NORAH Thesisexaminers Version Examiner2 Changes
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View metadata, citation and similar papers at core.ac.uk brought to you by CORE provided by RMIT Research Repository " ! Graduate School of Business " and Law !# Declaration I certify that except where due acknowledgement has been made, the work is that of the author alone; the work has not been submitted previously, in whole or in part, to qualify for any other academic award; the content of the thesis/project is the result of work which has been carried out since the official commencement date of the approved research program; any editorial work, paid or unpaid, carried out by a third party is acknowledged; and, ethics procedures and guidelines have been followed. Norah Albishri October 2017 ii Acknowledgements Undertaking PhD research was life changing for me in many ways and I need to thank the many people who have strongly supported, guided and influenced me throughout this experience to get to this stage. First of all, ‘thanks are for Allah, the one who, by his blessings and favour, good works are accomplished’. I’m indebted to my sponsor, the Saudi Arabian Ministry of Higher Education for its generous financial support. I owe my supervisor, Dr. Paul Gibson, my sincere gratitude for his invaluable guidance, encouragement, patience and tremendous help throughout this challenging journey. Without his valuable feedback this research would not have been possible. Your doors were always open for me. Thank you! To my two wonderful boys, Ziyad and Fahad, your adorable smiles kept me going when I wanted to give up. You two are the light of this journey. To my siblings, Mashael, Naif and Fhdah, although we are oceans apart your constant encouragement and love during this challenging period gave me the motivation to keep going. I acknowledge, with thanks, Dr. Diane Brown for copy editing my thesis in accordance with the Australian Standards for Editing Practice and the IPED/ACGR guidelines. iii Dedication I dedicate this thesis to my amazing parents and my wonderful husband. iv Abstract International joint ventures (IJVs) are important actors in the globalised economy offering a range of business opportunities from market entry to knowledge transfer. However, the success of IJVs is by no means guaranteed. Indeed, many perform badly or fail altogether. Why they fail has already attracted much scholarly interest although most previous research has focused on financial and operational aspects of IJV performance. This research examines IJV performance through the lens of national culture with the aim of developing an insightful understanding of how cultural differences can influence performance and present additional challenges. The thesis addresses research questions about how our understanding of IJV performance can be clarified by identifying the ultimate and proximate factors contributing to IJV performance; the consequences of cultural distance for IJVs; and what senior IJV management can do to minimise the risk of failure when there is great cultural distance between the two partners. The research comprised a single case study of an IJV between an American and Saudi corporation. The setting was an industrial complex in Saudi Arabia. The methodology was predominantly qualitative with data collected from 40 semi-structured interviews, field observations and documentation. Thematic and frame analysis was applied to the data. There is already an extensive literature pertaining to IJV performance and national culture at both the theoretical level and in empirical studies. That literature is reviewed to deduce an initial framework of ultimate and proximate factors influencing IJV performance with the aim of developing that framework in the light of later empirical case study data. National culture is initially proposed as the ultimate factor contributing to attitudes and behaviours within the v case study IJV while trust, commitment and communication are proposed as proximate factors. The empirical data analysis, however, revealed that additional important situational and self-interested factors were contributing to the attitudes and behaviours of employees working in the case study IJV. These additional factors included the role of cultural training, cultural intelligence, biculturalism and multiculturalism, adaptability, religious tolerance and perceptions of inequity – and in particular the tendency of interviewees on both sides of the cultural differences to frame the other side in negative and blaming ways. Regarding national culture, cultural distance - particularly along the Individualist/Collectivist dimension - was found to be presenting many challenges to the case study IJV managers and employees. The thesis concludes by proposing a set of recommendations for senior management who are planning to establish, or to improve the performance of, a high cultural contrast IJV. vi Table of Contents #(* &%22222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222 "%&-#$%*)2222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222 )*(*222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222 , #&&%*%*)222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222, #& +()222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222. , #&#)2222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222., Chapter One: Introductory Background ........................................................ 1 828 %*(&+* &%22222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222228 829)(&%*.*2222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222229 82:&'% $ ** &%)&*)(2222222222222222222222222222222222222222222222222222222222222222222222222222222222< 82;)( $)0!* ,)%*&)222222222222222222222222222222222222222222222222222222222222222222222222222222> 82<)(+)* &%)22222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222? )!$)0*) ,*+!&%44444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444D !+!&%#*) ,*+!&%*444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444D 82=)(''(&222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222? 82>)( $'&(*%%( %# */222222222222222222222222222222222222222222222222222222222222222222222222222222222222@ 82?*(+*+(&*) )2222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222289 82@+$$(/22222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222228; Chapter Two: Review of The Literature ....................................................... 15 928 %*(&+* &%222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222228< 929 )4&* ,)%(&($%*($ %%*)22222222222222222222222222222222222222222222222222222222222222222228= 92: )))(&+)222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222228> 92;&* ,)&( &($* &%222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222228? &.)!%)%*+!&%&*+*444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444=D vii /'!+!%&)!%)"+%+)04444444444444444444444444444444444444444444444444444444444444444444444444444444444444444=E "!##*2 %&#&0% %&.#)%*)444444444444444444444444444444444444444444444444444444444444444444444444=E !#!++!% %+)%+!&%#/'%*!&%44444444444444444444444444444444444444444444444444444444444444444444444444444444444>< 92<*($ %%*)& '(&($%22222222222222222222222222222222222222222222222222222222222222222222222222222222222222297 *,)!% )&)$%444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444>= 0 *!#1444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444>> 92=* &%#+#*+(% (&($%222222222222222222222222222222222222222222222222222222222222222222222222222222229< *+!&%#,#+,)#!&%'+14444444444444444444444444444444444444444444444444444444444444444444444444444444444>A $'#!+!&%*&+!&%#,#+,)#!)%*&) *44444444444444444444444444444444444444444444444444444444>C 92>)+( %%&$'( %* &%#+#*+()2222222222222222222222222222222222222222222222222222222222222222222222:7 92?&$'( %$( %%+ +) %))+#*+(222222222222222222222222222222222222222222222222222222222222222:8 ''#0!% &*+% +&+ %,!)!4444444444444444444444444444444444444444444444?B 92@#* $*%(&. $**&()&( #+(2222222222222222222222222222222222222222222222222222222222222222222:? 9287 % %+#*+(2222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222:@ 9288* &%#* &%&(/22222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222;8 9289&( )&+#*+(22222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222222;9 &*+5*,#+,)#!$%*!&%*444444444444444444444444444444444444444444444444444444444444444444444444444444444444444@? ,#+,)#!*+%44444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444444@B