State-owned (SO) multinational enterprises (MNEs) from emerging economies face two contradictory effects on their foreign operations due to their linkage with their home-country governments. Although home governments provide SO MNEs with resources, the affiliation also exposes SO MNEs to the legitimacy challenges in the host countries. Given this theoretical debate, we propose that home government support may facilitate SO MNEs’ post-entry operations in the host markets. Furthermore, because the legitimacy pressures directed at SO MNEs may be contingent on the interstate relations between the host and home governments facilitated by China’s Belt and Road Initiative (BRI), the BRI cooperative relations may shift the effect of home government support. Using survey and archival data, we find that home government support has a positive impact on the foreign performance of SO subsidiaries. This effect is weaker in countries that are cooperating with the BRI than in those that are not. Moreover, institutional distance weakens the negative interactive effect between BRI cooperation and home government support on the performance of SO MNEs’ foreign subsidiaries. These findings extend the institutional perspective by highlighting an alternative source of legitimacy for MNEs with distinctive attributes and in various host conditions.
With the growing rise in consumer spending and economic power in Asian societies, it is increasingly important to explore the implications of these developments on consumer culture. This cross‐cultural study first discusses the rise of materialism and conspicuous consumption in post‐revolution China then examines differences in these phenomena between young adult consumers, aged 18–35, living in urban China and the United States. Utilizing survey data from over 600 respondents, significant differences were found in both materialism and conspicuous consumption, with Chinese young adults scoring higher in both variables. The findings show, that compared with past comparative studies, it appears both materialism and conspicuous consumption are on the rise among urban Chinese consumers. 相似文献