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Institutionalization of protection for intangible assets: Insights from the counterfeit and pirated goods trade in sub-Saharan Africa
Affiliation:1. Kent Business School, University of Kent, Chatham, Kent ME4 4TE, United Kingdom;2. KNUST School of Business, Kwame Nkrumah University of Science and Technology, Kumasi, Ghana;3. Department of Supply Chain and Information Systems, Kwame Nkrumah University of Science and Technology, Kumasi, Ghana;1. College of Administrative Sciences and Economics, Koç University, Istanbul, Turkey;2. Department of Psychology, Ozyegin University, Istanbul, Turkey;3. Department of Psychology, Hacettepe University, Ankara, Turkey;1. Arison School of Business, Reichman University and Alliance Manchester Business School, University of Manchester;2. Carlson School of Management, The University of Minnesota;1. School of Management, Zhejiang University of Technology, 288 Liuhe Road, Xihu District, Hangzhou, Zhejiang 310023, China;2. School of Management, University of San Francisco, 2130 Fulton Street, San Francisco, CA, USA 94117;1. School of Management, Zhejiang University, 866 Yuhangtang Road, Hangzhou 310058, PR China;2. School of Economics and Management, Tilburg University, P.O. Box 90153, 5000 LE Tilburg, the Netherlands and University of Antwerp, Faculty of Business and Economics, Prinsstraat 132000 Antwerpen, Belgium
Abstract:Based on inductive qualitative multiple case studies of MNE subsidiaries in a sub-Saharan African market, this study investigates how multiple political networking capabilities are developed and leveraged to institutionalize protection for strategic internationally transferrable intangible assets in weak institutional environments. The study finds that MNE subsidiaries use a three-phase process to institutionalize protection for intangible assets: diagnosis of the nature of transaction costs and risks in the weak institutional environment (Phase 1); development of political networking capabilities to generate multiple political resources (Phase 2); and leveraging of a multiplicity of political resources to institutionalize protection for internationally transferable intangible assets (Phase 3). The study concludes that an ability to develop and leverage political networking capabilities to recombine multiple political resources enables MNE subsidiaries to institutionalize protection for internationally intangible assets in challenging host-market institutional environments. The wider theoretical, managerial, and public-policy complications of these findings are discussed, and avenues for future research proposed.
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