Effects of the Value Chain in International Joint Ventures

Summary

This paper examines differences in the resource profile and experience of Sino-foreign joint ventures located in the two sectors: non-consumer electronics and fast moving consumer goods [FMCG]. It identifies key dimensions along which the two sectors differ and considers the implications for joint ventures. The impact of sectoral differences suggests that the industrial sector of China into which a foreign company invests is of consequence, especially for the business priorities of Chinese partners and for the ease with which a joint venture can be managed through the foreign partner's corporate network. Foreign partners are likely to find more flexibility, and a greater opportunity to influence joint venture management in the FMCG sector compared with non-consumer electronic sector. The physical and infrastructural features of the sectors appear to be particularly consequential for managing an investment in China, and they may be more significant than institutional factors.     

An Investigation of Control and Performance in U.S.-Chinese Joint Ventures

ABSTRACT

This study took an integrated approach to managerial control in international joint ventures (IJVs). The various control mechanisms used in U.S.-Chinese joint ventures were examined. The linkage between control and performance was empirically tested using a sample of U.S.-Chinese joint ventures established in China during the period of 1979–1989. The findings support the hypothesis that effective managerial control exercised by the U.S. partner over the joint venture operation is positively related to its performance. U.S.-dominant joint ventures significantly outperformed Chinese-dominant joint ventures, but no significant performance differences were found between U.S.-dominant joint ventures and shared management joint ventures.     

外商在中外合资合作企业中投资违约的实证研究

近几年外商在中外合资合作企业中当年未按合同出资的比例占40%和50%左右,违约行为相当严重。本文选取8833家中外合资企业和合作企业,运用OLS和二元Logistic回归对外商的投资违约行为进行实证研究。该研究对我国企业和政府具有借鉴意义,有助于我国企业更正以往的错误操作,确定合理的合资合作策略,同时有助于政府明确管理合资合作经营的政策取向。     

Chinese Perceptions of Issues and Obstacles Confronting Joint Ventures

In China one of the most effective means of attracting foreign capital to undertake its four modernizations is through the creation of joint ventures. The Chinese are striving for pragmatic results and emphasize that joint ventures should provide mutual benefits for both parties. Many joint ventures should provide mutual benefits for both parties. Many joint venture participants from the U.S.A. have become disillusioned and are frustrated by obstacles including government bureaucreatic interference, cultural differences, and a lack of managerial know-how by the Chinese. Based on a survey of 182 Chinese businessmen, 100 of whom engaged in joint ventures, it is evident that the CHinese share these concerns. Their perceptions provide guidelines for coping with these obstacles and clearly indicate the importance of "quanxi" in attaining the goals of joint ventures.     

Evolution of an international joint venture: The case of a French‐Brazilian joint venture

Considering the situation of low performance of joint ventures, a certain number of studies have concluded that there is a close relationship between the initial conditions of creation of joint ventures and their success or failure. Nevertheless, other explanatory factors can be identified through dynamic analysis of the joint venture. For this purpose, on the basis of the case of the Franco‐Brazilian Algar‐Bull joint venture in the information technology sector, from its creation in 1983 to its dissolution in 1998, the aim of our research is to study the influence of external evolution processes ( partners' adaptive strategies and changes in environmental constraints) on the success or failure of a joint venture. © 2006 Wiley Periodicals, Inc.     

The Evolution of Conditions for Joint Ventures in China

An "opening" of the People's Republic of China to Sino-foreign joint ventures began in 1978. Thereafter, the size and number of such enterprises has continued to grow. This article examines the history of joint ventures in China and the devlopment of the environment in which they operate. Examples of successed and fialures, as well as a conceptual model of Sino-American joint venture activity, are presented. The effects of the repression in Tiananmen Square and the outlook for the future are discussed.     

