The adolescence of Asia management research: <Emphasis Type="Italic">APJM</Emphasis>, 1997–2006

In this article we reflect on the adolescent years of Asia management research published in the Asia Pacific Journal of Management (APJM) by reviewing work published in the past 10 years (1997–2006). We report that during the last decade, APJM has published 223 research articles, written by 373 different authors, who are affiliated with 203 different institutions. Our discussion of the future of Asia management research is guided by Kuhn’s (Kuhn, T. S. The structure of scientific revolutions. Chicago: University of Chicago Press, 1962) perspective on the nonlinear progression of science. We argue that as a growing community, Asia management research is finding its “identity” and establishing its presence in the larger worldwide management research community. Following our analysis, we conclude that the growth of Asia management research—as captured by APJM publications—throughout its “adolescent” years has set forth a challenging and exciting path for the future. All authors contributed equally. We thank Mike Peng (Editor-in-Chief) for his encouragement and advice. This work was completed when Yu-Shan Su was a Fulbright visiting scholar at the University of Texas at Dallas (UTD). She thanks the Fulbright Association and the Taiwanese Ministry of Education for partially funding this work.

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Same but different? Similarities and fundamental differences of informal social networks in China (<Emphasis Type="Italic">guanxi</Emphasis>) and Korea (<Emphasis Type="Italic">yongo</Emphasis>)

This research reports on the similarities and distinctive differences between informal social networks in China (guanxi) and Korea (yongo). Within an analytical framework derived from social capital and institutional theory, the structural forms and characteristics of both network forms are compared. Although we observe some similarities, surprisingly, the two networks show several fundamental differences. Both are society-spanning constructs, developed and maintained by reciprocal action that creates trust and trustworthiness, and serve as a major factor in network cohesion. Both networks are relatively closed or inaccessible to outsiders, with insiders able to connect other insiders to each other (i.e., internal bridging of structural holes). However, guanxi can be characterized as being utilitarian (purpose-based), whereas yongo in principle describes cause-based ties. Furthermore, guanxi networks are somewhat accessible to outsiders and draw on a diverse base of ties; yongo networks are predefined, partly by birth, and are hence homogeneous and highly exclusive. Guanxi networks can benefit from spillover effects through bridging different networks; yongo networks often cannot, as there is antipathy, competition, and potential hostility between certain types of networks. The results add knowledge to social network theory in general and in particular on informal social networks in East Asia.     

<Emphasis Type="Italic">Sylvania’s</Emphasis> Indian Precursor and Its Legacy

The starting point of this paper is a January 1977 judgment of the Indian Supreme Court, which applied the rule of reason to vertical restraints and anticipated many of the arguments of the Sylvania judgment. After summarizing the background of the Indian case, I set out the main points of similarity and difference between the two judgments, and finally assess the somewhat erratic influence of post-Sylvania antitrust thinking on Indian competition law and jurisprudence.     

Designing <Emphasis Type="Italic">interaction</Emphasis>: How do interaction design students address interaction?

Interaction design is usually described as being concerned with interactions with and through artifacts but independent of a specific implementation. Design work has been characterized as a conversation between the designer and the situation and this conversation poses a particular challenge for interaction design as interactions can be elusive and difficult to describe. Moreover, current trends in interaction design introduce physical materials to a higher degree resulting in even more complex design situations. There is a lack of knowledge about how interaction designers, and especially students, address the very phenomenon of interaction. This study contributes by describing how interaction design students attempt to address aspects of interaction and by presenting an in-depth analysis in the context of an interactionary-type design exercise. The quantitative and qualitative findings showed that (1) the design students brought up aspects of interactivity and dynamics through talk and gestures but (2) a comprehensive design idea about interaction did not guide the design work and they were to a little degree engaged in planning sequences of interactions or interaction on a longer time scale, (3) using physical materials disrupted interaction design, and, (4) there was a lack of continuity when addressing interaction compared to how proposals about artifacts were pursued. As interaction is the core of interaction design, the findings are discussed in terms of how the immaterial design materials may “talk back” to designers. Practical strategies for how the observed phenomena could be constructively addressed within interaction design education are suggested.     

Vertical Restraints,the <Emphasis Type="Italic">Sylvania</Emphasis> Case,and China’s Antitrust Enforcement

We briefly review the relevant economic theories and legal treatment of vertical restraints, and especially focus on the 1977 landmark case of Sylvania and its possible influence on China’s antitrust enforcement on vertical restraints. China’s competition policy, and particularly its antimonopoly law, does not explicitly instruct with respect to the enforcement approach (per se versus rule of reason) toward vertical restraints. But from an overview of China’s recent antitrust cases, we find that there is a division in the approaches taken by public versus private enforcement: Even though the administrative enforcement is more inclined to the application of per se prohibitions (or the application of the EU-style prohibition-plus-exemption approach), it seems that a rule of reason is the (increasingly) prevailing approach that is taken by the courts.     

