Built upon configuration theory, this study performs a Qualitative Comparative Analysis (QCA) to delineate alternative and sufficient configurations of local knowledge spillover (LKS) channels, that is, how informal interactions and spinoff, and absorptive capacity are combined to facilitate service innovation. Primary data was collected from the largest software outsourcing cluster in Vietnam in 2018, which provides a sample size of 42 firms. The findings imply that multiple configurations of different channels of LKS in conjunction with absorptive capacity can lead to service innovation. This study makes three important contributions. First, it contributes to the debate over the critical role of LKS and absorptive capacity in innovation by offering a more holistic, yet nuanced understanding of the causal mechanisms underlying service innovation. Second, this study sheds light on viable and equifinal pathways for enhancing innovation capabilities, therefore contributing to the literature on cluster upgrading and global service sourcing. Third, it provides some managerial implications for indigenous spinoff firms in developing countries seeking to innovate through the strategic use of LKS.

Drawing from the theory of territorial behavior, this article predicts the explanatory role of silence behavior in the relationship between knowledge hiding and hider's innovative behavior in Chinese organizations, and the potential of Zhongyong thinking in mitigating the detrimental effect of knowledge hiding. Results derived from a time-lagged and multi-source survey support our hypotheses. Specifically, knowledge hiding is negatively associated with the innovative behavior of the hider. Silence behavior mediates the relationship between knowledge hiding and innovative behavior. Meanwhile, Zhongyong thinking moderates the positive relationship between knowledge hiding and silence behavior, as well as the indirect relationship between knowledge hiding and innovative behavior through silence behavior. Theoretical and practical implications are discussed based on these findings.

By integrating role theory and social identity theory, this study examines the differential effects of organizational identification of the chief executive officer (CEO) and the chief financial officer (CFO) on corporate philanthropy. We argue that CEO organizational identification can positively affect corporate philanthropy, whereas the opposite holds for CFO organizational identification. This is because the CEO and the CFO have varying attitudes about corporate philanthropy owing to their different role expectations; thus, those who identify strongly with their organizations would act for the best interests of the firm. Moreover, because the beliefs of top executives are probably influenced by those of other executives, we further explore the interaction between the CEO and the CFO. We propose that the positive influence of CEO organizational identification on corporate philanthropy will be weakened by CFO organizational identification, and the moderating effect of CFO organizational identification will become stronger when the CEO and the CFO have opposite genders or when the CFO has ownership. From a sample of 880 publicly traded firms in China, we found support for our hypotheses. Our study can contribute to the corporate philanthropy literature and research on executive organizational identification by highlighting the importance of executive roles and their interactions.

This article examines the impact of foreign diasporas on host country firms. It contributes to diaspora research by focusing on the context of emerging market host countries and the specific case of Chinese diaspora in Russia. Drawing on the concepts of organizational capabilities and organizational legitimacy, we explain how the Chinese diaspora can be beneficial for the competitiveness of Russian firms, and how Russian firms can uniquely leverage these potential benefits through engagement with individual Chinese diasporans and diaspora institutions. Our article adds to the diaspora literature in several ways. First, unlike the majority of past research, which tends to focus on the benefits for the diaspora's home country, we highlight the potential impact on host country firms, specifically their capabilities and legitimacy at home and abroad. Second, our model can be viewed as a direct response to the many calls in the literature to study the microfoundations of firms’ capabilities. Third, we add to the legitimacy literature by proposing that engagement with a foreign diaspora can help host country firms establish and maintain their legitimacy both at home and on a global scale. Although our framework is informed by the Chinese diaspora in Russia, we discuss its generalizability to other contexts.

Ahsan, Sinha, and Srinivasan (2020) studied the motives of knowledge-intensive Indian firms’ international expansion based on resource-based considerations and the locational advantages offered by host countries. They identified firm characteristics associated with strategic asset-seeking, opportunity-seeking, and market-seeking motives. In this replication study, we examine Ahsan et al.'s (2020) model in the Chinese context. Based on our improved empirical model, our findings reveal some similarities but more importantly some key differences in the antecedents of internationalization motives between Indian and Chinese firms. Drawing on insights from prior studies, we propose that these differences can be attributed to differences in absorptive capacity, international expansion scales and patterns, ownership type, and the home institutional contexts in which Indian and Chinese firms operate. Overall, this replication study demonstrates the importance of contextualizing international business research.

