AIB Newsletter VOL. 17, NO. 1 FIRST QUARTER 2011
From Where I Sit… Mary Ann Von Glinow AIB President
…the AIB is undergoing change. In the better support for our chapters and mem- 3rd Quarter Newsletter I tasked four bers online. presidential committees to give me (and We will soon ask you to approve con- the AIB Board and Secretariat) their best stitution and bylaws changes to expand thinking on issues related to governance, the AIB Board composition. We think ethics, our publications at AIB and our it is high time we had more “corporate finances. What emerged was a series of memory” in our elected board members, recommendations and ideas that preoc- and so the governance committee has cupied the Board at our recent meeting recommended that we expand our board in Miami. I’ll be commenting on these in membership to include the following a series of blog posts in more detail, but I positions: President-elect, Past Program wanted to give you an idea of what we’re Chair, and up to two additional VP Admin- Inside thinking about, when I say we’re going istration positions. Thus we would move through changes. from about six positions now to a total of From the 2011 Program Chair. . . 3 We’re thinking about adding another nine elected positions and our Secretariat AIB publication. But, we’re not going to ex-officio, non-voting. We think the expan- AIB 2011 Annual impose our thinking on you, the mem- sion will tap into your resources and serve Meeting Lodging bership; instead, we’re going to ask you the membership well. Information. . . . 5 directly in a member survey what type of We’ll also be adding a Code of Eth- AIB 2011 Annual journal publication would add more value ics for the AIB leadership. Usually most Meeting Tour for you. Would you prefer another aca- professional associations have codes of Information. . . . 6 demic type journal, perhaps concentrating ethics for their membership (which we Adopt-a-Library . . . 7 on education, or learning, or some other will eventually add), but we think that this pedagogy? Or, might you prefer a more is a first of its kind, a code for leaders at AIB Foundation. . . 7 practitioner type journal, or even a case- all levels in the AIB: the Board, the Track Institutional based one? Chairs, the Committees, the Chapters, the Members...... 8 We’ll soon have a committee on Fellows, the WAIB, and all others in lead- Just off the Press. . . 9 “digital media strategy” which will explore ership positions. This one has real teeth, how AIB can take advantage of the many and before we roll it out, we need to vet Members On the possibilities that new Internet and mobile it with our lawyers to make sure we’re Move...... 10 technologies provide to incorporate rich okay in that regard. We’re going to create New AIB Members .11 digital media and interactivity into our a standing committee that will be totally JIBS Call For world. Meanwhile we will work to migrate independent of the board, to handle dis- Papers ...... 12 AIB’s various online systems to provide pute resolutions and enforcement. Continued on page 2 Continued from page 1 ward. Very shortly, you will be receiving a list of what And, we are continuing to try to bring you the a “vertical slice of AIB” thinks are the most important “value proposition” you need for AIB to become your issues/challenges facing AIB in the next five years. I primary professional association affiliation. Accord- want you to read these carefully, and vote for your top ingly, we have reviewed our financial health, and since three. Your input will be critical in making this strate- the Secretariat at MSU took over the reins in 2004 gic planning session successful. We’ve labeled it “AIB (you may remember that we had to quickly move our Dream Team” because strategic visioning is dreaming venue from Istanbul to Stockholm), our reserves have about what is possible isn’t it? gone from $394K to nearly $2 million USD, ensuring In view of what our challenges are in the future, I the short-term financial stability of AIB, due to incred- encourage you to start the conversation now with me, ible stewardship of the finances of AIB by the MSU- and all the other AIB Board members and the Secre- based Secretariat. But, with increasing costs that come tariat. Stay tuned for further information on the brand with visiting the more exciting and new-to-AIB desti- new AIB Blog, where we can have some of this con- nations for our meetings, we need to be diligent and versation. I hope you’ll be part of the change initia- examine how we can best generate and use our funds tives we’re proposing. AIB deserves nothing less than for your benefit. total membership contribution to our future. Accordingly, I have commissioned an “AIB Dream Team” strategy session, to be held in Nagoya, Japan, at With Best Regards, the upcoming annual meeting. Your inputs to the vari- Mary Ann Von Glinow ous committees I’ve just discussed have been instru- AIB President mental in helping the Board to try to move us for-
AIB Newsletter (ISSN: 1520-6262) is published quarterly by the Academy of International Business Executive Secretariat. For more information, please contact: G. Tomas M. Hult, Executive Director, or Tunga Kiyak, Managing Director, 7 Eppley Center, Michigan State University, East Lansing, MI 48824-1121. Tel: +1-517-432-1452 Fax: +1-517-432-1009 • Email: [email protected] • http://aib.msu.edu
