Emerging Economies

The pirates of Nevskii Prospekt: Intellectual property, piracy and institutional diffusion in Russia

by Olga Sezneva

Highlights

► Russia has a highly hybrid in legal terms media market. ► Intellectual property in Russia is widely contested. ► Legal and pirate goods and practices reciprocally constitute each other. ► The pirate segment is diverse, customer oriented and price responsive. ► Naturalist and rationalist views of the diffusion of institutional forms are challenged.

This article examines the circulation of unauthorized copies of music and movies in Russia—what is otherwise known as... more This article examines the circulation of unauthorized copies of music and movies in Russia—what is otherwise known as media piracy. On the basis of qualitative data, it argues that the media market in Russia is best perceived as a hybrid, where the boundaries between legal and illegal are porous and economic agents casually crisscross them. The institution of intellectual property (IP) does not present itself in a natural way to market actors in Russia, and copyright is widely contested. Following this finding, the analytical focus shifts to the process of institutional diffusion on three levels: policymaking, organization, and meaning attribution. Each level displays its own rational, organizational structure and agency, sometimes to the point of significant distortion of laws and policies that were supposed to be simply passed down. The case of the media market in Russia presents particularly interesting challenges to the rationalist thinking in institutional economics, the assumptions that instrumental rationality predominates and that categories are unproblematic. In fact, IP law and related policies configure and qualify these categories as well as the subjectivities related to them, often against the sets of relationships and obligations that already bind actors to each other.

Corruption in firms in emerging countries. A matter of isomorphism.

by Bertrand Venard

Reference: Venard, B. (2009). Corruption in firms in emerging countries. A matter of isomorphism. M@n@gement 12 (1): 1-27.

This paper, based on neo-institutional literature, focuses on the influence of organizational isomorphism on... more This paper, based on neo-institutional literature, focuses on the influence of organizational isomorphism on corruption in emerging countries. A questionnaire was administered in face-to-face interviews with top executives in firms across various economic sectors in emerging countries. Our findings lead us to conclude that corruption is influenced by coercive, mimetic and competitive isomorphism. This study indicates that the higher the quality of a given institutional framework, the lower the level of corrupt behaviour. Furthermore, we suggest that corruption is explained by mimetism within the same economic sector. We thus conclude that a firm is more likely to resort to corruption if its
competitors already adopt corrupt behaviour.

Organizational Isomorphism and Corruption in Financial Institutions: Empirical Research in Emerging Countries

by Bertrand Venard

Reference: Venard, B., M. Hanafi, M. (2008). Journal of Business Ethics, 81 (2): 481-498.

The globalizations of capital markets in the last 20 years has led to a historic degree of financial integration in... more The globalizations of capital markets in the last 20 years has led to a historic degree of financial integration in the world. It is clear, however, that globalization is not conducive to a complete homogeneity of financial markets and institutions. Among others, one element of diversity is the importance of the impact of corruption in emerging countries. Corruption decreases the credibility of financial institutions and markets.
Scandals and unethical behavior in financial institutions erode confidence in such firms. Relying on neoinstitutional literature, this article focuses on the link between corruption and organizational isomorphism in financial institutions in emerging countries. Therefore, our aim is to examine the institutional reasons for corruption in financial institutions in emerging countries. Our structural equation model is based on empirical research in financial institutions in emerging countries. A questionnaire was administrated to 70 top executives of financial institutions in 18 different emerging countries.

Organizational Isomorphism and Corruption: An Empirical Research in Russi

by Bertrand Venard

Reference: Venard, B. (2009). Organizational isomorphism and corruption: An empirical research in Russia. Journal of Business Ethics 89: 59-76.

Based on neo-institutional literature, this paper aims to show the influence of organizational isomorphism on... more Based on neo-institutional literature, this paper aims to show the influence of organizational isomorphism on corruption. The focus is institutional explanations of corruption. Our model is based on empirical research in Russia at the end of the 1990s. A face-to-face questionnaire was conducted with 552 top executives in private firms across various economic sectors. We used the structural equation model Partial Least Squares, PLS, technique to test our hypotheses. The developed model provides an integrated approach to the study of the relationship between corruption and organizational isomorphism. Our empirical data from firms in Russia allowed us to test various theoretical hypotheses concerning the influence of organizational isomorphism on corruption. Our emphasis is on the influence of competitive and institutional isomorphism on corruption.

“My Country’s Future”: A Culture-Centered Interrogation of Corporate Social Responsibility in India

by Rahul Mitra

Journal of Business Ethics (2012), Volume 106, issue 2, 131-147.