When a firm is accused of serious misconduct, its executives, even those who are nonculpable, are stigmatized by the firm's stakeholders, a phenomenon known as courtesy stigma. One research stream explores how executives’ social networks mitigate courtesy stigma, with an emphasis on the positive effect of social networks. From the perspective of a social network as an information pipe, we suggest that social networks are a double-edged sword in the context of courtesy stigma because of their distinctive insulation and exposure mechanisms. Our proposed hypotheses are supported via event history analysis using data collected from a Chinese sample of listed firms that demonstrated financial misconduct in the period 2007–2016. Our study contributes to the literature on social networks and courtesy stigma by revealing their complex links.

This study examines the international performance of emerging economy multinational enterprises (EMNEs) from a strategic configuration perspective. We propose that the strategic patterns of EMNEs that deliver growth and/or profitability are characterized by different configurations of environment, strategy, and managerial resource factors. Therefore, identifying and assessing strategic configurations is key to understanding EMNEs’ international performance. Employing fuzzy-set qualitative comparative analysis, we analyze a multi-sourced dataset of Chinese firms’ outward investment and identify multiple equifinal strategic configurations that are associated with superior international performance in terms of sales growth and/or profitability. These findings inform the development of a taxonomy of EMNEs’ strategic configurations corresponding with three performance groups, namely profitable growth, profitable niche, and poor performers.

Environmental responsibility has been increasingly emphasized in the management field. Perceived organizational environmental support is generally considered desirable within organizations. Nonetheless, both scholars and practitioners doubt that it is a panacea for enhancing employee green behavior (EGB), an important workplace behavior benefiting the environment and corporate sustainability. From a congruence perspective, this research explores when and why perceived organizational environmental support fails to increase EGB effectively. Drawing upon cue consistency theory and the corporate hypocrisy literature, we propose that perceived organizational environmental support backfires when it is incongruent with another critical cue signaling an organization's environmental stance – perceived supervisory environmental support (particularly when perceived organizational environmental support is higher than perceived supervisory environmental support). This is because the inconsistent signals of environmental support from the organization (in the form of policy commitment) and supervisor (in the form of supportive behaviors) arouse employees’ perception of corporate hypocrisy, which in turn inhibits EGB. Both the scenario experiment results (Study 1) and the polynomial regression results of the field survey data (Study 2) support our hypotheses. Theoretical contributions and managerial implications are discussed.

Exposing under which conditions management innovation diffuses within firms, this study investigates at the individual level the mediating influence of middle managers’ voice behavior on the relationship between CEOs’ empowering leadership behavior and perceived management innovation. We also propose that the magnitude of this relationship depends on middle managers’ collectivist orientation. This study exploits a unique Moroccan sample of small and medium-sized enterprises (SMEs) and utilizes structural equation modeling to analyze the studied relations. We found that the positive relationship between CEOs’ empowering leadership behavior and management innovation is mediated by middle managers’ voice. This effect is conditioned by middle managers’ collectivist orientations, which positively influence their attention to CEOs’ signals and the value and frequency of their contributions to management innovation. While research has identified the external and organizational factors that shape management innovation, our study concentrates on the individual level and accentuates that middle managers’ closeness to management processes, combined with their access to technical knowledge, renders them essential to management innovation. We contradict arguments that middle managers may be less inclined to help management innovation to emerge. SMEs can systematically invest in management innovation by advancing their managerial capabilities and considering individual value orientations.

Since 2012, a large-scale Party branches building campaign intending to regain political influence in the private sector has been sweepingly promoted. Drawing on the Chinese Private Enterprise Survey conducted in 2008, 2012, and 2018, this study investigates private enterprises’ strategies in response to the intensified political pressure by integrating socioemotional wealth theory and neo-institutional theory. It is found that (1) private enterprises with high family ownership tend not to establish Party branches until political pressure is very high; (2) enterprises with high family ownership are more likely to adopt a decoupling strategy of evading the Party's political and social goals; and (3) the owners’ perceptions of a better market and legal environment weaken the negative effect of family ownership on the establishment of Party branches. These results reveal the key logic of preserving the socioemotional wealth and ‘embedded agency’ of Chinese private enterprises when they confront institutional legitimacy mandates. This study also sheds new light on the causes of the decoupling phenomenon and the dynamic interactions between institutional environment and organizational behaviors.