EXECUTIVE BOARD CHAPTER Latin America Chapter Southwest USA Chapter AIB INSIGHTS President CHAIRPERSONS Leonardo Liberman Anisul M . Islam Editor Mary Ann Von Glinow Australia-New Zealand Chapter Universidad de los Andes University of Houston-Downtown Ilan Alon Florida International University Elizabeth Rose Rollins College Aalto University Southeast Asia Chapter West USA Chapter T .S . Chan Harvey Arbeláez Immediate Past President EXECUTIVE Lingnan University Monterey Institute of Yves Doz Canada Chapter SECRETARIAT International Studies INSEAD Howard Lin Tunga Kiyak Ryerson University United Kingdom and Ireland Chapter Managing Director Vice President – 2011 Program JOURNAL OF Frank McDonald Shige Makino China Chapter INTERNATIONAL Irem Kiyak Bradford University Chinese University of Hong Kong Changqi Wu BUSINESS STUDIES Treasurer Peking University Western Europe Chapter Vice President – 2012 Program Editor-in-Chief Meg Quine India Chapter José Pla-Barber Susan Feinberg John A . Cantwell Office/Editorial Assistant Krishnan Narayanan University of Valencia Rutgers University Rutgers University India Institute of Technology Midwest USA Chapter Managing Editor Vice President of Administration Juan Meraz Japan Chapter Anne Hoekman Peter Liesch Missouri State University Masataka Ota AIB Executive Secretariat University of Queensland Waseda University Northeast USA Chapter Executive Director Korea Chapter Mohammad Niamat Elahee G . Tomas M . Hult Dong-Kee Rhee Quinnipiac University Michigan State University Seoul National University Southeast USA Chapter Middle East and Susan Godar North Africa Chapter William Paterson University Melodena Stephens Balakrishnan University of Wollongong in Dubai
2 AIB Newsletter First Quarter 2011 From the 2011 Program Chair Shige Makino Chinese University of Hong Kong
beautiful season of Sakura, or cherry the plenary features three AIB Fellows, Geof- blossom, is approaching in Japan. Sakura frey Jones, Lorraine Eden, and Ravi Ramamur- A marks a new start in life in Japan, as the ti, discussing pressing issues centered on the Japanese school year and fiscal year in most conference theme, “International Business for business sectors starts in April. As the season Sustainable World Development”. Two other of Sakura turns into the summer, the AIB read- plenary sessions focus on strategy and cultural ies itself for the 2011 Annual Conference to aspects of sustainable world development. In be held in Nagoya, June 24-28, 2011. To date, the Strategy and Sustainability plenary, Paul the AIB Nagoya is shaping up to be an excit- Beamish (chair) and three acclaimed leaders in ing program with renowned plenary speak- the field, Jay Barney, Michael Hitt, and Stuart ers, special guests, innovative workshops and Hart, will share their latest views on how stra- sessions. I am writing this newsletter article to tegic management of international business update you about the latest progress for AIB contributes to sustainable world development. 2011 Nagoya. In the Culture and Sustainability plenary, I am pleased to tell you that, this year, we Masataka Ota (chair), and four top culture received a record number of submissions, research experts, Geert Hofstede, Nancy Adler, 1,512 in total, which is 40 percent larger than Rosalie Tung, and Oded Shenkar, discuss the the previous record of 1,115 submissions to role of national culture for international busi- the Milan conference in 2008. This is the first ness for sustainable world development. The AIB meeting held in Japan since the AIB was last plenary, the Teece-Buckley Plenary, cel- founded 53 years ago and is one of the largest ebrates the 35 year anniversary of the internal- academic conferences in business and eco- ization theory developed by Buckley and Teece nomics studies ever held in the city of Nagoya. (Buckley and Casson, 1976; Teece, 1976). The Thanks to the hard work of track chairs and Plenary, chaired by Christos Pitelis, invites our superb colleague, Tunga Kiyak at the David Teece and Peter Buckley as keynotes, AIB Secretariat, we should have finalized the and Jean-Francois Hennart and Christos Pitelis composition of the Nagoya program by the discuss their contributions to IB. time you read this. We will keep you informed about the conference content and schedule on Special Sessions the conference website (http://aib.msu.edu/ We will have several exciting sessions. events/2011/) so please visit it regularly. The Intercity and International Transport Sector session welcomes Mr. Yoshiyuki Kasai, Let me overview some of the major events chairman of the Central Japan Railway Com- to be organized in the AIB Nagoya below. pany (JR Tokai) as a keynote speaker. Professor Tae Oum, the world’s leader of international Plenary air transport research, chairs the plenary, and The AIB Nagoya starts with the Fellow’s three leading scholars in transport and lo- Opening Plenary. We welcome two distin- gistics management discuss the latest issues guished guests on the stage, Mr. Fujio Cho, of international transport practices. Asian chairman of Toyota Motor, winner of the 2011 Business School Deans Forum, chaired by AIB Fellows Executive of the Year Award, and George Yip, welcomes Deans of six leading Dr. Richard Nelson, the AIB Fellows Eminent business schools in Asia, i.e., National Uni- Scholar for 2011. Following the Opening Ple- versity of Singapore, Hitotsubashi University, nary, the Fellows Featured Plenary kicks off Korea University, Indian School of Business, the conference. Chaired by Eleanor Westney, Continued on page 4
AIB Newsletter First Quarter 2011 3 Continued from page 3 when I was stuck,” which will be a great learn- Nanjing University, and Chinese University of ing experience for all participants. In addition, Hong Kong. The Deans are invited to share Mr. Fujio Cho, chairman of Toyota Motor, Mr. their views on internationalization of busi- Yoshiyuki Kasai, chairman of the Central Japan ness schools in Asia, opportunities and future Railway Company, and Dr. Richard Nelson, a agenda. Executive Panel on BOP features co-author of “An Evolutionary Theory of Eco- practices of BOP (Base of the Pyramid) strate- nomic Change” (Nelson & Winter, 1982), will gy. Chaired by Masa Okada, senior managers of also visit us as winners of the AIB awards and major Japanese firms, Panasonic, Ajinomoto, as our distinguished guests. and Nippon Poly-Glu, discuss both opportuni- ties and obstacles of BOP strategy in emerg- Other Sessions and Events