Companies operating and located in emerging economy nations routinely couch their corporate social responsibility... more Companies operating and located in emerging economy nations routinely couch their corporate social responsibility (CSR) work in nation-building terms. In this article, I focus on the Indian context and critically examine mainstream CSR discourse from the perspective of the culture-centered approach (CCA). Accordingly, five main themes of CSR stand out: nation-building facade, underlying neoliberal logics, CSR as voluntary, CSR as synergetic, and a clear urban bias. Next, I outline a CCA-inspired CSR framework that allows corporate responsibility to be re-claimed and re-framed by subaltern communities of interest. I identify such resistive openings via interrogations of culture (I focus on oft-cited Gandhian ethics here), structure (State policy, organizational strategy, and global/local flows), and agency (subaltern reframing of institutional responsibility, engagement with alternative modes of agency, and deconstructive vigilance).

Krisenreaktionen in Brasilien, Indien und China

by Matthias Ebenau

[2012] Co-authored with Stefan Schmalz, this is a heavily condensed and updated presentation of some key arguments of our 2011 book; published in Das Argument 54(1-2)/296, 107-116. For details please check: http://www.argument.de/wissen_index_inhalt.html.

Firm innovativeness in emerging economies: Evidence from R&D initiatives in Turkish Firms

by Solmaz Filiz Karabag

Co-authored with Christian Berggren, the R&D Management Conference 2012 , May 23-25, Grenoble, France

The Strategic Location of Regional Headquarters for Multinationals in Africa

by John Luiz

The study investigates the criteria used by multinational companies to identify the locations of their African... more The study investigates the criteria used by multinational companies to identify the locations of their African regional headquarters (RHQs) and the importance that multinational companies assign to the respective regional offices. We find that multinationals do assign value to their RHQs but are always aiming to strike a balance between local responsiveness and global integration. The power of standardization and the introduction of relevant controls have allowed multinational companies to operate as a coherent unit in the different markets where they operate. The dominant criteria used by MNEs to choose their locations for RHQs in Africa are linked to the advantages of agglomeration and the accompanying economies of scale, and a sound institutional framework which provides a predictable business climate. Distance has become less important.

Why Is the OECD Involved in the Heiligendamm Process?

by Richard Woodward

Published in A.F.Cooper & A.Antkiewicz, Emerging Powers in Global Governance: Lessons from the Heilingendamm Process, (Wilfred Laurier, 2008)

TRANSFORMAREA ECONOMICĂ FICTIVĂ A REPUBLICII MOLDOVA: DE CE ECONOMIA ŢĂRII STAGNEAZĂ DIN ANUL 1994?

by viorel girbu

Faptul că Republica Moldova este de departe cel mai sărac stat din Europa este rezultatul modului în care a fost şi... more Faptul că Republica Moldova este de departe cel mai sărac stat din Europa este rezultatul modului în care a fost şi continuă să fie gestionată transformarea economică.

Astfel, în Moldova este stringentă necesitatea aplicării unei politici de industrializare şi dezvoltare agricolă care să schimbe calitativ structura creşterii economice şi să oprească tendinţă de reducere rapidă a volumului forţei de muncă.

The cash flow-investment relationship: International evidence of limited access to external finance

by Raj Aggarwal

Opportunities for International Portfolio Diversification in the Balkans’ Markets

by Dimitris Kenourgios

D. Dimitriou and D. Kenourgios (2012) “Opportunities for international portfolio diversification in the Balkans’ markets”, International Journal of Economics and Research, Vol. 3(1), pp. 1-12.

This paper examines long and short-run relationships among three emerging Balkan stock markets (Romania, Bulgaria and... more This paper examines long and short-run relationships among three emerging Balkan stock markets (Romania, Bulgaria and Croatia), two developed European stock markets (Germany and Greece) and United States (U.S.), during the period 2000 - 2005. We apply Johansen's (1988) co-integration methodology to test the long-run relationships between these markets and Granger's (1969) causality methodology in order to capture short-run co-integration. Our findings are mixed. We provide evidence on long-run relationships between the Bulgarian and Croatian stock markets and the developed markets. On the other hand, there is no any co-integration among the developed markets and the Romanian market. Moreover, there is no co-integrating relationship among the three regional emerging markets, while short-run relationships exist only among the region. These results have crucial implications for investors regarding the benefits of international portfolio diversification.

The Global Financial Crisis Impact on Ethnic Diversity of Sri Lanka Boards

by Nirosha Hewa Wellalage

Small and medium enterprises in Central and Eastern Europe: Trends, barriers and solutions

by Friederike Welter

Welter, F. (1997), Small and medium enterprises in Central and Eastern Europe: Trends, Barriers and Solutions. RWI-Papier, 51. RWI, Essen.