In this study, we focus on the temporal behaviors – speed and rhythm – of outward foreign direct investment (OFDI) by emerging multinational enterprises (EMNEs) and examine the effect of such behaviors on innovation performance. Using a learning perspective, we argue that OFDI speed has an inverted U-shaped effect on EMNEs’ innovation performance, whereas the relationship between the uneven rhythm of OFDI and innovation performance is negative. The results, based on OFDI panel data of 1,092 Chinese firms, support our predictions that a moderate OFDI speed and a more regular pattern of OFDI expansion provide sources of competitiveness and contribute to firms’ innovation performance.

Working for multinational companies (MNCs) is often viewed as a privilege for host country nationals (HCNs) in emerging economies. This raises the question: Why do HCNs leave their jobs to pursue the hardship of establishing their own business? This article addresses this question by adopting a phenomenon-based approach to study 12 professional service firms in Vietnam. We explore why HCNs initially become entrepreneurs and identify how they make this transition. We reveal several idiosyncratic motivations and identify four types of migration pathways: MNC returnee, committed hybrid, transitional hybrid, and direct spin-off. Our findings address the shortcomings of the existing HCNs literature that centers on MNCs’ view and employee entrepreneurship literature that overlooks the context of emerging markets. We find evidence that institutional voids often promote, rather than suppress, entrepreneurship in emerging markets. Importantly, by taking a local perspective, our findings help MNCs increase their awareness that in the fast-growing market of Vietnam, a brain drain might occur as a result of HCNs becoming entrepreneurs.

Political marriage is an under-investigated form of social capital for family firms. In this study, we examine the relationship between political marriage and the growth of family firms. We analyze this relationship using survey data from parent–child dyads of 164 family firms in mainland China, along with qualitative data from eight semi-structured interviews. Drawing on social capital theory and self-verification theory, we propose that political marriage makes a significant contribution to the growth of family firms. We further propose that the effects of a political marriage on firm growth are moderated by the duration of the marriage and the degree of romantic love experienced by the couples. We find that the positive relationship between political marriage and firm growth is stronger when the duration of the marriage is longer. Our results also reveal a three-way interaction effect of political marriage, length of marriage, and romantic love on firm growth. In this interaction, the positive effect of political marriage is strongest when the marriage is long and the degree of romantic love is low (rather than high). Theoretical and practical implications are discussed.

Since the first Trademark Law was enacted in China in 1982, the Chinese intellectual property rights (IPR) system has undergone significant changes in both the design of the legislation and its enforcement. In this article, we analyze the evolution of IPR legislation and enforcement in China. To this end, we illustrate the evolutionary changes of the Chinese IPR system and analyze the changes introduced in four revisions (1992–1993, 2000–2001, 2008–2013, and 2019–2020). Our analysis shows that Patent Law, Trademark Law, and Copyright Law have been substantially enhanced, especially since 2000, when China improved its IPR system to comply with the TRIPS Agreement and join the WTO, and especially the most recent amendments of these three IP Laws. We discuss the number of IPR infringement cases handled by both relevant administrative authorities and courts to analyze IPR enforcement in China. Results indicate that the development of IPR protection enforcement followed the improvement of relevant IPR laws. The two revisions introduced after 2008, changes in the Chinese IPR system, and an increasing number of IPR infringement cases handled by relevant authorities also suggest the willingness of the Chinese government to further enhance its IPR protection.

Organizations largely depend on their employees’ creativity to attain a competitive advantage. Drawing on Ability-Motivation-Opportunity (AMO) theory, this study examines whether employees’ voice behavior (promotive and prohibitive) can be harnessed to improve their creative performance. By exploring the mediating role of psychosocial prosperity and moderating effects of employees’ perception of their influence at work and their feelings of alienation, this study offers a unique model that enhances the literature on voice and creativity. Data collected from 285 Information Technology professionals in India reveals that both forms of voice lead to creative performance, and psychosocial prosperity mediates this positive relationship. This finding offers different insight for scholars as much of the voice literature expects prohibitive voice to yield negative results for the employee because of its associated risks. Also, employees’ perceived influence at work strengthens the positive effect of promotive voice on psychosocial prosperity, while alienation weakens the relationship between psychosocial prosperity and creativity performance. The study concludes by discussing the implications, limitations, and directions for future researchers.