ing economies. IB’s Contributions to Social Prior to the main conference, Sea-jin Science Disciplines, chaired by Anju Seth Chang and Sri Zaheer chair the Doctoral and and Tailan Chi, invites Jean-Francois Hennart, the Junior Faculty Consortiums. We expect John Lawler, Mariko Sakakibara, and Eleanor to welcome around 100 participants in total Westney to discuss how IB has made and can coming from across the world. The list of the make contributions to advancing social sci- faculty panel members can be found on the ence disciplines. The AJBS Panel, jointly orga- conference website. As you will see in the list, nized by the Association of Japanese Business we will have a group of excellent scholars Studies (AJBS) and The Academic Association joining the consortiums. The JIBS/AIB Paper for Organizational Science (Soshiki Gakkai), Development Workshop will also be held invites renowned experts of Japanese business prior to the main conference. Organized by Pe- research, such as Hideki Yoshihara (chair), tra Christmann and chaired by John Cantwell, Taka Fujimoto, and Kentaro Nobeoka, to Editor-in-Chief of JIBS, the Workshop provides discuss competitive (dis)advantages of Japa- junior scholars with developmental feedback nese enterprises and industries. We will have a on their current research projects in inter- research methodology workshop, Conducting national business studies. Following recent High Quality Interdisciplinary Research innovations in AIB annual meetings, we will in International Business, where Joseph organize a number of the State-of-the-Art Cheng (chair), Timothy Devinney, Yves Doz, sessions selected by the track chairs of AIB Michael Hitt, Marjorie Lyles, Oded Shenkar, 2011. The sessions represent the most cutting and other participants will discuss conceptual edge research in their respective areas. We will and methodological issues of interdisciplinary continue have the Fellows Café where par- approaches to IB research. The Women in the ticipants will start the day with a cup of coffee Academy of International Business (WAIB) while engaging in conversations with AIB Fel- celebrates its 10th anniversary and organizes lows on IB topics of mutual interest. three exciting sessions. They include a round- In addition there are many more exciting table panel on challenges and opportunities workshops and sessions that are not intro- faced by women executives and entrepreneurs duced in this newsletter. in Japan; a roundtable panel on career devel- opment of women academics; and a session Social Activities for a memoir of the late Susan Douglas and Thanks to the local host’s effort, we will her contributions to IB and to the AIB. be able to offer several exciting social activities to make your visit to Japan more memorable. Special Guests Following is the list of such activities (the Gala The AIB Nagoya is honored to welcome a dinner is included in your registration, the rest visit of Professor Sir James Mirrlees, a winner will be at additional cost). of the 1996 Nobel Prize in Economics. Profes- • Gala dinner at Atsuta Jingu (Atsuta Shrine) sor Mirrlees will join a session organized by • Excursion to Ise Jingu (Ise Shrine) and Miki- the doctoral and junior faculty consortiums moto, a famous pearl jewelry producer and present on “What I thought when I was a • Ukai (cormorant fishing) at the Nagara doctoral student/junior faculty,” “How I devel- (http://www.kankou-gifu.jp/en/ukai/) oped my path-breaking ideas,” and “What I did
4 AIB Newsletter First Quarter 2011 • Visit to Toyota factory in Japan (e.g., Narita or Haneda International • Visit to Mizkan factory and the Sake Museum Airport in Tokyo area or Kansai International • Excursion to the Nagoya Castle and the Airport in Osaka area) and take a domestic Tokugawa Art Museum flight or train to get to Nagoya. Nagoya is well • Excursion to Kyoto connected to major cities in Japan. The JR Shinkansen (bullet train) is the most common Access to Nagoya choice. For example, it takes 2 hours from To- Nagoya is located in the central part of kyo and 40-50 minutes from Kyoto and Osaka the Japan’ Main Island (Honshu). It is the to Nagoya. More detailed travel information fourth largest city in Japan after Tokyo, Yoko- is available on the AIB Nagoya website. Please hama, and Osaka and has been the center of remember to visit the website to check if you Japan’s manufacturing industries, especially, need a visa to enter Japan. automobile. You can find the general informa- Finally, I would like to thank our col- tion about the City of Nagoya at the following leagues and members of the local host team websites: at Nanzan University, Professors Katsushige • City of Nagoya (http://www.city.nagoya.jp/en/) Sawaki, Naoya Takezawa, and Marc Bremer, for • Nagoya Convention & Visitors Bureau their continuous support and hard work. I feel (http://www.ncvb.or.jp/en/) extremely fortunate that I have been able to The best way to get to Nagoya is to fly work closely with them. directly to the Central Japan International We are all excited about how AIB 2011 Airport (Centrair) (http://www.centrair.jp/en/) Nagoya is shaping up, and we hope you will and take a train (or bus or taxi) to Nagoya be, too. I look forward to seeing you all in (around 20 minutes by train). You can also fly Nagoya! to international airports in other major cities
AIB 2011 Annual Meeting Lodging Information
AIB 2011 will take place at the WINC Aichi - the Aichi Industry and Labor Center in Nagoya, Japan. The facility is less than 5 minutes walking distance away from Nagoya Station as well as the main conference hotel (Marriott Associa Hotel); the hotels are listed below. The room rates are valid for the nights of June 22-28, 2011, and are per person, per night, including breakfast, service charge and consumption tax. Please visit http://aib.msu.edu/events/2011/Lodging.asp for up-to-date information and access to the central lodging reservation system.
