
Martin, X. (2014). Institutional Advantage. Global Strategy Journal, 4(1), 55-59.
Mesquita, L.F., & Lazzarini, S.G. (2008). Horizontal and Vertical Relationships in Developing Economies: Implications for SMEs' Access to Global Markets. Academy of Management Journal, 51(2), 359-380.
Meyer, K.E., & Peng, M.W. (2005). Probing theoretically into Central and Eastern Europe: transactions, resources, and institutions. Journal of International Business Studies, 36, 600-621.
Milner, H.V. (1997). Interests, Institutions, and Information: Domestic Politics and International Relations. Princeton: Princeton University Press.
Minh, T.T., & Hjortsø, C.N. (2015). How institutions influence SME innovation and networking practices: The case of Vietnamese agribusiness. Journal of Small Business Management, 53(S1), 209-228.
Musacchio, A., Lazzarini, S.G., & Aguilera, R. (2015). New Varieties of State Capitalism: Strategic and Governance Implications. Academy of Management Perspectives, 29, 115-131.
North, D.C. (1990). Institutions, institutional change and economic performance. Cambridge: Cambridge University Press.
Organisation Internationale de la Vigne et du Vign (OIV). (2012). Statistical Report on World Vitiviniculture 2012. Retrieved from: http://www.oiv.int
Peng, M.W. (2002). Towards an institution-based view of business strategy. Asia Pacific Journal of Management, 19, 251-267.
Pittaway, L., Robertson, M., Munir, K., Denyer, D., & Neely, A. (2004). Networking and innovation: A systematic review of the evidence. International Journal of Management Reviews, 5/6(3/4), 137-168.
Protas, J.F.S., Camargo, U.A., & Mello, L.M.R. (2013). A vitivinicultura brasileira: realidade e perspectivas. Bento Gonçalves: Embrapa Uva e Vinho.
Provan, K.G., & Kenis, P. (2007). Modes of Network Governance: Structure, Management, and Effectiveness. Journal of Public Administration Research and Theory, 18, 229-252.
Ramamurti, R. (2008). What Have We Learned about Emerging Market MNEs? In R. Ramamurti, & V. Singh. (Eds.), Emerging Multinationals from Emerging Markets. Cambridge: Cambridge University Press.
Ramamurti, R. (2012). Competing with emerging market multinational. Business Horizon, 55, 241-249.
Scott, W.R. (1995). Institutions and organizations. London: Sage Publications.
Scott, W.R. (2001). Institutions and organizations. London: Sage Publications.
Sena, T., Lana, J., Marcon, R., & Bandeira-De-Mello, R. (2016). A influência da conexão política nos ativos intangíveis. Brazilian Journal of Quantitative Methods Applied to Accounting, 3, 32-51.
Sheth, J.S. (2011). Impact of Emerging Markets on Marketing: Rethinking Existing Perspectives and Practices. Journal of Marketing, 75(4), 166-182.
Scharpf, F.W. (1978). Interorganizational Policy Studies: Issues, Concepts and Perspectives. In K.I. Hanf, F.W. Scharpf (Eds.), Interorganizational policy making: Limits to coordination and central control (pp. 345-370). London: Sage.
Stake, R.E. (1995). The art of case study research. Thousand Oaks, CA: Sage.
Strauss, A., & Corbin, J. (1990). Basics of qualitative research: Grounded theory procedures and techniques. Newbury Park, CA: Sage.
Theilen, K., & Steinmo, S. (1992). Historical institutionalism in comparative perspective. In S. Steinmo, K. Theilen, & F. Longstreth. (Eds.), Structuring Politics: historical institutionalism in comparative perspective. Cambridge: Cambridge University Press.
Voltolini, A. (2013). (Ed.), Revista Anuário Vinhos do Brasil. Rio de Janeiro: Intergraf.
Werner, T., & Wilson, G.K. (2008). Interest Groups. In D. Caramani (Ed.), Comparative Politics. Oxford, UK: Oxford University Press.
Wood, S. (1999). Building a Governance Structure for Training? Employers, Government and the TEC Experiment in Britain. In P.D. Culpepper, & D. Finegold. The German skills machine: sustaining comparative advantage in a global economy (pp. 363-402). New York: Berghahn Books.
Downloads
Published
How to Cite
Issue
Section
License
- The author(s) authorize the publication of the article in the journal;
- The author(s) ensure that the contribution is original and unpublished and is not being evaluated in other journal(s);
- The journal is not responsible for the opinions, ideas and concepts expressed in the texts because they are the sole responsibility of the author(s);
- In case an article will be approved for publication, the author will sign the term of Cession of Copyright to the journal, according to the download form.