Managing Corporate Networks from America to China

Multinational corporations (MNCs) are making a major contribution to China's economic development. This analysis examines how eight prominent American MNCs are handling the process of linking the management of their China joint ventures into their global structures. It looks at how the MNCs are addressing the tensions that arise between maintaining control in terms of their worldwide standards while attempting simultaneously to adapt to the complex and dynamic environment of China. The reconciliation of these requirements depends on a relatively few focal actors, who are located at critical interfaces within the MNCs' internal networks between the China joint ventures and the corporate level.     

以能源合作为突破口 构建中俄“伞”型区域合作新模式

随着中俄区域合作不断向纵深发展,＂伞＂型区域合作新模式应运而生。构建＂伞＂型模式应以合作上互补、具有良好基础、具有地缘优势并获得双方政府大力支持的能源领域作为突破口。虽然中俄两国能源战略上存在差异,俄罗斯部分人士对中俄能源合作心存疑虑,俄罗斯对外能源政策多变等因素对双方能源合作形成了制约。但可以通过＂贷款换石油＂、组建能源合资企业、为技术转移提供载体,加强天然气领域合作,加强政府协调、参与建立东北亚能源合作机制来形成地方能源产业集群,为＂伞＂型模式提供强大支撑。     

Key success factors for Russian-foreign joint ventures

This article identifies key success factors (KSFs) for Russian-foreign joint ventures. Based on case studies of two successful and two unsuccessful Russian-foreign joint ventures, four KSFs are identified. The presence of the four KSFs is then assessed in a sample of 30 Russian-foreign joint ventures. To assess the generalizability of the KSFs, discriminant analysis is then applied to the 30 joint ventures to differentiate between successful and unsuccessful joint ventures. The results show that the KSFs can explain 83.3 percent of the variance in the performance of joint ventures in the sample.     

Factors influencing the internationalisation of new ventures in the Irish aquaculture industry: An exploratory study

This paper offers exploratory insights into the factors influencing the emergence of new export ventures operating in a low-technology sector: the aquaculture industry—a largely understudied context in international entrepreneurship. Peculiarities of new industries can make them particularly favourable to the creation of new ventures, and yet research has been limited examining the role of industry and environmental conditions in the emergence of international new ventures. As industry context and stage of firm development influences the appropriateness of theories for explaining firm internationalisation, this study in particular seeks to address two research questions: Firstly, what are the factors influencing the internationalisation of new ventures in a low-technology sector: the Irish aquaculture industry? Second, what role does industry structure play in influencing the internationalisation of new ventures in the Irish aquaculture industry? A qualitative methodology is used to explore these research questions using three case studies of new export ventures operating in the aquaculture sector in Ireland.     

Made in America? sustaining a competitive presence in the commercial class aircraft industry in the 1990s

The United States has dominated the global commercial class aircraft industry for decades. The sector has been considered strategic because of its contribution to both the economic base and the military needs of a country. Government intervention has been a hallmark of the industry almost since its inception. Changes in industry dynamics triggered, in part, by foreign and domestic public policies-both directly and indirectly aimed at this sector– have lead to the proliferation of internationalized production structures, replacing the traditional domestic structures of the past. Global outsourcing, transnational joint ventures, and foreign investment have contributed to the globalization of the industry.     

The 'Host' State and the 'Guest' Worker in Malaysia: Public Management and Migrant Labour in Times of Economic Prosperity and Crisis

In this contribution, the author reviews the current trends in HRM in the People's Republic of China. He then traces the impact of the post-1992 and 1995 economic reforms on Chinese personnel and industrial relations systems in both joint ventures and state-owned enterprises. Next, data from a recent field-investigation is reported vis-2-vis dimensions of HRM in these enterprises. The contribution particularly focuses on the problems of dimensionalizing HRM practices in such contexts. The author concludes that there may now be a growing but still limited overlap between joint ventures and state-owned enterprises in terms of their human resource policies and practices.     

