Do political connections matter for firm innovation? Evidence from emerging markets in Central Asia and Eastern Europe

Krammer, Sorin; Jiménez, Alfredo

doi:10.1016/j.techfore.2019.05.027

Cited by 96 publications

(74 citation statements)

References 114 publications

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“…However, political ties and related issues in theories of regulation are out of scope for this study, as Hunt (1999) states that such anticompetitive behavior is inconsistent with the R-A theory and does not contribute to social welfare. Furthermore, a recent work by Krammer and Jimenes (2020) uses the same sample of firms we will consider and does not find any evidence that investing in political connections promotes process innovations.…”

Section: Notesmentioning

confidence: 90%

Antecedents to supply chain innovation

Kabadurmus

2020

IJLM

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PurposeThe purpose of this study is to examine organizational and environmental (competition, capital scarcity and organization of labor) factors that affect firms' innovation activities within the supply chain.Design/methodology/approachThis study empirically examines the factors that affect firms' innovation activities using firm-level data from the last round of Business Environment Enterprise Performance Surveys (BEEPS). The analysis covers major supply chain functions: production, delivery and support systems.FindingsThe study shows that drivers of innovation vary with the type of innovation activity; as such, innovation efforts across supply chain functions should prioritize strategic resources that will create competitive advantages. Our results also reveal that sustainability efforts in the Eastern Europe and Central Asia (EECA) region should prioritize labor market reforms over capital market reforms.Originality/valueCurrent research on innovation and supply chain issues does not explicitly analyze innovations that occur in different sustainable supply chain functions, and empirical studies that focus on the determinants of innovations in the supply chain network are very limited. The data used in this study cover 30 economies in EECA, many of which are low- and middle-income countries, and thus contribute to the implementation of sustainable practices in developing countries.

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Section: Notesmentioning

confidence: 90%

Antecedents to supply chain innovation

Kabadurmus

2020

IJLM

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“…The managerial agency problem hence arises, as the principals are less motivated and less resourceful to do so. This dilemma leaves the market forces as the controllers for the managerial check [75,76]. Notwithstanding, when ownership of a firm is less dispersed and more concentrated, the role of large shareholders becomes important in monitoring and evaluation [77,78] leading to the pyramiding and tunneling effect of ownership.…”

Section: Moderating Role Of Shareholdingmentioning

confidence: 99%

CSR Disclosure: Effects of Political Ties, Executive Turnover and Shareholder Equity. Evidence from China

et al. 2021

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The context of China fosters different contextual factors, which influences the quality of corporate social responsibility (CSR) disclosure in comparison to firms across the rest of the world. Political ties at a corporate level are one of these vital factors. This paper studies the influence of firm-level political ties (PT) and executive turnover (ET) on the quality of CSR disclosure in the context of shareholding status of departing executive in Chinese listed A-share firms. Stakeholder and Agency theories are applied to the dissemination of CSR disclosures in Chinese firms whereby we used 20,578 firm-years interpretations of Chinese registered companies between 2012 and 2019. The results foster a negative link between executive turnover and quality of CSR disclosures. In addition, a negative relationship has been found between political ties and the quality of CSR disclosure. The findings disclose that the shareholding status of departing executive moderate the relationship between the impact of political ties and executive turnover on firms quality of CSR disclosure, whilst the effect of executive turnover on the quality of CSR disclosure was found more pronounced for firms whose departing executive held larger shareholding (SH). This study contributed to the literature on the quality of CSR disclosure while recognizing the negative effect of executive turnover on a firm’s quality of CSR disclosure for politically tied firms with a reinforcing moderating role of the shareholding status of departing executive.

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“…Li et al, 2018). Prior researches extensively studied these ties as antecedents of different factors such as performance (Luk et al, 2008;Wu, 2011), innovation (Krammer & Jimenez, 2020;C. Wang et al, 2020), research and development intensity (D. Wang et al, 2018), internationalization (X.…”

Section: Introductionmentioning

confidence: 99%

An Investigation of Entrepreneurial SMEs’ Network Capability and Social Capital to Accomplish Innovativeness: A Dynamic Capability Perspective

et al. 2021

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The empirical assessment of small and medium enterprises (SMEs) from different perspectives is an ever-green research agenda because of their enormous contributions to developed and developing economies. However, the size and resource limitations hinder the progress of SMEs. In this regard, business networks and connections have great potential to enable SMEs’ access to scarce and valuable resources. Entrepreneurial SMEs’ healthy relationships and connections with stakeholders can yield dynamism and innovativeness. Despite that, the understanding of these networks and connections over the innovation capability of entrepreneurial SMEs is limited and needs further empirical investigation. Thus, this study is among the preliminary ones which assay the impact of network capability on innovation capability in the entrepreneurial SMEs context. This study also investigates the above relationship through social capital. The study ground its assumptions based on dynamic capability theory and collected feedback via a questionnaire from 199 entrepreneurial SMEs operating in Pakistan. After ensuring the reliability and validity of collected feedback, the study employed the partial least square structural equation modeling technique to analyze it. Results of the study expand the understanding by unveiling that network capability has a substantial positive impact on innovation capability. This implies that by fortifying network capability, entrepreneurial SMEs substantially enhance their capabilities to innovate. Results also affirm that by building strong network capability, entrepreneurial SMEs boost their social capital, which subsequently has a positive and significant impact on innovation capability. Finally, by operationalizing the proposed model in the entrepreneurial SMEs context, this study made novel contributions to the literature of network capability, social capital, innovation capability, and entrepreneurship.

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Do political connections matter for firm innovation? Evidence from emerging markets in Central Asia and Eastern Europe

Cited by 96 publications

References 114 publications

Antecedents to supply chain innovation

Antecedents to supply chain innovation

CSR Disclosure: Effects of Political Ties, Executive Turnover and Shareholder Equity. Evidence from China

An Investigation of Entrepreneurial SMEs’ Network Capability and Social Capital to Accomplish Innovativeness: A Dynamic Capability Perspective

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