Nagoya Marriott Associa Hotel Double (Standard) 1 person(s) with breakfast: JPY 20,000 Twin (Deluxe) 2 person(s) with breakfast: JPY 16,500 Twin (Standard) 2 person(s) with breakfast: JPY 14,500
Castle Plaza (for low-income and student members) Single 1 person(s) with breakfast: JPY 11,600 Twin 2 person(s) with breakfast: JPY 9,900
AIB Newsletter First Quarter 2011 5 AIB 2011 Annual Meeting Tour Information
Women Pearl Divers Toyota Motor and Ise Jingu Shrine Plant Tour Date: June 24, 2011 Date: June 27, Time: 8:00-19:30 2011 Price: JPY 25,000 per Time: 9:00-15:30 person (including lunch, Price: JPY 10,000 English speaking guide per person (includes lunch, English speaking service ) guide service) Visit Mikimoto Pearl Island, a museum Explore the world’s largest automobile dedicated to Kokichi Mikimoto, the first per- manufacturer on this exciting tour through son to successfully cultivate pearls. Also enjoy Toyota’s assembly plant. Take a closer look at the rare opportunity of meeting and interact- the pursuit of new technology and techniques ing with women pearl divers and take a tour being conducted by Toyota. of Ise Jingu Shrine which is the most sacred shrine of Shinto religion. Mizkan Vinegar Museum and Sake Nagoya Castle and Toyota Museum Commemorative Museum Date: June 28, 2011 Date: June 25, 2011 Time: 9:00-13:00 Time: 9:00-12:30 Price: JPY 8,400 per Price: JPY 5,900 per person (no person (no meals included, English speaking meals included, English speaking guide service) guide service) Learn about the history of making Vinegar Learn about past and future at Mizkan (Mitsukan) Vinegar Museum. At Sake of Nagoya, famous for both its historical and Museum you can learn Japanese Sake making commercial value. First, visit the Toyota Com- technology. memorative Museum of Industry and Tech- nology. Proceed to Nagoya Castle, a symbol of Nagoya that was originally built in 1612 by Kyoto 1-Day Shogun Tokugawa Ieyasu. From the observa- Date: June 29, 2011 tion deck on the top floor of the castle, you Time: 7:30-19:00 can enjoy a sweeping view of the city while Price: JPY 33,000 per person (includes lunch, browsing exhibits about life in feudal Japan. English speaking guide service) This one-day guided tour to Kyoto, Japan’s Traditional Tour Cormorant Night former capital, leaves from Nagoya by bullet train. Visit the Tokuwaga shogun’s residence, Fishing at the Kiso River Nijo Castle, before marveling at the gold leaf Date: June 26, 2011 covered Golden Pavilion and strolling through Time: 16:30-21:30 its exquisite surrounding garden. Visit the Price: JPY 10,000 per person (includes dinner, Kyoto Imperial Palace and watch traditional ar- English speaking guide service) tisans work their crafts at the Kyoto Handicraft Watch the 1,300 year old practice of cor- Center. Then walk through Sanjusangendo, morant fishing from a boat on the Kiso River Japan’s longest wooden structure, and stroll in Inuyama on this cultural night tour starting to Kiyomizudera Temple for a sweeping view from Nagoya. This ancient fishing technique is of the city. sure to amaze you.
Please visit http://aib.msu.edu/events/2011/ for more information and to reserve space for the tours.
