Transnational Business and Corporate Culture – serie

First published in 1999. Small businesses now constitute the most dynamic element of growth in the emerging markets of the Central and Eastern European region. This book argues that the small and medium sized enterprise (SME) sector has contributed more to the growth of these countries in transition than have privatized state enterprises and the public sector. In 1989 most of the countries of Eastern and Central Europe were still under an economic system dominated by state-owned enterprises. Since then a process of liberalization has been unleashed to promote free market policies. This has involved programs of privatization and restructuring of public enterprises, as well as the promotion of policies to enable a private sector to develop. Small businesses are creating thousands of new jobs while large companies are retrenching and downsizing their work force.In some countries of the region this process is much further along than in others. However, the SME sector has developed at a more rapid pace than has the privatization of the large public companies. There has been a flurry of new enterprises springing up throughout the region which are trickling up in a frequently hostile environment against tremendous odds, and yet managing to have a pronounced impact on their respective economies. Small businesses have taken over in sectors that used to be dominated by big enterprises, primarily in services and consumer products. They have provided a crucial outlet for pent-up entrepreneurial talent that had remained dormant during the long period of state domination.This work urges legislators, policy-makers, and development agencies alike to take account of the importance of the SME's in their legislation and planning. Given a more favorable environment, these small businesses will provide even greater impetus for economic growth. Equally important is for entrepreneurs themselves to be convinced of the rightness of their path in societies that have traditionally looked down upon profit-seekers as unscrupulous and selfish. If the CEE region is to achieve its full potential of economic growth, policies and support mechanisms to promote the SME sector will be needed to assure a favorable environment.

First Published in 1999. Emerging from profound political change in Eastern Europe, Latin America and Africa, and coupled with a proliferation of market economies and technological and commercial interpenetrations of formerly closed societies, the international system has become an interdependent global milieu. This study seeks to examine the clear correlation between the present predicament of transnational firms as strangers in an alien land, and the communitarian assumptions regarding individuals in societies. Until now little attention has been paid to the utility of the communitarian ethic in addressing the cultural conundrums which arise out of the economic and political affinities and antagonism of globalization.

This study is the first to offer explanations for compliance with G7 commitments by identifying the patterns, explaining the causes and exploring the processes of this compliance from 1988-1995. It provides the only systematic review of the G7's compliance record in the post-Cold War globalizing system of the 1990s and in regard to important environment and development commitments that have often dominated the Summit's agenda during this third cycle of summitry. It draws on explanatory factors for Summit compliance from three bodies of international relations theory-including regime theory, concert theory and the recent extension of regime theory to embrace the effects of domestic political institutions.

This study represents a rare empirical test of the assertions of critics of multinational corporations (MNCs), who argue that firm-level social and environmental performance suffers as MNCs grow increasingly mobile and subject to the short-term financial demands of institutional investors. Such critics argue that 'footloose' and 'stateless' MNCs have not only divorced themselves from a particular sense of responsibility to their home countries, but have also fallen increasingly under the sway of the 'myopic' demands of institutional investors.Using multiple regression analysis, the study considered the impact of various levels of multinationality and institutional ownership on the social and environmental performance of US-based manufacturing companies. Based on this empirical analysis, the radical critique of MNCs was not supported. Rather, the level of multinationality of firms was positively associated with social and environmental performance in the home country. This is a far cry from the demonized view of MNCs proffered by the critics. These findings suggest the possibility that MNCs may even have a positive influence on the development of a global economy that is consistent with the values and intent of vision of sustainable development. Ultimately, the study suggest that at a minimum, more attention should be paid to utilizing talents and competencies of MNCs in support of furthering positive social and environmental agendas.(Ph.D. dissertation, New York University, 1996; revised with new preface and index)

This study examines how unions representing telephone workers--one in Mexico and one in British Columbia, Canada--have responded to changes in technology, work organization, and government policy stemming from the rise of a more global economy. Some business writers have suggested that globalization will compel unions to cooperate with managers as workers are more exposed to international competition. By analyzing the actual record of two unions in the highly internationalized telecommunications industry, however, a different picture emerges.

This book reviews both the environmental and organizational factors of international franchising, but focuses on the latter because environmental factors can not adequately explain why some franchisers within a particular industry internationalize. This study finds that organizational factors such as the size, age, growth rate, pricing strategies and the geographical dispersion of the firm, collectively affect the franchising firm's decision to internationalize. However, the individual variables are different in significance and magnitude for the retailing, hotel and motel, and professional business service industries.