Managers make comprehensive strategic decisions to cope with environmental challenges. Questions remain regarding how different types of leadership styles influence top management team (TMT) strategic decision comprehensiveness (SDC) and firm performance. This study explores the impact of two different CEO leadership styles on TMT SDC and subsequent firm performance, considering the moderating role of TMT cognitive conflict. Based on data from 357 questionnaires of 126 firms in China, we found that 1) CEO empowering leadership positively affects SDC; 2) CEO directive leadership generates an inverted U-shaped effect on SDC; 3) the effect of SDC on firm performance is positive; and 4) TMT cognitive conflict weakens the relationship between CEO empowering leadership and SDC. This study takes a systematic approach by integrating CEO-TMT dynamics into SDC, which in turn affects firm performance, and thus offers a holistic view of how upper echelons influence firm performance.

Chinese business schools have made impressive progress in improving their quality, but there is still room for improvement. However, they have improved largely by copying the traditional American model of business education at a time when this model is coming under increasing critique for good reasons, including placing great effort on producing much rigorously conducted research, which makes little practical impact. Thus, having learned much from foreign business schools, the time has come for Chinese business schools to be bold and pursue their own model. Such a model should focus more on research that pays increased attention to context, including indigenous research, and is of greater practical relevance. Furthermore, given ongoing change inside Chinese business schools and in their external environment, it may be easier to make needed changes in China. Regarding teaching, business schools are encouraged to move beyond a focus on teaching content well to teaching content in ways that it can be readily applied; do more to develop understanding of how to leverage modern technologies like AI, big data, internet of things, and digitalization; focus more on adjusting teaching to the local context; and focus more on developing innovation/creativity and analytical ability, rather than memorization of facts.

The influence of technological learning on industry-level catch-up has long drawn substantial attention in the catch-up research field. However, the underlying mechanisms of technological learning and the unique catch-up context in large emerging economies are much less explored. To explain the technological learning processes of latecomers that face the technology gap and strive to build differentiated competitive advantage, this study builds on the absorptive capacity perspective and deconstructs technological learning processes into two mechanisms: technology decomposition and technology recombination. The former entails decomposing advanced technologies into pieces, parts, or modules, while the latter entails the process of capturing market opportunities through recombining knowledge from diverse sources into commercial products through localized innovations and adaptations. Then, we propose a unique ‘ladder-like’ catch-up context (i.e., technology ladder and market ladder) and investigate how the technological learning process and the unique catch-up context jointly affect industrial catch-up performance in China. Using seven-year panel data from Chinese manufacturing industries, the results indicate that only technology recombination has a significantly positive relationship with industrial catch-up performance. In addition, the market ladder strengthens the positive impact of technology recombination on industrial catch-up, while the technology ladder weakens the positive impact of technology decomposition on catch-up.

The changing geopolitical landscapes and increased migration flow across the world call for a fresh perspective on the sociocultural and economic integration of migrants in their new ‘homes’ and ‘communities’. In this qualitative process study, we provide insight into the identity work dynamics that underlie interfirm cooperation in the new business context. We see a sample of Bulgarian migrant entrepreneurs as knowledge boundary spanners who employ identity work tactics for the development of shared norms and values that facilitate knowledge exchange between their home culture and the UK host culture context. This study suggests that knowledge boundary spanning is enabled by a temporal identity work process, characterized by a series of inward and outward identity work tactics. The interplay between inward and outward identity work tactics occurs over phases of identifying identity differences, adopting identity cues, and finally, realizing hybrid identity. This article contributes to the identity work and migrant entrepreneurship literature by exploring the underlying mechanisms for realizing knowledge boundary spanning by migrant entrepreneurs.

Whereas the existing literature on the relationship between parental behavior and family business succession mainly focuses on parental behavior in the business domain, we highlight the importance of parental behavior in the family domain. Integrating attachment theory, the family business succession literature, and person-job fit literature, our study proposes a theoretical framework hypothesizing that general self-efficacy and perceived person-job fit mediate the association between perceived parental care (an underrepresented family-domain-specific parental behavior) and next-generation family members’ succession intentions. This framework is tested by data from two surveys and further verified by qualitative interviews of next-generation family members. Multivariate analysis results suggest that next-generation family members’ general self-efficacy and perceived person-job fit played a sequential-mediating role in the relationship between perceived parental care and next-generation family members’ succession intentions. Our interviews not only confirm these results but also reveal new insights, particularly into the specific Chinese context in the study of family business succession.