6 AIB Newsletter First Quarter 2011 Adopt-a-Library AIB Foundation
Our gratitude goes out to the following Our gratitude goes out to the following mem- members for their generosity in supporting the bers for their generosity in supporting the Adopt-a-Library program in the 2010 calendar AIB Foundation and its activities in the 2010 year: calendar year:
Institutional Benefactor Full Benefactors – gifts of $100 and above Madhuri and Jagdish N. Sheth Foundation Abdulrahman Al-Aali Masahiro Imao Full Benefactors – gifts of $100 and above Noritake Kobayashi Susan P. Douglas Masaaki Kotabe Masaaki Kotabe Masahiro Imao Srilata Zaheer Motofusa Murayama Associate Benefactors – gifts of $50 to $99 Donald M. Pattillo Saeed Samiee Abdulrahman Al-Aali Rose M. Prasad Nakiye A. Boyacigiller Lee Radebaugh Associate Benefactors – gifts of $50 to $99 Maja Makovec Brencic Stephen T. Rudman Olivier Bertrand Walter Christian Buss John K. Ryans, Jr. Ken-Ichi Enatsu Johannes W. de Jager Saeed Samiee Yasuhiro Hagiwara Sidney John Gray Arthur I. Stonehill Lee Radebaugh Noritake Kobayashi Rob R.J.M Van Tulder
Giuseppe Liberatore Assistant Benefactors – gifts of up to $49 Assistant Benefactors – gifts of up to $49 Kofi Afriyie Marjorie A. Lyles Shao-Huan Chen Mark Jelavich Jean J. Boddewyn Catherine Pereira Silburn Clarke Kathryn King-Metters Shao-Huan Chen Alex Rialp Jean-Claude Cosset Mari Yanagi Kobayashi Silburn Clarke Malika Richards Maria Teresa de la Marjorie A. Lyles Jean-Claude Cosset Fernando Serra Garza Carranza Bob McNeal Johannes W. de Jager Akanni Razaq Sho- Andrew Finger Catherine Pereira Randall Donohue deinde John B. Ford Anupama Phene John B. Ford Yoshikazu Shusa Takeshi Fujisawa Malika Richards Takeshi Fujisawa Stephen Bruce Tall- Giorgio Gandellini Susan Scott Andrew C. Gross man Mehmet Genc Fernando Serra Constantine Rehan ul-Haq Andrew C. Gross Yoshikazu Shusa S. Katsikeas Aubury Webb Yen-Chen Ho Aubury Webb Mari Yanagi Kobayashi
The Adopt-a-Library program was initiated The AIB Foundation is a charitable organiza- by the AIB Fellows to help libraries around tion that funds projects which aim to advance the world that could not otherwise afford to the cause of international business. Under the subscribe to JIBS. Donations to the Adopt-a-Li- Foundation’s charter, these funds may be used brary program can be made during AIB mem- for a wide variety of purposes: student schol- bership renewal or annual conference registra- arships, faculty fellowships, research grants, tion processes, or may be sent separately to travel grants, doctoral dissertation grants, and the AIB Secretariat. publications subsidies. Donations to the AIB Foundation can be made during AIB member- ship renewal or annual conference registration processes, or may be sent separately to the AIB Secretariat.
AIB Newsletter First Quarter 2011 7 Institutional Members
We thank the following organizations for their support of the Academy of International Business through an institutional membership for the 2010 calendar year:
Dongbei University of Finance and Economics, China Florida International University, USA George Washington University, USA Georgia State University, USA Gitam Institute of International Business, India Indiana University, USA Kean University, USA Michigan State University, USA National University of Ireland, Galway Peking University, China Rosario University, Colombia St. Mary’s University, USA Temple University, USA Texas A&M University, USA Universidad de la Sabana, Colombia Universidad Eafit, Colombia Universidad Iberoamericana, Dominican Republic University of Auckland, New Zealand University of San Francisco, USA University of South Carolina, USA The University of West Indies-Cave Hill, Barbados Youngstown State University, USA York University, Canada
AIB invites other organizations to become institutional members. For more information about institutional membership and its benefits, please visit http://aib.msu.edu/membership/.
8 AIB Newsletter First Quarter 2011 Just off the Press
Candida Brush (Babson College, USA), Lars cal risk created by the policy of the Ottoman Kolvereid (Bodo Graduate School of Busi- government in addition to other factors is ness, Norway), L. Oystein Widding and Roger handled in detail. Besides books and reports Sorheim (Norwegian University of Science published during the historical period in and Technology, Norway) have co-edited question, contemporaneous newspapers and The Life Cycles of New Ventures: Emergence, journals such as The Economist, The Near Newness and Growth (Edward Elgar, ISBN: East, The Times, The Manchester Guardian 978-1848446977). The contributors to this and L’Orient Illustré were also used as sourc- book provide a cross-national comparison es in this study. of venture emergence, newness and growth. Their chapters examine the influences of cul- Parissa Haghirian (Sophia University, Japan) tural, social and economic factors on venture has edited Japanese Consumer Dynamics development, compare the approaches of (Palgrave Macmillan, ISBN: 978-0230242869). entrepreneurs who move from idea to emerg- Today Japan is still the second largest and ing organization, and