Abstract
PurposeThis study is devoted to examining the peer effects of engineering enterprises’ internationalization from the viewpoint of industry subdivision and how information and competition alter peer effects. Furthermore, the heterogeneity of peer effects is analyzed based on manager characteristics.Design/methodology/approachIn this study, multiple regression analysis was conducted on a sample of 38 Chinese engineering enterprises listed in the Engineering News-Record’s top 250 international contractors over the period of 2013–2021. This study collected the paired data from the enterprise annual reports and the China Stock Market & Accounting Research database.FindingsThe results reveal that (1) there exist peer effects within the subdivided industry of the engineering field; the quality of information disclosure of peer enterprises and degree of market competition moderate the peer effects; (2) the peer effects of internationalization are more pronounced in engineering enterprises with managers who have lower ability, hold greater power or are older.Practical implicationsThe findings of this study contribute to understanding the peer effect in the process of internationalization of engineering enterprises, and help enterprises to effectively supervise the irrational behavior of top managers, so as to develop better internationalization strategies.Originality/valueThe results extend peer effects to the subdivision industry of the engineering field. Furthermore, this study also enriches the relevant research on peer effects among enterprises by empirically supporting the moderating role of information and competition as well as analyzing the heterogeneity of the peer effects from the perspective of manager characteristics.