我国三类特殊涉外经济合同纠纷 专属管辖条款之重构

2012年修正的《民事诉讼法》对专属管辖范围进行了扩张,进一步完备了我国专属管辖制度。但在中国境内履行的中外合资经营企业合同、中外合作经营企业合同、中外合作勘探开发自然资源合同纠纷仍然保留为由我国法院专属管辖,排除其他国家法院对该类合同纠纷进行管辖,既不符合国际通行做法,也与新增专属管辖案件存在一定程度重迭,故应根据不同情况予以重构。     

Market reaction to international joint venture announcement: The case of developed versus less developed countries

Joint ventures across national borders are more advantageous than other forms of international diversification because they afford a better control of technology usage, require a minimal level of cash investment, and present a more effective means of avoiding intervention from the host government. All of these characteristics make international joint ventures uniquely suitable for investments in less developed countries. This paper ascertains whether investors agree with the above sentiment by examining the stock market response to 41 announcements of international joint ventures during 1985-1987, using the event study method. It was found that the stock of the multinational corporations announcing international joint ventures generally outperforms the market In addition, the market reaction to the announcement of international joint ventures in less developed countries is, on average, more favorable than its reaction to the announcement of international joint ventures in developed countries.     

Entering China Today

Summary

The peripherally growing and remarkably dynamic Chinese economy is now encouraging the use of more diverse and creative entry modes for international investors. This article illustrates various entry modes of foreign direct investment available at present to foreign companies entering China. These entry modes include equity joint ventures, wholly foreign owned subsidiaries, contractual joint ventures, umbrella companies, acquisitions, representative offices, branches, build-operate-transfers, licensing and franchising. The merits and limitations of each entry mode are discussed. Some practical advice on entry strategies for international executives active in the Chinese market is also highlighted.     

How to retain local senior managers in international joint ventures: The effects of alliance relationship characteristics

How can international joint ventures keep their local senior managers from quitting? Drawing on international business literature, social exchange theory, and social integration theory, this study examines how the characteristics of an alliance relationship affect local senior managers' turnover intentions. The findings from 139 ventures in China show that decision-making participation and social integration help retain local senior managers. However, the effects of participation and social integration decrease with high levels of foreign ownership control. Implications for researchers and practitioners are discussed.     

Joint Ventures in Russia

There is an extensive literature on the role of joint ventures in international business. Most of this has focused on the involvement of multinational enterprises (MNEs) in establishing joint ventures in developing countries. Recent political and economic reforms in Eastern Europe have focused attention on joint venture opportunities in ex-centrally planned economies, including opportunities for small and medium-sized enterprises. This paper examines the experiences of two small, family owned Scottish companies in establishing joint ventures in the largest of the East European countries, the Russian Federation. The cases highlight the important strategic and managerial issues involved in planning, negotiating and implementing joint ventures with Russian partners. Sensitivity to the business development needs of the host organization, the establishment of good personal relationships and flexibility are crucial to the joint venture process.     

South African Managers' Perceptions of Prospective South African-US Joint Ventures

Abstract

This study explores South African managers' expectations of prospective South African-United States international joint ventures. One hundred and three middle level South African managers responded to a theory-based original survey questionnaire that included questions about various aspects of prospective US-South African joint ventures. US companies invest in South Africa to gain access to its market and South African companies get into joint ventures with US companies to tap into their financial resources. US government's imposed tariffs and South African government's administrative barriers seem to be the most crucial problems for the prospective joint ventures. Implications for international managers are offered.     

An exploratory study of project based international joint ventures: the case of Chek Lap Kok Airport in Hong Kong

A large number of international collaborative ventures was established for the purpose of constructing the Chek Lap Kok Airport in Hong Kong—one of the mega construction projects of the last decade. This study reports on the findings of an in-depth survey of international contractors involved in this mega-construction project. Its focus is on the unique characteristics of project-based joint ventures. The study highlights significant managerial problems and potential success factors in managing project-based international joint ventures. Several propositions are offered for future research. A managerial framework for analyzing project-based international joint ventures is also presented.