The Supreme Court and Beer Mergers: From <Emphasis Type="Italic">Pabst/Blatz</Emphasis> to the DOJ–FTC Merger Guidelines

The beer industry in the U.S. has undergone significant structural change in the post-WWII period. The industry also was the object of prominent antitrust challenges to horizontal mergers proposed during this time frame. This paper documents the trend of increasing seller concentration in the brewing industry and assesses the role that mergers played in this structural transformation. We also analyze the change in merger policy that has taken place since the Supreme Court originally addressed mergers in the beer industry as compared to current antitrust enforcement under the DOJ–FTC Merger Guidelines and recent judicial decisions.     

Why do Chinese employees build supervisor-subordinate <Emphasis Type="Italic">guanxi</Emphasis>? A motivational analysis

Supervisor-subordinate guanxi is an informal leader-member relationship that is of utmost importance in Chinese organizations. This paper explores Chinese employees’ motives for building supervisor-subordinate guanxi through two studies. Study 1 develops an indigenous scale of motives for supervisor-subordinate guanxi. Four motive types (i.e., career advancement, team concern, personal life, and impression management) are identified, and the scale’s convergent and discriminant validity is established. Study 2 examines the predictive power of these motive types. The results indicate that they, as a whole, account for unique variances in supervisor-subordinate guanxi. Furthermore, as single motive types, they have unequal impacts on this relationship and its dimensions. This research enhances understanding of what underlies supervisor-subordinate guanxi from a motivational perspective and has implications for Chinese indigenous research of guanxi.     

Can <Emphasis Type="Italic">guanxi</Emphasis> be a problem? Contexts,ties, and some unfavorable consequences of social capital in China

Social capital is generally believed to enhance the effectiveness of organizations in certain cultural contexts. However, even with substantial social capital in place, China, during its economic transition towards market systems in the past decades, witnessed problems stemming from underdevelopment and organizational dysfunction. To address this paradox, we delineate a unique type of networks-based social capital in China: dense strong-ties accompanied by sparse weak-ties. Drawing on extant literature, a conceptual framework is proposed to reveal the dynamics of the unique social capital set-up in the Chinese context: first, a view of how the country’s social capital system was formed under conditions of resource scarcity, and of how it was further modified by its unique Chinese cultural contexts; and second, an examination of how Chinese social capital led to certain unfavorable societal and organizational consequences—namely, market fragmentation, state intervention, and rent-seeking activities. Theoretical and practical implications are discussed.     

Multinationals' response to major disasters: how does subsidiary investment vary in response to the type of disaster and the quality of country governance?

We investigate the response of multinational corporations (MNCs) to major disasters at the subsidiary level. We examine the type and severity of the disaster and whether and how country governance moderates the relationship between exogenous disaster risk and subsidiary investment. We test our hypotheses with a panel dataset of 71 large European MNCs and their subsidiaries (2001–2006) with 31,285 total observations. Findings suggest that the number of a firm's foreign subsidiaries is likely to decrease in response to terrorist attacks or technological disasters but not natural disasters, regardless of the severity of the event. For terrorist activities, MNC subsidiary‐level disinvestment is less likely when the quality of host country governance is higher. Copyright © 2011 John Wiley & Sons, Ltd.     

‘From boom to where?’: the impact of crisis on work and employment in Indian BPO

This article locates Indian business process outsourcing (BPO) within the global supply chains of business services delivery and an international division of service labour. It acknowledges the BPO market's essential dependence on demand from lead firms in the United States and United Kingdom. Drawing on a conceptual synthesis of the Global Commodity Chain, Global Value Chain and Global Production Network frameworks, the article examines the impact of 2008's financial crisis on employment, work organisation and the experience of work in Indian BPO. Employer/industry sources and employee interviews reveal reconfigured local labour market dynamics, tightened work discipline, an extensification of working time, work intensification and unprecedented growth in job insecurity. Such changed characteristics suggest a watershed that raises questions concerning the sustainability of models of BPO work constructed in pre‐crisis years.     

What contributes to the enhanced use of customer, competition and technology knowledge for product innovation performance? : A survey of multinational industrial companies' subsidiaries operating in China

This study extends an emerging research area in knowledge management to new product development by empirically examining the factors associated with the use of different types of knowledge flows from various sources and product innovation performance (i.e., market success of new products) in the multinational companies' subsidiaries in China. The findings seem to indicate the vitality of considering a broad spectrum of knowledge management related variables such as a subsidiary's product development strategy, market conditions it faces, its knowledge capacity and knowledge support structure. Furthermore, we found that subsidiaries with better performance are generally excel in the use of competition knowledge flow, the development of moderate innovative products, communication among different functional departments or product development groups, the codification of knowledge, and a supportive culture.