Historic and Emergent Trends in Chinese Outward Direct Investment

Buckley, Peter J.; Cross, Adam R.; Tan, Hui; Liu, Xin; Voss, Hinrich

doi:10.1007/s11575-008-0104-y

Cited by 260 publications

(163 citation statements)

References 46 publications

Supporting

Mentioning

154

Contrasting

Unclassified

Order By: Relevance

“…This is not surprising, as Chinese corporations usually get financing from Chinese banks for their investment overseas. Financing international investment with low interest and subsidy from governments is common for Chinese corporations and has been considered as a comparative advantage for them (Buckley, Cross, Tan, Xin, & Voss, ). These findings suggest that independent directors are not considered by these Chinese‐controlled subsidiaries important for accessing financial resources.…”

Section: Resultsmentioning

confidence: 99%

Do Chinese corporations take their governance practices abroad? Evidence from Chinese mining subsidiaries in Australia

Huang

Staples

2017

Thunderbird Intl Bus Rev

View full text Add to dashboard Cite

Directors of firms are theorized to fulfil control, service and resource dependence roles. However, the ways in which directors’ of Chinese MNCs govern their foreign subsidiaries, and perform these roles remains unclear. Building on the institutional logics perspective, this study explores the roles enacted by the boards of directors eight Chinese‐controlled companies in Australia to gain an appreciation of their governance practices. In depth semi‐structured interviews with insider and independent directors, consultants and market analysts were undertaken. A content analysis of company annual reports and web sites complimented primary sources of data on board functions. Findings reveal that control is the most dominant role played by these boards, rather than service or resource dependence. It also appears that the dominant logics of Chinese institutions influence the corporate governance of Chinese MNCs as they internationalize. These findings extend our understanding of corporate governance practices in China and abroad.

show abstract

Section: Resultsmentioning

confidence: 99%

Do Chinese corporations take their governance practices abroad? Evidence from Chinese mining subsidiaries in Australia

Huang

Staples

2017

Thunderbird Intl Bus Rev

View full text Add to dashboard Cite

show abstract

“…A strong political connection assists firms in achieving technological upgrades through internationalization and helps them to establish multiple information channels, policy preferences, and other important international relationships [39]. By joining the government in promoting international M&A, Chinese firms successfully integrated many international innovation facilities and platforms with their own innovation resources [50].…”

Section: Political Connection and Technology Acquisitionmentioning

confidence: 99%

Impact of Political Connection Strength on the Internationalization Outcome of Chinese Firms: Perspectives from Market Exploration and Technology Acquisition

Zhang

Huang

2020

Sustainability

View full text Add to dashboard Cite

Although the role of a home country's government in firms' internationalization processes has been investigated, there is a gap in the literature concerning the effectiveness of the government's effort. Based on the data of 1996 Chinese listed firms, this study investigates how the strength of Chinese firms' political connection with their home country government impacts the outcomes of their internationalization activities. These activities are classified into market exploration and technology acquisition. We establish an index to measure the firms' political connection strength and find that it exhibits a bimodal distribution, which indicates that some firms maintain a close relationship with the government, while the business activities of others are distant from the government. The strength of the political connection has different moderating effects on firms' internationalization processes when either the international market context or the firms' internationalization activities vary. A strong political connection is beneficial for firms to explore the markets and acquire beneficial technology from developed countries. Compared with its role in exploring international markets, political connection plays a more significant moderating role in augmenting the positive effect of international technology acquisition on firms' innovation capability. Therefore, Chinese firms may perform better in the internationalization process if they maintain a close relationship with the Chinese government, which engages in promoting the internationalization of domestic firms through an array of policies that may compensate for the firms' disadvantages. Our results show the mechanism through which emerging countries' governments use directives and incentives to facilitate the internationalization of domestic firms.

show abstract

“…However, the issue has received inadequate attention in mainstream literature. This is because scholars interested in the “globalization of Chinese enterprises” (Lattemann, Alon, Chang, Fetscherin, & McIntyre, ) have focused primarily on the antecedents, motives, entry strategies, and investment patterns of China's internationalized firms (e.g., Buckley et al, ; Buckley, Tan, & Xin, ; Cui & Jiang, ; Deng, ; Kang & Jiang, ; Kolstad & Wiig, ; Wei, ).…”

Section: Introductionmentioning

confidence: 99%

Country‐of‐Origin and Social Resistance in Host Countries: The Case of a Chinese Firm

Liu

2016

Thunderbird Intl Bus Rev

View full text Add to dashboard Cite

While China ' s outward direct investments continue to soar, many Chinese fi rms reportedly face social resistance in host countries during the internationalization process. We explore this phenomenon from a country-of-origin ( COO ) perspective using Fiske and colleagues' (Fiske, Cuddy, Glick, & Xu, 2002 ;Fiske, Xu, Cuddy, & Glick, 1999 ) stereotype content model. Our fi ndings from a recent case in New Zealand show that China ' s COO emerges as a key variable infl uencing how local actors view Chinese investors. Specifi cally, despite China ' s signifi cant economic and social developments over the past decades, it suffers from a somewhat negative country image in two stereotype dimensions: competence and warmth. This leads to a perception by local actors that Chinese fi rms are of low quality, which explains the source of resistance in society. To address such a liability of origin, Chinese fi rms must learn to deal with this form of stereotypical judgment encountered in a host environment. Further contributions and limitations of the study are discussed in the article.

show abstract

Historic and Emergent Trends in Chinese Outward Direct Investment

Cited by 260 publications

References 46 publications

Do Chinese corporations take their governance practices abroad? Evidence from Chinese mining subsidiaries in Australia

Do Chinese corporations take their governance practices abroad? Evidence from Chinese mining subsidiaries in Australia

Impact of Political Connection Strength on the Internationalization Outcome of Chinese Firms: Perspectives from Market Exploration and Technology Acquisition

Country‐of‐Origin and Social Resistance in Host Countries: The Case of a Chinese Firm

Contact Info

Product

Resources

About