investigate acquisition most important consumer market in the and development of resources in growth and world. This book discusses the development performance. The authors consider impor- of Japanese consumerism, particularities of tant issues in new ventures research such Japanese consumer behavior and consumer as technology commercialization, manage- rights, new consumer groups and emerging ment team development, and influence of trend in the Japanese market. equity funding. While its particular focus is on Norway and the US, the book offers broad George Siedel (University of Michigan, USA) and intriguing contributions with regard to and Helena Haapio (Lexpert Ltd, Finland) the emergence and growth of knowledge have published Proactive Law for Managers based firms in developed economies, and (Gower, ISBN: 978-1409401001). This book has implications for both direct and indirect explains how managers can use contracts pro- government policy with regard to stimulating actively to reduce their costs, minimize their the formation and development of knowledge risks, secure key talent, collaborate to inno- based firms. vate, protect intellectual property, and create value for their customers superior to that V. Necla Geyikdagi (Yeditepe University, Tur- offered by competitors. The book builds on key) has published Foreign Investment in the recent research that focuses on how law can Ottoman Empire: International Trade and be used to achieve competitive advantage and Relations 1854-1914 (I.B. Tauris, London, on advances from the Proactive Law Move- ISBN: 978-1848854611). This book sheds ment in Europe. This research is complement- light on the motives, means and policies ed by a Manager’s Legal Plan that provides a which guided foreign investment in the Otto- practical guide to managers seeking to create man Empire from the mid-nineteenth century sustainable competitive advantage through until the First World War. After a brief chapter the law. The publisher has agreed to provide on the Ottoman loans from Europe, foreign AIB members and their students with a 35% direct investment in the Ottoman Empire is discount by using the code PLM35US when examined by specifying the economic incen- ordering the book at www.gowerpublishing. tives as well as the political motivations of the com/isbn/9781409401001. major capital exporting countries. The politi-
AIB Newsletter First Quarter 2011 9 Continued from page 9 crepancies between their home and host Ali Taleb (HEC Montreal, Canada), Rick Milz countries. This book focuses on the uneasy and Catalin Ratiu have co-edited The Multi- interaction between the traditional logics of national Enterprise in Developing Countries: developing countries and the economic logic Local versus Global Logic (Routledge, ISBN: of MNEs. The traditional logics of most devel- 978-0415492522). A key distinctive feature of oping countries are built around community- multinational enterprises (MNEs) as organiza- based legitimacy and an intuitive but concrete tions resides in the fact that they span across epistemology. Conversely, the economic logic borders. This exposes them to dissimilar and of MNEs from developed economies is built often unfamiliar social and economic condi- around technical and economic legitimacy and tions as they venture into foreign countries. an abstract intellectual epistemology. Unpack- MNEs from industrialized economies that are ing the uneasy interactions between these two active in developing countries and emerging logics will help achieve MNEs’ objectives of markets face particularly challenging hurdles competitiveness in developing countries as due to both economic and institutional dis- well as globally.
Members on the Move
Zafar U. Ahmed (Ph.D., Utah State Univer- sity, USA), has been invited by the Graduate School of Management (GSM) at the Universiti Putra Malaysia (UPM) to serve as a “Renong AIB Newsletter would like to share Distinguished Endowed Chair of Marketing” the latest news about its members in and Professor of International Business. In the Members on the Move and Just this capacity, he will be responsible to provide Off the Press sections. Email your leadership for the establishment of (1) Ma- professional accomplishments, book laysian Center for International Business and publications, promotions, and honors Education (Malaysian CIBER) within GSM, (2) to: [email protected]. Please “Global EMBA Program” and (3) “Mini-MBA limit your announcements to 150 words Program” in collaboration with the coveted and identify the name of the section it is William Davidson Institute, Ross School of intended for in the subject line of your Business, University of Michigan, USA. Za- email. far served as Dean, College of Business and Management, Fahad Bin Sultan University in Saudi Arabia before moving to Malaysia. He was also a Tenured Full Professor of Marketing and International Business at the Texas A&M University at Commerce, Texas, USA before moving overseas in 2007.
1 0 AIB Newsletter First Quarter 2011 New AIB Members AIB welcomes the following 116 new members who joined our community between November 1, 2010, and January 31, 2011.
