Global software piracy: Trends and strategic considerations

The design, manufacture, distribution, and sale of software constitutes a rapidly growing and remarkably lucrative global industry. Leaders of most software companies understand that intellectual property rights (IPR) typically are vital to competitive advantage and company success. Theft of intellectual property (IP) in the form of software piracy is brazen, extremely costly, lowers incentives to innovate, and threatens the very existence of some companies. IP theft, therefore, is a daunting challenge for managers of software firms. In this article, we make several contributions that should prove helpful to software designers, managers, responsible users, and broad stakeholders of software innovation and use—that is, almost all of us. In doing so, we provide an overview of international legal, ethical, economic, and systemic considerations, and we share an analysis of the drivers of consumer software piracy. We then discuss strategic considerations and introduce a decision-making typology, which may help legitimate companies to devise strategies and tactics to manage their software IP in the face of widespread piracy.     

Navigating China's labyrinth: Singapore government‐linked companies and lessons learned from their experiences

The government‐linked companies (GLCs) were among the earliest Singapore firms to venture into China and tap into its rapid economic growth. Riding on their expertise in services and manufacturing, the financially strong GLCs have been able to penetrate the mainland market and gain a firm foothold in China. However, their success has not come easy. Many of the GLCs experienced many difficulties and had to learn to deal with the complexities of doing business in the mainland. This article uses an analytical framework to explore the difficulties that the GLCs face, with the Singapore‐Suzhou Industrial Park (SIP) as a case study. The article also examines if there has been a change in the business strategies after the SIP experience, offering some useful lessons for companies investing in China. © 2009 Wiley Periodicals, Inc.     

Drivers of training participation in low skilled jobs: the role of ‘voice’, technology,innovation and labor shortages in German companies

This article investigates the role of ‘voice’, technology, innovation (of products, services, or processes) and labor shortages in the training participation of low skilled workers in German companies. By building on the key findings of previous research, hypotheses on drivers of training participation are derived from filter theory and the concept of social embeddedness. Regression and cluster analysis based on the German IAB Establishment Panel (wave 2011) show evidence that training participation is shaped by ‘voice’‐related institutional company characteristics such as employee representation or formalized HR practices. Both characteristics often cluster together. Regression analyses confirm that companies in this cluster train a higher share of their low‐skilled workforce. The share is particularly high when companies in this cluster face labor shortages. Apart from that, advanced technology and recent innovations at the company level are not related to higher rates of training participation among low skilled workers.     

Electronic human resource management: organizational responses to role conflicts created by e‐learning

Could enthusiasm for e‐learning be dampened because it is detrimental to the relationships between those undergoing e‐training and their direct managers or colleagues? Interviews conducted in four French banks provide material to explore this question. We see that e‐learning has increasingly been adopted because it goes beyond the role limitations imposed by traditional training formats. Initially, however, the uptake of e‐learning was hampered because it imposed a role on trainees which did not correspond to their socialization needs. The companies in question responded to this problem by proposing ‘blended learning’ (that is, alternate sessions of e‐learning and in class face‐to‐face sessions). Nevertheless, the development of e‐learning remains limited today partly because of the role conflict it creates in the workplace: should an employee engaged in e‐learning in his office workstation be considered ‘at work’ or ‘in training’? This role conflict is detrimental to the relationships between the e‐learners, their colleagues and the direct manager. Solutions offered by companies may address this particular problem, but all of these reduce the efficiency of e‐learning sessions, and thus contribute to limiting its future development.     

A MODEL FOR LOGISTICS MANAGEMENT IN A POST‐SOVIET CENTRAL ASIAN TRANSITIONAL ECONOMY

The research presented explores the logistics management of European and North American manufacturing companies operating in the unique environment of the post‐Soviet Central Asian transitional economy of Kazakhstan. Combining three alternating phases of quantitative and qualitative analysis, the research identifies the challenges logistics managers face in their efforts to distribute their companies' products into and within Kazakhstan. Then, using cross‐case analysis on a series of eleven case studies of European and North American manufacturing companies operating in Kazakhstan, the article concludes with a grounded theoretical model of logistics management for European and North American companies in Kazakhstan. The model highlights the unexpectedly divergent paths taken by companies from two different industry categories.     

欧盟东扩对我国纺织业的潜在影响分析

进入21世纪,欧盟东扩的进程不断加快。作为我国支柱产业的纺织业将面临更多的挑战:原有出口配额企业配额的丧失;贸易转移效应;反倾销、反补贴措施的严重性;技术贸易壁垒的“东扩”;保障条款的滥用以及投资转移效应的影响等。我国的纺织服装企业只有全面提高自己的适应能力,才有可能将欧盟东扩作为进入欧盟的平台,扩大对欧盟的出口。     

Which Dimension of Corporate Social Responsibility is a Value Driver in the Oil and Gas Industry?