This study examines how the shared cultural values of employees in a Polish firm influence management attempts top transform organizational practices in a newly privatized factory. By introducing a foreign management approach, Total Quality Management (TQM), the management of this factory presents a potential conflict of values between the employees and the management philosophy. Tracing the historical and contemporary impact of traditional, political and religious influences in Poland and utilizing ethnographic techniques of observation, interviews, and secondary source data, the author identifies four patterns of shared mindsets. These mindsets, insecurity and instability, distrust, reluctance to assume responsibility and a struggle between individualism and collectivism generate resistance to the successful implementation of TQM in this factory. Organizational studies research has identified cultural differences in values but previous studies have not examined the congruence assessment that employees make when confronted with a management intervention, such as TQM. The author finds that an incongruence between societal values and the values the employees perceive are embedded in the TQM approach produced actual outcomes that are not consistent with TQM objectives of empowerment, teamwork, visionary leadership and continuous improvement of quality. Employees demonstrated a reduced sense of empowerment, team goals that are counterproductive to organizational goals, autocratic leadership and an increased focus but not sustainable effort toward improving quality. The book examines the reasons for these results through detailed description and extensive quotations from employees both inside the Polish firm and throughout Polish society.

This book analyzes U.S. federal cases on the copyright protection of computer software programs, to examine the role of communication in legal decision making process. It is the first to apply Anthony Giddens' theory of structuration to analyze law in a systematic and empirical way. Previous studies considered law to be independent, objective and neutral, and even those that considered social structures and actors focused on economic and political factors. Employing the framework of the author, the work, and the use, this study attempts to show how relationships and struggles of the parties are actually manifested through communication, and how the strategic communication of the parties influences the structural environment of copyright law. There has been a long-running debate over whether and how the copyright law, evolved from the era of the print technology, should be applied to computer programs, a new work of authorship. Contrary to some cautionary arguments that modern copyright law tends to protect copyright holders while disregarding authors' rights, the struggle between developers and non-developers, rather than between copyright holders and non-copyright holders, was clearly manifested in legal arguments. The construct of authorship has been modified, yet remained central in copyright discourse. On the other hand, the concept of the use, despite the significance of users in copyright regime, has yet to be developed to play an important role in the legal arguments. Moreover, the factor of whether the party was a developing entity, was found to be a single most important factor influencing the courts' decisions. But only when the party could successfully present itself as the one involved with developing activities, the court was more likely to accept its argument than the other party's. Therefore, it was the legitimacy gained by communicating the nature of the party, rather than the nature of the party itself, that made the difference in the ways the courts made decisions. This book presents how, in this process of strategic communication, the structure of copyright law was reproduced and transformed.

The issues addressed in this study are: What internal factors support changes in the international operations of new firms? and What effect do these changes have on the firm's structure, control system, and market performance. To answer these questions, this work examines the internal resources and market performance of a set of publicly traded biotechnology firms. Findings support the view that new firms can enter international markets through a variety of strategies, including international joint ventures and subsidiaries. Changes in international operations also are found to enhance firm market performance when accompanied by changes in firm structure and control systems. However, managers must be patient because market performance only improves significantly two years after these organizational changes have taken place.

This historical, cross-national research examines the global economic and military dynamics that have shaped the world-economy from 1820 to the present. It provides valuable insights into the nature of the global hierarchy, the relationship between economic and military power and the mechanisms of national mobility. It will also be a useful reference tool, as it provides (for the first time) a ranking of countries in the world-economy from 1900 to 1990. This study will be of use to scholars interested in globalization, national development, international relations, world conflicts, inequality and stratification.

First published in 1999. Small businesses now constitute the most dynamic element of growth in the emerging markets of the Central and Eastern European region. This book argues that the small and medium sized enterprise (SME) sector has contributed more to the growth of these countries in transition than have privatized state enterprises and the public sector. In 1989 most of the countries of Eastern and Central Europe were still under an economic system dominated by state-owned enterprises. Since then a process of liberalization has been unleashed to promote free market policies. This has involved programs of privatization and restructuring of public enterprises, as well as the promotion of policies to enable a private sector to develop. Small businesses are creating thousands of new jobs while large companies are "retrenching and downsizing" their work force.In some countries of the region this process is much further along than in others. However, the SME sector has developed at a more rapid pace than has the privatization of the large public companies. There has been a flurry of new enterprises springing up throughout the region which are "trickling up" in a frequently hostile environment against tremendous odds, and yet managing to have a pronounced impact on their respective economies. Small businesses have taken over in sectors that used to be dominated by big enterprises, primarily in services and consumer products. They have provided a crucial outlet for pent-up entrepreneurial talent that had remained dormant during the long period of state domination.This work urges legislators, policy-makers, and development agencies alike to take account of the importance of the SME's in their legislation and planning. Given a more favorable environment, these small businesses will provide even greater impetus for economic growth. Equally important is for entrepreneurs themselves to be convinced of the rightness of their path in societies that have traditionally looked down upon profit-seekers as unscrupulous and selfish. If the CEE region is to achieve its full potential of economic growth, policies and support mechanisms to promote the SME sector will be needed to assure a favorable environment.

