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Concept of an Organizational Model for Multilateral Academic Cooperation – in the Context of the Development of a European Higher Education Area –

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Concept of an Organizational Model for Multilateral Academic Cooperation – in the Context of the Development of a European Higher Education Area – Concept of an Organizational Model for Multilateral Academic Cooperation – In the Context of the Development of a European Higher Education Area – Inauguraldissertation zur Erlangung des akademischen Grades eines Doktors der Wirtschaftswissenschaften der Universität Mannheim vorgelegt von Dipl.-Kffr. Anja Hartert aus Langen, Hessen Februar 2007 Dekan: Prof. Dr. Hans H. Bauer Referent: Prof. Dr. Martin Schader Korreferent: Prof. Dr. Dr. h.c. mult. Peter Eichhorn Tag der mündlichen Prüfung: 19.10.2007 Concept for Multilateral Cooperation of Higher Education Institutions Table of Contents Table of Contents........................................................................................................................ I Table of Figures ....................................................................................................................... IV Abbreviations.............................................................................................................................V 1 Introduction........................................................................................................................ 1 1.1 Topic of the Thesis..................................................................................................... 1 1.2 Structure..................................................................................................................... 3 2 Higher Education: Definitions and Specifics..................................................................... 6 2.1 Defining Higher Education ........................................................................................ 6 2.2 Distinct Approaches for Engagement in Higher Education....................................... 9 2.2.1 State-Control .................................................................................................... 11 2.2.2 Private Engagement ......................................................................................... 13 2.2.3 Towards One Organizational Concept............................................................. 17 2.3 Aspects of Internationalization in Higher Education............................................... 20 2.3.1 Causes for Internationalization ........................................................................ 20 2.3.2 Specifics of Internationalization ...................................................................... 22 3 Process of Internationalization in European Higher Education....................................... 25 3.1 Historical Occurrences............................................................................................. 25 3.2 Objectives of the Bologna Process........................................................................... 31 3.3 Bologna Conferences............................................................................................... 32 3.3.1 Lisbon Conference and Definitions ................................................................. 32 3.3.2 Sorbonne Joint Declaration.............................................................................. 32 3.3.3 Bologna Declaration – A Europe of Knowledge ............................................. 33 3.3.4 Prague Communiqué – 1st Follow-up Conference........................................... 34 3.3.5 Berlin Communiqué – 2nd Follow-up Conference ........................................... 35 3.3.6 Bergen Conference and Forecast ..................................................................... 36 3.4 Initiatives Independent of the Bologna Process....................................................... 38 3.5 Discussion of the Bologna Process .......................................................................... 40 3.5.1 Achievements of the Bologna Process............................................................. 40 I Concept for Multilateral Cooperation of Higher Education Institutions 3.5.2 Criticism on the Bologna Process .................................................................... 42 3.6 Prospects of the European Higher Education Market.............................................. 45 4 Theories Related to Cooperation and Internationalization .............................................. 49 4.1 Selected Research Approaches to Cooperation ....................................................... 49 4.1.1 New Institutional Economics........................................................................... 49 4.1.1.1 Transaction Cost Theory.............................................................................. 51 4.1.1.2 Principal-Agent Theory................................................................................53 4.1.1.3 Property-Rights Theory................................................................................54 4.1.1.4 Contract Theory........................................................................................... 55 4.1.2 Contingency Approach.................................................................................... 56 4.1.3 Behaviorism Decision Theory ......................................................................... 57 4.2 Strategic Alternatives in Internationalization Processes.......................................... 58 4.2.1 Reasons for Internationalization ...................................................................... 58 4.2.2 Process of Foreign Market Entry ..................................................................... 60 4.2.3 Strategies for Internationalization.................................................................... 63 4.3 Organizational Alternatives for Internationalization ............................................... 66 4.3.1 Holding Organization Concept ........................................................................ 67 4.3.2 Concepts of Cooperation.................................................................................. 69 4.3.3 Classification of Cooperation Types................................................................ 73 4.3.4 Legal Aspects of Multilateral Cooperation...................................................... 76 5 Implementation of Internationalization in the Higher Education Sector ......................... 78 5.1 Impact and Process of Internationalization.............................................................. 78 5.2 Organizational Structures for Internationalization................................................... 82 5.2.1 Holding Structure............................................................................................. 83 5.2.2 Inter-organizational Networks......................................................................... 84 5.3 Models for Internationalization................................................................................ 86 5.3.1 NUFFIC Model................................................................................................ 86 5.3.2 Fractal Process Model...................................................................................... 88 5.3.3 Knight’s Internationalization Model: Continuous Cycle................................. 90 5.3.4 Davies’ Approach and the Internationalization Cube...................................... 92 5.4 Characteristics of Selected HE Cooperation............................................................ 95 5.4.1 Contracts as Differentiation ............................................................................. 95 5.4.2 Internationalization by an Internal Concept..................................................... 97 5.4.3 Cooperation of Two Close Partners................................................................. 99 II Concept for Multilateral Cooperation of Higher Education Institutions 5.4.4 International Academic Network................................................................... 101 5.4.5 Airbus Idea..................................................................................................... 104 5.5 Remarks and Suggestions ...................................................................................... 106 6 Framework for Multilateral Academic Cooperation...................................................... 109 6.1 Synthesis of Studies and Inference ........................................................................ 111 6.2 Environment of Cooperation.................................................................................. 114 6.2.1 Political Influence.......................................................................................... 116 6.2.2 Impact of Society ........................................................................................... 120 6.2.3 Stakeholders in Higher Education.................................................................. 122 6.2.4 Influence of Legal Settings ............................................................................ 124 6.2.5 Cultural Issues................................................................................................ 127 6.3 Internal Preparation at each Higher Education Institution..................................... 131 6.3.1 Adjustment of Established Structures............................................................ 132 6.3.2 Engagement of Employees ............................................................................ 136 6.3.3 Pre-Selection of Potential Partners ................................................................ 138 6.4 Pre-Contractual Arrangements Defining Cooperation........................................... 142 6.4.1 Definition of Mission and Goals...................................................................
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