The oil and gas (O&G) industry suffers from a negative perception of poor sustainability. O&G companies are therefore engaged in several socially sustainable activities related to community development and environmental protection. This article determines whether the social, environmental, and economic dimensions of corporate social responsibility (CSR) are equally value‐additive to O&G companies. We measure the company‐specific level of CSR activities from the information provided in the annual financial reports of O&G companies and determine the effects of CSR dimensions on firm value. We find that CSR enhances firm value of O&G companies. While social activities such as employee well‐being and community development are key value‐drivers, environmental and economic sustainable activities have an insignificant impact on the market value of O&G companies. Copyright © 2018 ASAC. Published by John Wiley & Sons, Ltd     

IP protection and ownership in cross-border acquisitions

We use the institutional theory to examine the impact of intellectual property protection on US multinational corporations (MNCs) ownership levels of their foreign acquisitions. Based on a sample of 7238 completed international M&A deals made by US MNCs from 1998 to 2017, we found that multinationals protect their intellectual property through more ownership when they are technologically intensive and invest more when IP protection is strong. However, IP protection negatively moderates the need for more ownership for technologically-intensive multinational corporations. Our results are robust to a battery of empirical tests, including a unique instrumental variable approach. This leads us to claim that our results are not merely correlated but are causal.     

Entrepreneurial Orientation and International Performance: The Moderating Effect of Decision‐Making Rationality

This research examines how entrepreneurial orientation (EO) influences international performance (IP) of the firm taking into account the moderating effect of decision‐making rationality (DR) on the EO–IP association. Such an investigation is significant because it considers the interplay of strategic decision‐making processes supported by the bounded rationality concept in the entrepreneurship field. Drawing from a study on activities of 216 firms in the United States and United Kingdom, the evidence suggests that DR positively moderates the EO–IP association. The findings suggest that managers can improve IP by combining EO with rational (analytical) processes in their strategic decisions.     

The Invisible Meets the Intangible: Culture’s Impact on Intellectual Property Protection

In the global marketplace of ideas, accusations are often made that certain countries refuse to protect intellectual property (IP). This accusation fails to account for cultural differences in the recognition of IP This paper considers the impact of cultural variables upon a nation’s level of (IP) protection. Cultural variables such as humane orientation and in-group collectivism have a negative impact upon IP protection, while uncertainty avoidance and future orientation have a positive impact upon IP protection. Managerial implications of these findings are discussed.     

Boasting and aspiring,as status‐reinforcing mechanisms in status‐based loyalty programs

In the retail industry, status‐based loyalty programs (SBLP) are commonly used as an important marketing tool to award elevated status to customers who exceed certain level of spending. In contrast to previous studies that have considered “target and bystander” and “member–non‐member” differentiation, this study responds to the need to account for the dynamics in across‐tier effects in loyalty programs (LPs). By undertaking a scenario‐based experiment that focuses on a “face‐to‐face” across‐tier social event, this study examines the joint effects of exclusivity, status visibility and social comparison on LP members’ status perception and willingness to spend. Contrary to prior beliefs that the beneficial effects for targets (e.g., VIP members) in status hierarchies are offset by the negative effects on bystanders (e.g., non‐VIP members), this study concludes that situations when social comparisons occur in SBLPs are not necessarily zero‐sum games. Ultimately, this study uncovered two distinct status‐reinforcing mechanisms–“aspiring” and “boasting”–which LP members may experience in SBLPs. The outcome of this study highlights important implications for companies to pursue different strategies aimed at enhancing members’ status perceptions.     

Intellectual Property Securitization and Growth Capital in Retail Franchising

A retail franchisor needs growth capital so that the brand continues to grow and franchisor–franchisee relations remain strong. However, access to corporate liquidity to fund such franchise growth options is not unlimited. A method of raising finance particularly suited to retail franchisors is intellectual property (IP) securitization that allows companies to account for intangible assets such as intellectual property, royalty and brands and realize their full value. In recent years, a number of large restaurant franchisors have securitized their brands to raise funds, including Dunkin Brands and Domino's Pizza (Domino's). We use property rights approach to show that IP securitization provides mechanisms that explicitly define ownership of intangible assets within the securitization structure and thus enables a company to raise funds against these assets. Using a case study example of a retail franchise IP securitization transaction, we also provide evidence that these mechanisms are not overly restrictive and can be used more widely to help fund retail franchise growth and expansion.     

Practical Skills in International Business: Training Needs for Workforce Competence by Minnesota Companies

Companies doing business internationally face the competitive challenges of a constantly changing operational environment. Employees need to update their international knowledge, skills, and abilities (KSA) frequently by attending training programs. A survey of Minnesota firms indicate that almost all companies are willing to cover the time and cost of employees attending such programs, apparently believing that workforce development benefits both day‐to‐day operations and improves employee morale. The current specialization in educational (K) and training (SA) programs by academic and nonacademic providers largely meets the needs of students and of corporate workforce development, but company competitiveness overseas could be enhanced if international K and SA providers cooperated more closely in complementary programming.     