Naila Aaijaz Wanrong Hou James Robins Claudette Alexander Michael Houston Nick Robinson Sebastian Alexander Aydin Inemek Liana Saenz Thankom Arun Agnieszka Jagiello Monica Sainz Charles Baden-Fuller Hao Jie Vijay Sampath Rashidd Bakarr Merve Kaleagasi Eren Manjit Singh Sandhu Ilker Beyhan Oi Yan Kam Atsuko Sato Ramudu Bhanugopan Linzi J. Kemp Stephanie Schleimer Tamarra Blackman Nicole Knight Liam Sebastian Alicia Boisnier Daniel James Kratochvil Katsuhiko Shimizu Jaime Alfonso Bonache Perez Goh See Kwong Hyun Shin Jamal Bouras John Lawler Mitsuhide Shiraki Lobna Boushnni Sunyoung Lee Hamadoun Sidibe Annette Brown David Leslie Simone Stanford Thomas Buerki Ying Li Corey Straker Psyche Burke Giuseppe Liberatore Lauriston Streekes Luis F. Bustamante Zapata Mai S. Linneberg Balan Sundarakani Shari Bynoe Marvo Little Naeem Tabassum Kathleen Byrne Kai Liu Ichiro Takahashi Anthony Cannizzaro Chunguang Ma Hideyuki Takenouchi Tachia Chin Peter Marik Hiroshi Takeshita Gunae Choi Dale Thomas Mathews Joy Elly Tulung Peerapat Chokesuwattanaskul David Mayers Naoki Watanabel Thomas Clausen Donelda McKechnie Kim Webster Ratan Dheer Abel Kinoti Meru Claudia Wirz Leite Sa Jerome Donovan Adel Kinoti Meru Ronnay Worrell Jeanne Duplessis Westman Mina Qiumei Xu Benjamin Eckman Muhammad Mohiuddin Kazuko Yokoyama Rolando Estrada Eric Motta Wendy Young Xuejiao Fan Mona Mustafa Ayanna Young-Marshall Ivan Filby Noraani Mustapha Fahim Youssofzai Stephanie Fisher Lamia Obay Pranvera Zhaka Francesco Frova Marie Oehme Yanzhi Zhao Wa Gao Olufemi Ogunyemi Jiuli Zhou Gen Ge Rajmohan Pannerselwam Nan Zhou Shakida Grant Vik Pant Yu Zhou Namrata Gupta Olga Petricevic Florian Zock Ingrid Haynes Raymond Reboulet Charleen Holder Adrienne Reynolds
AIB Newsletter First Quarter 2011 1 1 CALL FOR PAPERS Special Issue of the Journal of International Business Studies The Multinational In Geographic Space
Special Issue Editors Ulf Andersson, Copenhagen Business School, Denmark Sjoerd Beugelsdijk, University of Groningen, The Netherlands Ram Mudambi, Temple University, USA Srilata Zaheer, University of Minnesota, USA
Deadline for submission: November 18, 2011 Tentative publication date: Spring 2013
Introduction governance and organization aspects of MNE activity, Although the impact of the changing strategy of we need to build on insights from economic and hu- MNEs on global economic geography is beginning to man geography and regional science. By integrating IB receive attention in the literature, IB scholars’ under- more closely with literatures that explicitly recognize standing of space remains relatively underdeveloped the subtleties of geographic space, we push the fron- (McCann and Mudambi, 2005). The O (Ownership) tiers of the field. In the process, we make connections and I (Internalization) dimensions of Dunning’s eclec- with the emerging literature in international strategy tic paradigm are relatively well understood compared that emphasizes the importance of firm-level decision- to the L (Location) dimension. making on geographical outcomes, insights that can Because of the historical role of national borders, advance the research frontiers of economic geography location in IB is often conceptualized and operational- (Nachum and Zaheer, 2005; Shaver and Flyer, 2000; Al- ized as a country-specific characteristic. Spatial hetero- cacer and Chung, 2002). At the most fundamental level, geneity exists in IB to the extent that countries differ this involves incorporating the impact of sub-national in terms of their cultural and institutional framework, locations on decision-making and performance of mul- level of economic development and availability of natu- tinational enterprises (MNEs). We contend that uniting ral resources. The IB literature tends to view space in the IB literature’s rich insights on the organization and terms of distance between countries, relying on mea- governance of the MNE with the nuanced analysis of sures such as cultural distance, institutional distance, space in the economic geography literature offers great psychic distance, distance between country centers, opportunities for advancing our understanding of both and so on. Whereas for some of these types of distance, internationalizing firms and locations. the country is appropriate unit of analysis, this is not necessarily true for all. For example, the international Topics for the Special Issue cultural distance between two Scandinavian countries We welcome both theoretical and empirical contri- like Denmark and Sweden may well be smaller than butions, and papers adopting either a single or multi that between two Indians, one from the Hindi-speaking level analysis. Illustrative topics are mentioned below: North and the other from the Tamil-speaking South. The ‘death of distance’ and ‘spiky’ global inno- Alternatively, to understand the role of geographic vation; some scholars have declared the globalized distance in the Canadian automotive supply chain by world to be flat, but at the same time the strategic and measuring the distance to the traditional industry clus- economic importance of geographically concentrated ter in Detroit would miss the emerging new automo- networks of firms has increased (e.g. Lahiri, 2010). tive clusters in the American South where most non-US Global connectedness is increasingly recognized as cru- MNEs like Nissan, Toyota and BMW have located their cial determining the position of individual clusters in assembly plants. the global hierarchy (Cantwell and Janne, 1999; Meyer To improve our understanding of the spatial dimen- et al., 2011) and the success of firms within them. For sion of IB activity and the interaction of location with MNEs, managing a portfolio of locations and serving as
