The Institutionalization of Political Risk Assessment by Chinese Multinational Firms-Reference-Cited by-同舟云学术

The Institutionalization of Political Risk Assessment by Chinese Multinational Firms

Published:2021-05-17 Issue: Volume:24 Page:49-63
ISSN:1918-9222
Container-title:Management international
language:
Short-container-title:mi

Author:

Alon Ilan¹,Jiménez Alfredo²,Liu Hui³,Wang Hua⁴

Affiliation:

1. University of Agder, School of Business and Law, Post Box 422 4604 Kristiansand, Norway

2. Kedge Business School, Department of Management, 680 cours de la Liberation, Talence, France

3. Hengfeng Bank, Financial market department, Shanghai, China Asia Pacific Center, Monterrey University of Technology, Monterrey, Mexico

4. EM Lyon Business School

Abstract

Some researchers have claimed that Chinese firms are impervious to political risk, calling into question the institutionalization of political risk by Chinese firms. Building on resource dependence theory and the literature on non-market strategies, this study finds significant impact by ownership structure, firm scale, and the degree of internationalization on the institutionalization of political risk assessments (IPRA) by Chinese firms. As such, state-owned firms and larger firms cultivate a higher level of IPRA. We find a positive impact of a firm’s scale and scope of internationalization, but insignificant impact of depth of internationalization.

Publisher

Consortium Erudit

Subject

General Medicine

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