Etayankara Muralidharan

Informal Institutions and Their Comparative Influences on Social and Commercial Entrepreneurship: The Role of In-Group Collectivism and Interpersonal Trust

We use insights from institutional theory to study how societal collectivism and societal trust facilitate or constrain the emergence of social entrepreneurship (SE) and commercial entrepreneurship (CE). Using 58,918 individual‐level responses obtained from the Global Entrepreneurship Monitor (GEM) survey of 27 countries and supplementing with country‐level data obtained from the World Values Survey (WVS) and the Global Leadership and Organizational Behavior Effectiveness (GLOBE) study, our results from multilevel analyses demonstrate that while societal collectivism decreases the likelihood of CE, it increases that of SE. Further, while societal trust influences both SE and CE positively, the strength of this positive influence is felt more strongly on SE than CE.

Economic Inequality and Social Entrepreneurship

This article explores the extent to which income inequality and income mobility—both considered indicators of economic inequality and conditions of formal regulatory institutions (government activism)—facilitate or constrain the emergence of social entrepreneurship. Using 77,983 individual-level responses obtained from the Global Entrepreneurship Monitor (GEM) survey of 26 countries, and supplementing with country-level data obtained from the Global Competitiveness Report of the World Economic Forum, our results from multilevel analyses demonstrate that country-level income inequality increases the likelihood of individual-level engagement in social entrepreneurship, while income mobility decreases this likelihood. Further, income mobility negatively moderates the influence of income inequality on social entrepreneurship, such that the condition of low income mobility and high income inequality is a stronger predictor of social entrepreneurship. We discuss implications and limitations of our study, and we suggest avenues for future research.

Influence of institutional profiles on time to recall

Purpose – This paper aims to understand why firms expedite or delay product recall decisions involving international sourcing. Design/methodology/approach – This paper combines US toy recall data from the Consumer Products Safety Commission database for the period from 1988to 2011 with World Economic Forum data on institutional environments to predict the effect the host country conditions have on recall timing decisions. Findings – Firms tend to expedite decisions to recall defective products sourced from countries where the informal institutional profile is perceived to be unfavorable for quality manufacture. Research limitations/implications – The reported research is empirical in nature and uses pooled cross-country, single-industry data. Practical implications – Managers should be careful not to allow their biases to affect their product recall timing decisions. Originality/value – Whereas previous research has examined recall timing decisions, this study is the first to consider the institutional en...

The Influence of Self and Group-Enhancing Innovations on User Self-Construal: An Experimental Study

This research paper introduces the concepts of self-enhancing and group-enhancing innovations and explains how they may affect user self-construal differently. It is argued that self-enhancing innovations decrease the interdependent self-construal of the user, whereas, group-enhancing innovations decrease the independent self-construal of the user. Pre-test was conducted to identify of the concepts of self-enhancing and group-enhancing innovations. Then a pilot test using a randomized pre-test/post-test design was conducted to pretest the study research design. Employing a sample of consumers in a randomized pre-test/post-test design, the study presents results supporting the hypothesized effect of self-enhancing innovation, and provides partial support for the hypothesized effects of group-enhancing innovation. We discuss the implications of this research for the nexus of business and society as manifested by the interaction of technology and culture.

Culturally Endorsed Leadership Styles and Entrepreneurial Behaviors in Asia

Using multilevel modeling and data on individual-level responses on entrepreneurial behaviors from 11 Asian countries (China, India, Indonesia, Iran, Israel, Japan, Jordon, Malaysia, South Korea, Thailand, and Turkey) for the period 2001–2008, we seek to understand the influence of culturally endorsed implicit leadership theories (CLTs) of transformational and transactional leadership styles on individual-level entrepreneurial behaviors in Asia. We find that both the leadership CLTs favor entrepreneurial behaviors in the pre-entry stages in Asia. Further, we find that while transactional leadership CLTs suppress entrepreneurial behaviors in the post-entry stage, transformational leadership CLTs favors entrepreneurial behaviors in Asia. We discuss the implications of our findings specific to the Asian context.

Survival strategy of OEM companies: a case study of the Chinese toy industry

Purpose Although there have been many discussions on the status and development of original equipment manufacturers (OEMs), theory on how they survive is minimal. Little is known about how OEMs survive and upgrade to other business models, such as original design manufacturers (ODMs) and original brand manufacturers (OBMs), in emerging economies. The purpose of this paper is to extend the theory on the survival path of OEMs from the perspective of emerging countries by examining how OEMs survive cost pressures and upgrade to ODMs or OBMs. Design/methodology/approach Using a multi-case study method, this study analyzes the survival path employed by OEMs by examining eight firms in the Chinese toy industry. Findings This study shows that OEMs remain weak in the global toy industry chain due to labor costs. While some OEMs move to low-cost regions, others turn to OBM management, after transitioning through an ODM model, by investing in research and development and marketing. Originality/value This study explores the survival paths of OEM enterprises, showing that OEMs can first upgrade to ODMs and then to OBMs, or they can directly upgrade to OBMs. Shifting from OEM to ODM is an important step in the transition process, although the contract that OEMs have with their foreign partners does not change significantly.

An Institutional-Level Expectancy Model of Social Entrepreneurship Motivation

We draw on two prevailing theories of entrepreneurial activity - expectancy theory and institutional theory - to develop an integrated model of social entrepreneurship motivation. We pair the three...