This study represents a rare empirical test of the assertions of critics of multinational corporations (MNCs), who argue that firm-level social and environmental performance suffers as MNCs grow increasingly mobile and subject to the short-term financial demands of institutional investors. Such critics argue that 'footloose' and 'stateless' MNCs have not only divorced themselves from a particular sense of responsibility to their home countries, but have also fallen increasingly under the sway of the 'myopic' demands of institutional investors.Using multiple regression analysis, the study considered the impact of various levels of multinationality and institutional ownership on the social and environmental performance of US-based manufacturing companies. Based on this empirical analysis, the radical critique of MNCs was not supported. Rather, the level of multinationality of firms was positively associated with social and environmental performance in the home country. This is a far cry from the demonized view of MNCs proffered by the critics. These findings suggest the possibility that MNCs may even have a positive influence on the development of a global economy that is consistent with the values and intent of vision of sustainable development. Ultimately, the study suggest that at a minimum, more attention should be paid to utilizing talents and competencies of MNCs in support of furthering positive social and environmental agendas.(Ph.D. dissertation, New York University, 1996; revised with new preface and index)

This study examines how the shared cultural values of employees in a Polish firm influence management attempts top transform organizational practices in a newly privatized factory. By introducing a foreign management approach, Total Quality Management (TQM), the management of this factory presents a potential conflict of values between the employees and the management philosophy. Tracing the historical and contemporary impact of traditional, political and religious influences in Poland and utilizing ethnographic techniques of observation, interviews, and secondary source data, the author identifies four patterns of shared mindsets. These mindsets, insecurity and instability, distrust, reluctance to assume responsibility and a struggle between individualism and collectivism generate resistance to the successful implementation of TQM in this factory. Organizational studies research has identified cultural differences in values but previous studies have not examined the congruence assessment that employees make when confronted with a management intervention, such as TQM. The author finds that an incongruence between societal values and the values the employees perceive are embedded in the TQM approach produced actual outcomes that are not consistent with TQM objectives of empowerment, teamwork, visionary leadership and continuous improvement of quality. Employees demonstrated a reduced sense of empowerment, team goals that are counterproductive to organizational goals, autocratic leadership and an increased focus but not sustainable effort toward improving quality. The book examines the reasons for these results through detailed description and extensive quotations from employees both inside the Polish firm and throughout Polish society.

This historical, cross-national research examines the global economic and military dynamics that have shaped the world-economy from 1820 to the present. It provides valuable insights into the nature of the global hierarchy, the relationship between economic and military power and the mechanisms of national mobility. It will also be a useful reference tool, as it provides (for the first time) a ranking of countries in the world-economy from 1900 to 1990. This study will be of use to scholars interested in globalization, national development, international relations, world conflicts, inequality and stratification.

This book analyzes U.S. federal cases on the copyright protection of computer software programs, to examine the role of communication in legal decision making process. It is the first to apply Anthony Giddens' theory of structuration to analyze law in a systematic and empirical way. Previous studies considered law to be independent, objective and neutral, and even those that considered social structures and actors focused on economic and political factors. Employing the framework of the author, the work, and the use, this study attempts to show how relationships and struggles of the parties are actually manifested through communication, and how the strategic communication of the parties influences the structural environment of copyright law. There has been a long-running debate over whether and how the copyright law, evolved from the era of the print technology, should be applied to computer programs, a new work of authorship. Contrary to some cautionary arguments that modern copyright law tends to protect copyright holders while disregarding authors' rights, the struggle between developers and non-developers, rather than between copyright holders and non-copyright holders, was clearly manifested in legal arguments. The construct of authorship has been modified, yet remained central in copyright discourse. On the other hand, the concept of the use, despite the significance of users in copyright regime, has yet to be developed to play an important role in the legal arguments. Moreover, the factor of whether the party was a developing entity, was found to be a single most important factor influencing the courts' decisions. But only when the party could successfully present itself as the one involved with developing activities, the court was more likely to accept its argument than the other party's. Therefore, it was the legitimacy gained by communicating the nature of the party, rather than the nature of the party itself, that made the difference in the ways the courts made decisions. This book presents how, in this process of strategic communication, the structure of copyright law was reproduced and transformed.

