Strategic human resource management and MNEs' performance in China

This study tested a perspective of strategic human resource management (SHRM) and compared human resource practices among multinational enterprises (MNEs) in two industries in China. Specifically, empirical data from firms in China's soft-drinks and electronics industries were analysed. The results supported a number of basic assumptions of the SHRM model, such as those regarding the relationship among firm environments, firm strategy, firm human resource practices and firm performance.     

Beyond Intermediates: The Role of Consumption and Commuting in the Construction of Local Input–Output Tables

Estimating intermediate trade using conventional non-survey methods produces biased results. This problem has led to a methodological recommendation that emphasizes the accurate estimation of intermediate trade flows. This paper argues for a qualification of the consensus view: when simulating input–output (IO) tables, analysts need also to consider spillover effects driven by wage and consumption flows. In particular, for metropolitan economies, capturing wage and consumption flows is essential to obtain accurate Type II multipliers. This is demonstrated by constructing an interregional IO table that captures the interdependence between a city and its commuter belt, nested within the wider regional economy.     

How images about emerging economies influence the willingness to accept expatriate assignments

Countries’ image is a multifaceted construct. Its symbolic dimensions have shown to play an important role both on consumer behavior and on the attraction that organizations can have during the recruitment process. This paper offers a comprehensive model of international mobility decisions encompassing the antecedents and consequences of perceptions about emerging economies, proposing that country image depends on individuals’ background and social identities. In this context, countries’ evaluations can play a major role on influencing the willingness to accept expatriate job offers. We used a within-subject design asking for opinions about hypothetical job offers on six particular host countries: Algeria, Democratic Republic of Congo, Argentina, Chile, Angola and Mozambique. Survey results from more than 500 engineers, (125 French nationals, 121 Spanish and 131 Portuguese, with the remaining 138 coming from 42 different countries, yet working in 1 of the 3 above-mentioned European countries), evidence, that language proficiency influences the evaluation of specific expatriate locations. Our results also convey the critical role of the perceived level of safety and cultural attraction in predicting the willingness to accept expatriate job offers. We conclude by discussing the theoretical and practical implications for human resource management.     

Why locate manufacturing in a high-cost country? A case study of 35 production location decisions

In this paper, we examine in detail 35 final assembly location decisions to gain understanding of the manufacturing location decision from strategy and economic policy perspectives. We are particularly interested in the decision to locate final assembly specifically in a high-cost (high GDP per capita) environment. In contrast with the earlier literature, we focus not just on manufacturing activities themselves, but also the key linkages between production, market, supply chain, and product development. These linkages are examined using three key concepts from theories of organization design: formalization, specificity, and coupling. Using these concepts, an analysis of the micro-structure of each case reveals important commonalities that inform our understanding of location decisions. We conclude by discussing the policy implications of our findings.     

Location of trade,return comovements,and diversification benefits: Evidence from Asian country ETFs

Using data from the Asian country ETFs and their MSCI indices, this paper examines whether trading location affects return comovements and diversification benefits. Our empirical results show that the magnitude of return comovements for the Asian country ETFs is higher than the corresponding MSCI indices. Moreover, our empirical findings indicate that the factors, including investor sentiment, market conditions, and economic fundamentals of the U.S. market, have greater effects on the return comovements for the Asian country ETFs than their underlying MSCI indices. Finally, the evidence presents a higher diversification benefit for the Asian MSCI indices than the Asian country ETFs.     

Sustainable Development,Sustainability Leadership and Firm Valuation: Differences across Europe

Sustainable development is nowadays a high priority for firms all over the world. Consequently, numerous firms have increased their social responsibility initiatives, reinforcing the credibility and trust of their stakeholders. However, prior research about the relevance of sustainability leadership for the European investment community is scarce. In this context, the aim of this study is to examine whether sustainability leadership – proxied by membership of the Dow Jones Sustainability Index Europe – is value relevant for investors on the 10 major European stock markets over the 2001–2013 period. Our overall results reveal that there exist significant differences across markets. These findings are relevant especially for investors, but also for the managers of listed firms, market regulators and policymakers. Copyright © 2017 John Wiley & Sons, Ltd and ERP Environment     

The business environment and Moroccan firm productivity

The paper focuses on the role of the business environment in understanding differences in the total factor productivity of Moroccan firms. The business environment is captured by measures which include the investment climate in which firms operate, i.e. access to credit, regulatory and institutional environment and infrastructure. The evidence on the relationship between credit and productivity is strongly indicative of credit resources misallocation in Morocco. We also find that, heavier bureaucracy and differences in regulations appear to have a negative effect on firm productivity. This last result is particularly relevant for small firms, and/or those that do not export and/or those with no access to foreign capital.     

Is the effect really so large? Firm‐level evidence on the role of FDI in a transition economy1

Foreign subsidiaries usually perform better than domestic enterprises, but selection effects have been acknowledged in the literature. This article contributes by quantitatively evaluating the size of the selection effects and direct effects of FDI entry. We use a large panel of firm‐level data from Poland and match foreign‐owned firms to a control group of non‐foreign‐owned companies and analyse various performance indicators. In terms of efficiency measures, between 50 and 70 percent of the foreign affiliates advantage may be attributed to direct ownership effects. However, in the case of export intensity, the majority of the differential between the domestic companies and foreign subsidiaries is attributable to selection effects: MNEs choose export‐oriented companies and sectors.