Norifumi Kawai

Location Strategies of Foreign Investors in China: Evidence from Japanese Manufacturing Multinationals

Abstract The goal of this study is to examine the determinants of the industrial location of Japanese manufacturing foreign direct investment (FDI) in China for the period from 1998 to 2006 at the provincial level. We stress that the determinants of FDI strategies cannot be tested sufficiently without a fine-grained analysis of the association between institutions and organizations. In an extension of institution theory, we identified that institutions such as special economic zones (SEZs), a greater degree of protection of intellectual property rights, and the weak concentration of state-owned enterprises (SOEs) act as crucial determinants of recruiting Japanese manufacturing FDI.

Does downsizing really matter? Evidence from Japanese multinationals in the European manufacturing industry

This article empirically examines the antecedents and consequences of organizational downsizing using a sample of 67 Japanese multinational corporation (MNC) subsidiaries operating in the European manufacturing industry. To date, existing findings on the occurrence of downsizing at the subsidiary level are based on anecdotal accounts or simple descriptive surveys without any clear-cut conceptual framework that addresses factors and consequences of downsizing events. This study provides evidence that the macro-environmental (e.g. demand declines, international competition) and organizational factors (e.g. stagnant sales growth and poor profitability improvement of international competitiveness, development of stable management) were the central motivations for firms to engage in workforce reductions. Using the ordered probit and multiple regression techniques, a negative relationship was found between the adoption of downsizing by firms and perceived market and organizational performance, namely sales growth and employee motivation. This article also presents managerial implications and methodological limitations.

The influence of external network ties on organisational performance: evidence from Japanese manufacturing subsidiaries in Europe

By extending Dyer and Singh’s relational view of the firm, this paper aims to expand upon the knowledge of the impact of external network ties on firm performance. Using a sample of 85 Japanese manufacturing subsidiaries operating in the European market, the findings of this study reveal that network ties with local firms have a significant impact on firm performance. The empirical results also show that cost leadership, firm size and ownership structure play key roles in enhancing firm performance. One major practical implication is the importance of managers paying attention to types of network ties. As the empirical results of this study suggest, firms fostering close network ties with indigenous business actors rather than with political interest groups can achieve successful organisational performance in the European market. Another important implication is that developing relational capital only is not sufficient to explain the level of organisational performance. Managers need to pay much attention to the relationship between firm-level strategic choices and the success of multinational business activities.

Institutional support and women’s entrepreneurial self-efficacy

Purpose The purpose of this study is to explores the extent to which local institutional forces affect female entrepreneurial venture performance. Drawing upon a unified theoretical framework of social cognitive and institutional perspectives, the authors scrutinize the complex interplay among institutional support, entrepreneurial cognitions and entrepreneurial success. Design/methodology/approach Based on a unique sample of 202 female entrepreneurs in 30 provinces throughout Japan, this paper grounded social cognitive theory and attempted to clear the relation between women’s entrepreneurial self-efficacy and venture performance empirically by statistical analysis. Findings The findings of structural equation modeling indicate that women’s entrepreneurial self-efficacy is a strong and useful mediator of the effect of informal institutional support on venture performance. Unexpectedly, formal institutional support shows no correlation with entrepreneurial self-efficacy. Practical implications This study proposes that perceived social legitimacy may lead to increased entrepreneurial self-efficacy, thereby enhancing venture performance. This finding can clarify the institutional force pathways to foster entrepreneurial confidence. Originality/value This study contributes to the field of female entrepreneurship by examining institutional antecedents of women’s entrepreneurial self-efficacy. Focused on the case of Japanese female entrepreneurs, this study is unique and valuable.

How does perceived underemployment influence expatriate job-related outcomes? A moderated mediation study

Abstract Although research has investigated the consequences of underemployment in domestic settings, research on the effects of underemployment among expatriates remains limited and has yielded inconsistent results. From a theoretical perspective, there is a need for a better understanding of the mechanisms through which underemployment affects various work-related outcomes and to account for potential contingencies. Drawing on the person-job fit literature and research on organizational identification, we theorise and empirically examine how and under what conditions underemployment influences expatriate performance. Using an original primary data-set of 103 Japanese expatriate managers in the UK, we find that underemployment affects expatriate work outcomes by increasing expatriates’ maladjustment and that this effect is moderated by the level to which expatriates identify with their organization.

The Role of Institutional Conditions in Japanese FDI in European Transition Economies

This illuminating book broadly addresses the emerging field of ‘diversity of capitalism’ from a comparative institutional approach. It explores the varied patterns for achieving coordination in different economic systems, applying them specifically to China, Japan and South Korea. These countries are of particular interest due to the fact that they are often considered to have developed their own peculiar blend of models of capitalism.