Estimates the economic impact that past U.S. transborder trucking regulations have had on the number of inbound trucks, inbound truck load characteristics, and the infrastructure along the U.S. international borders. Rooted in economic theory and tested with historical data John T. Jones' study provides policymakers with possible outcomes for the transportation issues involved in the North American Free Trade Agreement.

First Published in 1999. Emerging from profound political change in Eastern Europe, Latin America and Africa, and coupled with a proliferation of market economies and technological and commercial interpenetrations of formerly closed societies, the international system has become an interdependent global milieu. This study seeks to examine the clear correlation between the present predicament of transnational firms as strangers in an alien land, and the communitarian assumptions regarding individuals in societies. Until now little attention has been paid to the utility of the communitarian ethic in addressing the cultural conundrums which arise out of the economic and political affinities and antagonism of globalization.

The issues addressed in this study are: What internal factors support changes in the international operations of new firms? and What effect do these changes have on the firm's structure, control system, and market performance. To answer these questions, this work examines the internal resources and market performance of a set of publicly traded biotechnology firms. Findings support the view that new firms can enter international markets through a variety of strategies, including international joint ventures and subsidiaries. Changes in international operations also are found to enhance firm market performance when accompanied by changes in firm structure and control systems. However, managers must be patient because market performance only improves significantly two years after these organizational changes have taken place.

This book reviews both the environmental and organizational factors of international franchising, but focuses on the latter because environmental factors can not adequately explain why some franchisers within a particular industry internationalize. This study finds that organizational factors such as the size, age, growth rate, pricing strategies and the geographical dispersion of the firm, collectively affect the franchising firm's decision to internationalize. However, the individual variables are different in significance and magnitude for the retailing, hotel and motel, and professional business service industries.

This book postulates the proposition that small economies exhibit a higher degree of outward orientation and structural adaptability, compared to their larger counterparts within the context of the European Union and two case studies (i.e. Catalonia and New Zealand). The number of nations has doubled in the last half of the century to around 200 independent economic units. Moreover, the break-up of the former Soviet bloc into a large number of small independent nations in Central and Eastern Europe, and the continued threat of separatist groups (i.e. Canada, Spain, and Sri Lanka) have sparked economists' interest to focus on the size of nations once again. This book offers a more comprehensive measurement of smallness than the conventional one for the analysis of the globalization strategies and flexibility of countries to overcome smallness. Small independent economic units, when economically successful, tend to be more export focused in manufacturing, likely to specialize in differentiated manufactures, more actively involved with direct overseas businesses, more sensitive in strategically managing exchange rates, likely to be in a better position to achieve price stability, more actively involved in international trade through varying degrees of economic integration, likely to have a higher degree of flexibility, more actively involved to forge a complementary government-firm relationship, and likely to have a higher degree of corporatism.

This study examines how unions representing telephone workers--one in Mexico and one in British Columbia, Canada--have responded to changes in technology, work organization, and government policy stemming from the rise of a more global economy. Some business writers have suggested that globalization will compel unions to cooperate with managers as workers are more exposed to international competition. By analyzing the actual record of two unions in the highly internationalized telecommunications industry, however, a different picture emerges.

First Published in 1999. New questions of transnational, multi-cultural marketing utilizing advanced technologies add entirely new facets to the basic marketing issues of product, price, promotion, and distribution. The information presented in this volume discusses the need for true transnational marketing, and presents an example of what that may entail.

This study is the first to offer explanations for compliance with G7 commitments by identifying the patterns, explaining the causes and exploring the processes of this compliance from 1988-1995. It provides the only systematic review of the G7's compliance record in the post-Cold War globalizing system of the 1990s and in regard to important environment and development commitments that have often dominated the Summit's agenda during this third cycle of summitry. It draws on explanatory factors for Summit compliance from three bodies of international relations theory-including regime theory, concert theory and the recent extension of regime theory to embrace the effects of domestic political institutions.

Estimates the economic impact that past U.S. transborder trucking regulations have had on the number of inbound trucks, inbound truck load characteristics, and the infrastructure along the U.S. international borders. Rooted in economic theory and tested with historical data John T. Jones' study provides policymakers with possible outcomes for the transportation issues involved in the North American Free Trade Agreement.