Laura Rienda

Family Firms' International Commitment The Influence of Family-Related Factors

Few studies have dealt with family businesses and internationalization theories. The aim of this article is to bridge this gap by examining the family-related factors that have an impact on the international commitment level of these companies. From a sample of Spanish family firms, findings show that long-term vision and the presence of nonfamily managers are positively related to entry modes involving stronger international commitment, although self-financing limits this commitment.

The impact of country risk and cultural distance on entry mode choice

Purpose – Different theoretical approaches can be used to justify a positive or negative influence of country risk and cultural distance on the resources commitment level assumed in each decision to entering a new country. Before the disparity of results obtained in prior research, this study seeks to provide new empirical evidence about the influence that those two dimensions linked with the target country may exert on entry mode choice.Design/methodology/approach – Based on contingency approach, transaction cost economics, resource dependency perspective, bargaining power theory and organisational capabilities perspective, various alternative hypotheses are developed and tested using a sample of 471 entries performed by Spanish enterprises between 1999 and 2004.Findings – The findings indicate that both dimensions go in the same direction, as both greater target country risk and greater cultural distance reduce the likelihood of using higher‐commitment entry strategies.Originality/value – The conflictin...

Family firms' risk perception: empirical evidence on the internationalization process

Purpose – This paper has as its aim to research the factors affecting the risk perceived by family firm executives in relation to international activity.Design/methodology/approach – The paper examines the factors which can modify risk perception, placing special emphasis on those arising from the coincidence of ownership and management in family businesses.Findings – Focus on the international commitment assumed by family firms and using a sample of 92 Spanish family companies, this paper shows that risk perception decreases with the presence of the first generation and the size of these organisations. Additionally, it has been found that the risk perceived is higher when the firm advances in its international commitment level.Practical implications – If family firms know the factors which can affect the risk perceived about international activity, they will stand a better chance to handle them properly with a view to move forward in their internationalisation process.Originality/value – An effort is mad...

The Internationalisation Process in Family Firms: Choice of Market Entry Strategies

One of the most important issues in the study of the internationalisation process is the choice of market entry strategy, which can be linked to the degree of international commitment. We have chosen to address this aspect in this paper by undertaking case studies of family firms, located in the province of Alicante (Spain), that belong to the most internationalised sectors in the region. The results obtained show that this group of firms follow the propositions laid down by the Uppsala model and that the age, size and generation of the family firm significantly influence the establishment of international, strategic alliances.

The internationalisation of Indian multinationals: determinants of expansion through acquisitions

In recent years, there is an increasing number of papers focusing on the internationalisation process of Indian multinationals. However, there is still a gap in understanding the determinants of their outward foreign direct investment (FDI) decisions. Thus, this paper analyses the factors influencing the choice between FDI modes by Indian firms. Our findings show that industry technological intensity, host country risk, host market attractiveness, previous international experience and the volume of exports from India to the host country are determining factors of the choice between acquisitions and greenfields.

Critical friends: a tool for quality improvement in universities

Quality programmes in higher education in Spain consist of a review to be conducted by a panel composed of external and internal members. These activities may contribute towards an improvement in teaching. However, we can use a number of complementary methods in order to evaluate teachers. The aim of this paper is to discuss the aspects that must be considered in order to succeed in the implementation of the critical friends technique to improve teaching, based on the experience of a group of six lecturers in a Spanish university.

Doing business in China and performance: a review of evidence

Purpose – The number of papers focusing on foreign companies doing business in China has increased significantly since the open‐door policy came into effect in the late 1970s. Performance has been one of the most researched topics. This paper aims to carry out a review of the empirical papers which have analysed the performance drivers of foreign companies in mainland China.Design/methodology/approach – The paper reviews 62 empirical papers dealing with the performance of foreign firms in mainland China, published in ten leading international academic journals between 1978 and 2006.Findings – An analysis of the main findings is offered, along with a summary of the theoretical approaches, methodologies, samples and performance measures used.Originality/value – The paper identifies the factors which contribute to greater performance in mainland China. Although other studies have reviewed the literature in the Chinese context, none had specifically tackled this topic through a comprehensive review.

Doing business in China and India: a comparative approach

Purpose – In recent years, China and India have been experiencing a process of economic and social transformation that is unprecedented in recent human history. The consequences of the spectacular resurgence of these two Asian giants are profound and far‐reaching, and are causing the centre of gravity of the world economy to be drawn inexorably toward these countries. The aim of this paper is to offer a comparative approach to the reality of China and India as regards business and strategic management.Design/methodology/approach – The paper reviews previous literature that has focused on comparing various issues related to business and management in China and India.Findings – The paper highlights the points of convergence and divergence in the developmental patterns of China and India, the key factors for success in each country, the entry modes that could be used and the business opportunities they offer.Originality/value – The paper provides a comparison between China and India with regard to business a...

Doing business in India: a review of research in leading international journals

Purpose – India has emerged as one of the major players on the new international business scene. Its unstoppable economic growth since reforms in 1991 has become the focus of attention of researchers in the area of international business and management. The purpose of this paper is to review the research on India that has been published in top business and management journals, with the aim of knowing what are the most influential papers, what are the issues that have received the most attention, which are the main findings or what more needs to be done in terms of research.Design/methodology/approach – The choice of journals was based on previous literature reviews. The authors reviewed 94 papers on India published in the 11 journals selected for the 1991‐2010 period.Findings – The main results of the review are as follows; although there was great variety between the methodologies used, quantitative papers, including papers that used primary data, were the most frequent. With regard to journals, Journal ...

Family ownership and Spanish hotel chains: an analysis of their expansion through internationalization

La relacion entre el caracter familiar de la empresa y la estrategia de internacionalizacion ha sido ampliamente abordada en la literatura sobre empresa familiar. Sin embargo, no existen trabajos que hayan analizado este tema para el caso concreto del sector hotelero espanol, aun siendo un sector que cuenta con una alta presencia de este tipo de empresas y, ademas, estar altamente internacionalizado. Por este motivo, el objetivo del presente trabajo es determinar si el caracter familiar de las cadenas hoteleras espanolas ha condicionado su estrategia de internacionalizacion.