Asia Pacific Journal of Management

Lasserre, Philippe

doi: 10.1023/A:1015453301540pmid: N/A

Entering and developing a presence in the Asia-Pacific region has required, and in most cases, still requires the setting up of joint ventures with a local partner particularly when the prime motive of the operation is to capture opportunities in local markets.

Erramilli, M.; Srivastava, Rajesh; Kim, Seong-Soo

doi: 10.1023/A:1015406118378pmid: N/A

Is the internationalization theory, which has been employed to explain the international expansion patterns of Western firms, equally good for Asian MNCs? Employing South Korean foreign direct investment data from 1973 through 1990, the paper tests two central tenets of the internationalization theory. Results show that physical distance plays a critical role in market selection during the early waves of investment, but economic factors become more important in subsequent waves of investment. Furthermore, the use of majority ownership modes increases over time, but firms appear to ‘leapfrog’ when the market potential is good. The paper concludes that the internalization theory could be very useful even in an Asian context, particularly when employed in conjunction with strategic and economic models.

Dow, Sandra; McGuire, Jean

doi: 10.1023/A:1015458102448pmid: N/A

Using agency theory, this paper investigates advantages linked to Japanese industrial organization. Three variables theoretically linked to keiretsu organization, ownership structure, inter-firm investment, and financing flexibility were able to correctly classify U.S. and Japanese firms. We detect polarization of U.S. and Japanese firms in terms of performance and strategic decisions.

Luo, Yadong

doi: 10.1023/A:1015410219287pmid: N/A

This study compares knowledge and its performance effects between Asian and Western MNEs in the People's Republic of China. It examines knowledge differences along four dimensions including technological skills, organizational capabilities, marketing knowledge, and environment familiarity between two groups. The discriminant analysis of the survey data containing 178 MNE sub-units in China suggests that Asian MNEs are inferior in technological and organizational competencies but superior in host country-specific knowledge such as marketing tactics and environmental familiarity, compared to Western counterparts. Despite such differences, knowledge in all four dimensions is found to enhance financial returns and overall performance for sample firms no matter where they come from. The logic underlying the dominance of Asian MNEs in China's FDI, from economic, cultural, and institutional perspectives, is also highlighted.

Kowtha, N.; Leng, Quek

doi: 10.1023/A:1015462203357pmid: N/A

Incentive design for productivity gains has become important for Asian organizations in recent years. This paper introduces the theory of incentive design to an Asian audience while extending the agency theoretic approach to control. Hypotheses derived from this theory were tested in 61 retail stores in Singapore. The results show that employee skills, output measurability and task uncertainty impact incentive design. The results indicate that agency theory may be applicable across cultures. Implications for the Asian context, and its adaptation in terms of behavior, are discussed.

Durden, Chris; Hassel, Lars; Upton, David

doi: 10.1023/A:1015414320195pmid: N/A

There are normative statements in the literature, backed up by case observations and anecdotal evidence, which indicate that manufacturing companies operating just-in-time (JIT) production management systems should also change their cost accounting systems and place greater reliance on non-financial performance indicators. This study provides empirical evidence suggesting that JIT manufacturing companies which have made some degree of modification to their costing system demonstrate higher performance than JIT companies which have not made changes. The results also suggest that greater use of non-financial performance indicators is associated with higher performance irrespective of the production management system adopted.

Akoorie, Michele; Scott-Kennel, Joanna

doi: 10.1023/A:1015466304266pmid: N/A

This paper examines the New Zealand dairy industry and in particular the pivotal role of the New Zealand Dairy Board which, historically, has had sole responsibility for the international marketing of dairy industry output. The structure of the dairy industry is examined identifying the links between the dairy cooperatives and the Board using the concepts of the ownership, location, internalization (OLI) paradigm and alliance capitalism. The paper concludes that the structure of the New Zealand dairy industry and the New Zealand Dairy Board, more closely resembles the network structures of alliance capitalism, rather than being a monopolistic anomaly in a hierarchical capitalist system.

Bradbury, Michael

doi: 10.1023/A:1015418421104pmid: N/A

This paper examines the financial performance of Government Computer Services (GCS) from 1985 to 1994. During this period GCS moved from a government department to an autonomous agency and was subsequently organized as a limited liability corporation. In 1994, GCS was sold to the private sector. This setting provides a quasi-experiment in which to examine the effect of different governance mechanisms on financial performance, while holding ownership constant. The role of government ownership and its impact on financial performance is an important issue, particularly in the Asia-Pacific region where governments play a significant role in economic development. The financial performance of GCS improves, which is consistent with the hypotheses concerning the deregulation of the product and labor markets and changes to the governance structure.

Olivier, Jacques

doi: 10.1023/A:1015470405174pmid: N/A

Bjerke, Bjorn

doi: 10.1023/A:1015422522012pmid: N/A