Adjusting to and learning from institutional diversity: Toward a capability-building perspective

Research output: Contribution to journalArticle

Researchers

  • Sarianna M. Lundan
  • Jiatao Li

Research units

  • University of Bremen
  • Hong Kong University of Science and Technology
  • Aalto University

Abstract

This paper identifies two main dimensions – institutional diversity and dynamism – in the research stream that has substantively engaged with the important contribution of Jackson and Deeg (J Int Bus Stud 39(4):540–561, 2008). Taking into account their core criticism that institutional analysis in international business research is often de-contextualized, and building on these two dimensions, we present two possible paths for institutional analysis that are sensitive to context. The first is a methodological shift towards configurational analyses, and specifically the analysis of counterfactual scenarios that could reveal new information about decision alternatives. The second is a shift away from a focus on costs, and towards the possibility of MNEs building capabilities in an exploratory manner when confronted with institutional diversity. Both approaches build on an understanding of MNEs as strategic actors that co-evolve with their environments.

Details

Original languageEnglish
Pages (from-to)36-47
JournalJournal of International Business Studies
Volume50
Issue number1
Publication statusPublished - Feb 2019
MoE publication typeA1 Journal article-refereed

    Research areas

  • decade award, dynamic capabilities, institutional change, institutional diversity, institutional theory, qualitative comparative analysis

ID: 31558910