{"title":"Re-examining foreign subsidiary survival in a transition economy: Impact of market identity overlap and conflict","authors":"Chenguang Hu , Jiatao Li , Kyung Hwan Yun","doi":"10.1016/j.jwb.2023.101432","DOIUrl":null,"url":null,"abstract":"<div><p>Taking an identity perspective from the organizational ecology literature, we re-examine foreign subsidiary survival in a transition economy. State-owned enterprises (SOEs) with a socialist identity and privately owned enterprises (POEs) with a market identity exert different influences on foreign-owned enterprises (FOEs). SOEs and POEs affect the survival of FOEs primarily through the cognitive legitimation process. SOEs tend to crowd out FOEs due to identity conflict. Owing to identity overlap, POEs tend to increase the survival chances of FOEs. The level of socialist legacy in regions where FOEs are located affects the sociopolitical legitimacy of FOEs’ market identity, thus moderating the relationships between SOE and POE density and the survival of foreign subsidiaries.</p></div>","PeriodicalId":51357,"journal":{"name":"Journal of World Business","volume":"58 3","pages":"Article 101432"},"PeriodicalIF":8.9000,"publicationDate":"2023-04-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"4","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Journal of World Business","FirstCategoryId":"91","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S109095162300007X","RegionNum":1,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"BUSINESS","Score":null,"Total":0}
引用次数: 4
Abstract
Taking an identity perspective from the organizational ecology literature, we re-examine foreign subsidiary survival in a transition economy. State-owned enterprises (SOEs) with a socialist identity and privately owned enterprises (POEs) with a market identity exert different influences on foreign-owned enterprises (FOEs). SOEs and POEs affect the survival of FOEs primarily through the cognitive legitimation process. SOEs tend to crowd out FOEs due to identity conflict. Owing to identity overlap, POEs tend to increase the survival chances of FOEs. The level of socialist legacy in regions where FOEs are located affects the sociopolitical legitimacy of FOEs’ market identity, thus moderating the relationships between SOE and POE density and the survival of foreign subsidiaries.
期刊介绍：
The Journal of World Business holds a distinguished position as a leading publication within the realm of International Business. Rooted in a legacy dating back to 1965, when it was established as the Columbia Journal of World Business, JWB is committed to disseminating cutting-edge research that reflects significant advancements in the field. The journal actively seeks submissions that propel new theoretical frameworks and innovative perspectives on International Business phenomena. Aligned with its domain statement, submissions are expected to possess a clear multinational, cross-border, or international comparative focus, while remaining pertinent to the study of management and organizations. JWB particularly encourages submissions that challenge established theories or assumptions, presenting pioneering or counterintuitive findings. With an inclusive approach, the journal welcomes contributions from diverse conceptual and theoretical traditions, encompassing allied social sciences and behavioral sciences. Submissions should either develop new theories or rigorously test existing ones, employing a variety of qualitative, quantitative, or other methodological approaches. While JWB primarily caters to scholars and researchers, it values contributions that explore implications for Multinational Enterprises and their management, as well as ramifications for public policy and the broader societal role of business.
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