Charles Dhanaraj

A Resource-Based Approach to the Study of Export Performance

This paper presents a comparative study of the export performance of U.S. and Canadian small and medium‐sized exporters. A parsimonious model is developed drawing on the resource‐based theory of the firm, with three sets of resources, namely firm size, enterprise, and technological intensity. These key resources are good predictors of the export strategy of a firm. Export strategy is modeled as degree of internationalization, and its effect on the overall firm performance is studied using firm‐level performance measures. LISRELs multiple group analysis feature is used in the analysis to test the model. The results confirm the validity of the model across the two data sets.

Managing the Embedded Multinational: A Business Network View

AbstractIt has long been recognized that controlling complex organizations like multinational enterprises (MNEs) is a multi-dimensional problem. Efficient organizational structures based on Coasian transaction costs often run afoul of individual or sub-unit goals, resulting in vertical conflicts between headquarters and subsidiaries (Nohria and Ghoshal, 1994). Further, horizontal competition among subsidiaries intent on promoting their own strategic agendas within the MNE results in internecine competition over resources and consequent rents (Mudambi and Navarra, 2004). Thus, the resulting organization and control structures of MNEs are the outcome of political processes where ‘power explains results when the organization sacrifices efficiency to serve special interests’ (Williamson and Ouchi, 1981).The network view of the MNE, built up over the years by the Uppsala school, is based on the essential recognition of the political aspects of the MNE, that is, ‘the political perspective stresses the fact that a great deal of the market knowledge … so important in explaining the internationalization process is controlled by subsidiaries rather than by the parent company’ (Forsgren, 1989). The current book sheds further light on the politics of the MNE by developing and extending the notion of embeddedness. It demonstrates that the Uppsala school remains fecund – a continuing source of new ideas on the cutting edge of IB research. Charles Dhanarajs critical review provides an excellent dissection of the book, highlighting its pioneering aspects and linking it to methodologically rigorous mainstream research in management and sociology.Ram MudambiJIBS Book Review Editor References Forsgren, M. (1989) Managing the Internationalization Process: The Swedish Case, Routledge: London.Mudambi, R. and Navarra, P. (2004) ‘Is knowledge power? Knowledge flows, subsidiary power and rent-seeking within MNCs’, Journal of International Business Studies35(5): 385–406.Nohria, N. and Ghoshal, S. (1994) ‘Differentiated fit and shared values: alternatives for managing headquarters-subsidiary relations’, Strategic Management Journal15(6): 491–502.Williamson, O.E. and Ouchi, W.G. (1981) ‘The markets and hierarchies program of research: origins, implications, prospects’, in A.E. Van de Ven and W.F. Joyce (eds.) Perspectives on Organization Design and Behavior, John Wiley: New York.

ORCHESTRATING GLOBALLY: MANAGING THE MULTINATIONAL ENTERPRISE AS A NETWORK

MNEs can usefully be conceptualized as intraorganizational networks; structurally, they often resemble loosely coupled systems. With subsidiaries possessing assets, resources, and capabilities crucial to the worldwide network, management by fiat is unlikely to be effective, and an integration of headquarters/subsidiary perspectives is necessary. Yet the MNE literature is surprisingly silent on the who, what, and how of such integration. This paper introduces the notion of “orchestration” and suggests that high performance requires headquarters to effectively manage the orchestration processes of mobilizing resources, appropriating value, and ensuring global network stability. Research propositions are developed and managerial implications are discussed.

Learning across Borders: Organizational Learning and International Alliances

This chapter presents a conceptual framework of organizational learning that integrates process models of learning (Argyris and Schon, 1974; Lyles, 1988; Nonaka, 1994; Ring and Van de Van, 1992, 1994) with the structural models of learning (Badaracco, 1991; Mowery et al., 1996). We apply this framework by using it to analyse two published case studies on organizational learning in international joint ventures (IJVs).

Toward a Theory of Speed of Socialist Imprinting Decay

We draw from insights in the neo-institutional and evolutionary economics literatures to develop a Theory of Speed of Socialist Imprinting Decay that extends existing theory in three new directions...

Research Methodology in Strategy and Management/Research Methodology in Strategy and Management

The article reviews the books “Research Methodology in Strategy and Management, Volume 1” and “Research Methodology in Strategy and Management, Volume 2,” both edited by David J. Ketchen, Jr., and Donald D. Bergh.