Acquisitions as entrepreneurship: asymmetries, opportunities, and the internationalization of multinationals from emerging economies

by Mohammad Keyhani

2012, Co-authored with Anoop Madhok, Global Strategy Journal, 2(1), 26-40

We investigate the rapid internationalization of many multinationals from emerging economies through acquisition in... more We investigate the rapid internationalization of many multinationals from emerging economies through acquisition in advanced economies. We conceptualize these acquisitions as an act and form of entrepreneurship, aimed to overcome the ‘liability of emergingness’ incurred by these firms and to serve as a mechanism for competitive catch-up through opportunity seeking and capability transformation. Our explanation emphasizes (1) the unique asymmetries (and not necessarily advantages) distinguishing emerging multinationals from advanced economy multinationals due to their historical and institutional differences, as well as (2) a search for advantage creation when firms possess mainly ordinary resources. The argument shifts the central focus from advantage to asymmetries as the starting point for internationalization and, additionally, highlights the role of learning agility rather than ability as a potential ‘asset of emergingness.’

The emergence of entrepreneurial potential in transition environments: a challenge for entrepreneurship theory or a developmental perspective?

by Friederike Welter

Welter, F. & D. Smallbone (2009), The emergence of entrepreneurial potential in transition environments: a challenge for entrepreneurship theory or a developmental perspective? In D. Smallbone, H. Landström & D. Jones-Evans (eds), Entrepreneurship and Growth in Local, Regional and National Economies. Frontiers in European Entrepreneurship Research. Cheltenham: Edward Elgar, 339-353.

Entrepreneurship and enterprise strategies in transition economies: An institutional perspective

by Friederike Welter

Welter, F. & D. Smallbone (2003), Entrepreneurship and Enterprise Strategies in Transition Economies: An Institutional Perspective. In D. Kirby & A. Watson (eds), Small Firms and Economic Development in Developed and Transition Economies: A Reader. Aldershot: Ashgate, 95-114.

Entrepreneurship in transition economies: necessity or opportunity driven?

by Friederike Welter

Entrepreneurship in transition economies: necessity or opportunity driven? (with D. Smallbone). BKERC, June 2003

Principal Topic

This paper is concerned with the nature of entrepreneurship in economies, where transition... more Principal Topic

This paper is concerned with the nature of entrepreneurship in economies, where transition towards a market-based economy has been slow and/or where market reforms are not properly installed. This refers to countries, such as Russia, Ukraine and Belarus. The paper examines the motivations of entrepreneurs in relation to their business behaviour, and specifically the relationship between so-called ‘opportunity’ and ‘necessity’ entrepreneurship, as well as ‘proprietorship’ compared with entrepreneurship.

Method

The paper selectively draws on empirical data from Russia, Moldova, Ukraine, Belarus, and Uzbekistan. The authors have been involved in a number of empirically based studies of entrepreneurship in these countries, which include both survey data and case studies. These include a study of innovative small firms in Ukraine and Belarus (300 SMEs, 30 case studies in each country, 2001–2), a study of Russian and Moldovan SMEs (1,100 SMEs, 50 case studies, 1999/2000), a study of regional aspects of SME development in Belarus and Ukraine (540 small firms in 1997–8), an ongoing study of female entrepreneurship in Ukraine, Moldova and Uzbekistan. Especially data on business motivations and business aims are used as indicators for necessity and opportunity entrepreneurship.

Results and Implications

The results overall suggest that concepts of ‘necessity’ and ‘opportunity’ entrepreneurship are overly simplistic classifications in an ‘early stage’ transition environment. This is partly explained by the specificities of external conditions that can lead even well-educated people being presented with limited opportunities for satisfying and sufficiently rewarding employment, but also the influence of the learning experience of individuals, which can contribute to changes in their motivation and behaviour with respect to entrepreneurship over time. Even in early stage countries where institutional and other external conditions for private entrepreneurship are inadequate, entrepreneurs set up businesses for a variety of reasons, including ‘pull’ as well as ‘push’ factors. Moreover, the aims and orientation of entrepreneurs can change over time, as new opportunities are presented and/or because of the development of their own entrepreneurial capacity. In this context, the paper makes a contribution to our conceptual understanding of entrepreneurship under ‘early stage’ transition conditions.

Entrepreneurial behavior in differing environments

by Friederike Welter

Welter, F. (2005), Entrepreneurial Behavior in Differing Environments. In D. B. Audretsch, H. Grimm & C. W. Wessner (eds), Local Heroes in the Global Village. International Studies in Entrepreneurship, New York: Springer, 93-112.

Post-Soviet societies and new venture creation

by Friederike Welter

Welter, F. & D. Smallbone (2011), Post-Soviet societies and new venture creation. In K. Klyver & K. Hindle (eds), Handbook of Research into New Venture Creation. Cheltenham: Edward Elgar, 344-363.