1 2 AIB Newsletter First Quarter 2011 a key part of the “connective tissue” amongst clusters cycles. More specifically, MNEs improve the external puts them in a powerful position. Equally, MNEs that connectivity of a cluster and we need to know more the fail to leverage their unique position may find them- implications of this connectivity for the development of selves weaker in consequence. How does the increased the cluster. importance of connectedness affect the traditional view Entry mode theory and spatial heterogeneity; entry in IB linking control to ownership given that connect- mode theory is dominated by the role of transaction edness does not necessarily coincide with ownership? costs in determining the optimal governance structure. While there is a rich literature in IB on the MNE’s This theory and the associated empirical studies are in local embeddedness (e.g., Andersson et al., 2002), its general space neutral. Economic geography has shown spatial aspects are often simply assumed; they have that transaction costs are not space neutral. How are rarely been distinguished or explored in an explicit the predictions made by entry mode theory affected manner. Influential IB scholars have recently highlight- when we incorporate the notion of spatial transaction ed this lacuna (Dunning, 2009). How is IB theory and costs? Whereas country level institutional character- practice affected when geographical co-location and istics have been incorporated in entry mode studies, embeddedness are disentangled? sub-national level spatial heterogeneity has so far been From Ownership, Location and Internalization to absent. Place, Space and Organization (PSO); within the OLI Spatial antecedents and consequences of geo- framework the role of transaction costs is crucial. In graphical value chain disaggregation; as value chains the core-periphery model the role of space, dominates. are increasingly disaggregated into activities, projects How does an interpretation of transaction costs along and tasks, the internal networks of MNEs are becoming spatial dimensions (PSO) affect the predictions of the more open and increasingly decentralized. What does OLI framework? this likely imply for the international locational disper- Distance and the liability of foreignness; distance is sion of activity across the full networks orchestrated by conceptualized as a multidimensional construct mostly MNEs (which may include both ‘internal’ and ‘external’ relating to inter-country characteristics. Is it meaningful elements if we define these purely in traditional owner- to conceptualize distance as a multidimensional con- ship terms)? Conversely, what are the implications for struct? Can we do a better job of disentangling these locations of being relatively more (or less) conducive dimensions, in order to distinguish more clearly what to more open kinds of firm networks locally, e.g. with is attributable to geographic distance, and what is at- respect to their IP regimes or other local institutional tributable to cultural distance? E.g. the institutions of a conditions? place may depend partly on cultural characteristics, and In addition, we provide illustrative examples of partly on geographic issues such as resource availability, some more general topic areas: climate, proximity and relationship to other places etc. • Local partners and geographic space; spatially proxi- So papers that better compared and related the dimen- mate vs. spatially distant local partners; sions of distance in an IB setting might well prove foun- • The disaggregation of the value chain and the location dational for other work to be done in this domain. of value creation; Economic geographers are concerned with firm lo- • Extra-organizational knowledge spillovers in industrial cation in general: why they start in certain places, why districts/clusters. they tend to stick to those locations, why they some- times move, why they expand by making investments in other locations and how they organize and co-ordinate Submission process their multi-locational activities. Is the multinational firm All manuscripts will be reviewed as a cohort for this simply a special case of a multi-locational firm? How do special issue. Manuscripts must be submitted in the the notions of place, space and organization bear on window between November 1, 2011, and November this question? 18, 2011, at http://mc.manuscriptcentral.com/jibs. All The role of the MNE in cluster formation; clusters submissions will go through the JIBS regular double- are known to have life cycles. Whereas MNEs can play a blind review process and follow the standard norms catalyzing role in the start of a cluster and its further de- and processes. velopment, it is not clear how clusters and the (subsid- For more information about this Call for Papers, iaries of) MNEs belonging to these clusters are affected please contact the Special Issue Editors or the JIBS when clusters are imploding or dissolving. Economic Managing Editor ([email protected]). geography provides insights on cluster life cycles, and Note: Please see full version at www.jibs.net for the questions arise relating to MNEs’ roles in these life list of references cited in this call.
AIB Newsletter First Quarter 2011 1 3 AMERICAN SOCIETY FOR COMPETITIVENESS (ASC) 22nd ANNUAL CONFERENCE Global Competitiveness: New Challenges, New Strategies
OCTOBER 27-29, 2011 On the campus of Rollins College, Orlando, Florida
The 22nd Annual ASC Conference is an excellent opportunity for you to: • Interact with scholars, business leaders, and government leaders from all over the world • Discuss research findings and current practices pertaining to the various facets and sources of competitiveness • Present your paper in a very congenial and professional conference environment • Publish your article in peer-reviewed Cabell’s listed journals
Completed articles, works-in-progress, abstracts, and panel discussion topics focusing on, but not limited to, the following areas are sought: traditional areas such as international trade and finance, human resource management, information technology, marketing, etc. as well as areas of current interest such as Knowledge-Based Firm and Society, Privatization and Market Change, Global Competition, Corporate Responsibility and Global Compact, Corporate Governance, Supply Chain Management, Social Networking & Competing in Dynamic Global Industries.
All competitive papers will be published in the Society’s Annual Research Volume—Competition Forum (listed in the Cabell’s Directory and on several online databases including EBSCO). At least one author is required to attend the conference. Highly competitive papers are invited for publication in one of the following journals — Advances in Competitiveness Research and Competitiveness Review. The deadline for the receipt of submissions is June 17, 2011. To facilitate the blind peer review process, the first page should include: Title of submission, authors’ name(s), institutional affiliation(s), e-mail address, phone and fax numbers. The second page should repeat the paper title but should contain no information that would identify the author or the institution. Publication style guidelines of the APA should be used. Please send four copies of the submission (or one copy by e-mail) to:
Prashanth N. Bharadwaj, Academic Program Chair American Society for Competitiveness 664 Pratt Drive, Indiana, PA 15705 E-mail: [email protected] (www.eberly.iup.edu/asc) Phone: 724-357-4880 Fax: 724-357-5743
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