Institutional investors as stewards of the corporation: Exploring the challenges to the monitoring hypothesis

The study explores the challenges UK‐based institutional investors face when trying to monitor investee companies and influence their social, environmental, and governance practices. Consistent with previous research, I find that misalignment of interests within the investment chain and dispersed ownership are factors which inhibit investor activism. However, other underexplored challenges include lack of investee company transparency and investor experience in activism, as well as low client demand for engagement and internal conflicts of interest. The results contribute to the literature on institutional investor activism by using direct empirical evidence to systematically discuss the challenges to stewardship. Given the intensification of media and regulatory attention on shareholders in the post‐global financial crisis era, coupled with investors’ growing awareness and practice of stewardship, the research opens new avenues for enquiry which go beyond the on‐going debate about the monitoring versus short‐termism roles of institutional investors.     

The Environmental Imperative in International Business Education

The development of an environmental consciousness is critical to the development of international business curricula. Issues such as air pollution, water pollution, and the disposal of solid and hazardous waste are facing multinational companies around the globe. Moreover, corporations now face an enhanced set of predicaments ranging from ozone depletion and the greenhouse effect to the protection of animal rights both in the laboratory and in their natural habitat This paper addresses questions relating to the teaching of environmental material, content of the presentation, who should the presenter be, and how to overcome obstacles that such an innovative curriculum would fall.     

Strategic choices of firms in expanding overseas business

Based on a case study of Pfizer’s production scope evolution in China from 1993 to 2002, we propose that MNCs usually have to face dual pressures of keeping integration among global businesses on the one hand, and remaining responsive to local market conditions on the other. When there is large discrepancy between the two, due to the bounded rationality of the decision-makers, the development paths of the subsidiaries are likely to exhibit recursive pattern, instead of the sequential mode as suggested in the extant literature. On the other hand, we argue that companies can make strategic choices to facilitate the development of their overseas subsidiaries. By the adjustment of the strategic parameters pertaining to the content and processes of their development paths, companies can accumulate knowledge about the local market and strike a balance between the dual pressures they have to face. The implication of our study for the indigenous Chinese companies in their international expansion is that when facing unfamiliar business environment in overseas market, paying attention to the idiosyncratic local market condition and keeping strategic flexibility are pivotal to their success. __________ Translated from Guanli shijie 맜理世界 (Management World), 2005(10): 123–138     

Integrated reporting: an international overview

This article analyses the determinants associated with the use of the Integrated Report (IR) as a corporate reporting model for sustainability information. IRs provide information regarding the use and interdependence of different company resources. The previous literature has identified determinants behind the presentation of IRs at the country level (legal system, investor protection, economic development, cultural characteristics) as well as at the company level (size, industry, verification of the sustainability report). Our work contributes to the literature by using a novel statistical approach that addresses the likelihood of the non‐independence of data: companies in the same country are more similar to one another than are companies from different countries. Our results confirm significant inter‐country variance, which may be partially explained by the existence of specific regulations and the individualism vs. collectivism dimension. Although we confirm the effect of company‐level determinants, our results do not support the role of specific variables tested as determinants.     

The Move to the Middle: Convergence of the Open‐Source and Proprietary Software Industries

In this paper we focus on open‐source software within the broader framework of the software industry. More specifically, we compare proprietary and open‐source software (OSS) companies in terms of three criteria: (a) approaches to the production of software; (b) business models; and (c) strategic interactions. We postulate three convergence hypotheses. First, there is evidence of convergence in production approaches: leading OSS firms tend to rely on R&D and acquisitions as intensely as leading proprietary companies do. Second, there is evidence of convergence in business models: through dual‐licensing models, top OSS firms derive substantial portions of their revenues from licenses, just as many proprietary companies do. Third, there is evidence of convergence in strategic interactions: the competitive strategies that a company follows do not really hinge on the ‘proprietary versus open‐source’ dichotomy, but on whether a firm feels threatened in the software layer where its core assets are located. This evidence of convergence raises a number of interesting questions for economic theory and for the analysis of the industry’s future evolution.     

The executive leadership imperative: A new perspective on how companies and executives can accelerate the development of women leaders

In light of today's leadership shortage, companies face challenges in trying to identify and develop new leaders to fill the key roles left vacant by baby-boomer retirements. This feat can only be accomplished by tapping all sources of future leadership talent—especially women, who are currently underrepresented at the executive level. The development of future leaders in most companies is handicapped by the fact that promotional decisions to the C-Suite level are based on a set of unstated criteria for advancement. The lack of clarity regarding the factors used to determine who does and who doesn’t progress to the executive level presents special challenges for aspiring women executives. Effectively addressing these obstacles requires a new mindset toward talent development within organizations. We recommend actions on two fronts: (1) specific practices that companies can make part of their succession planning and career development processes in the interest of creating a level playing field for executive advancement, and (2) actions that women can proactively employ to take the initiative in their own development as leaders.     

Problems of foreign subsidiaries of SMEs compared with large companies

This paper draws on institutional theory, supplemented with foreign direct investment (FDI) theory, to explain the level of problems encountered by foreign subsidiaries of Japanese small- and medium-sized enterprises (SMEs) and compares them with large companies. The study confirms the importance of institutional factors such as institutional distance, legitimacy, and the state's coercive influence, as well as factors that FDI theory suggests are associated with multinationals, such as high technology and industry concentration. SMEs differ from large companies in some of the operational areas in which their foreign subsidiaries face high levels of problems, but both seem challenged by problems with labor and low-price foreign competition.