nep-cse New Economics Papers
on All new papers
Issue of 2014‒09‒08
27 papers chosen by
João José de Matos Ferreira
Universidade da Beira Interior

  1. Imitation versus Innovation: What Makes the Difference? By Spyros Arvanitis; Florian Seliger
  2. The effect of external knowledge sources and their geography on innovation in Knowledge Intensive Business Services (KIBS) SMEs; some Implications for de-industrialised regions in the UK By Maja Savic; Helen Lawton Smith; Ioannis Bournakis
  3. Are organizational innovation practices complements or substitutes for technological innovation performance? By Caroline Mothe; Uyen T. Nguyen-Thi; Phu Nguyen-Van
  4. Benchmark Value Added Chains and Regional Clusters in German R&D Intensive Industries By Reinhold Kosfeld; Mirko Titze
  5. An Empirical Investigation of Factors Affecting Small Business Success By Anis Omri; Maha Ayadi-Frikha; Anissa Chaibi
  6. Regional Financial Development and Firm Growth in Peru By Eduardo Moron; Edgar Salgado; Cristhian Seminario
  7. Determinants and Impact of Subcontracting: Evidence from India’s Informal Manufacturing Sector By Amit Basole; Deepankar Basu; Rajesh Bhattacharya
  8. Why Small Businesses Fail in Tunisia? By Anis Omri; Mohamed Frikha
  9. Competition or cooperation? -A longitudinal case study of NPM reforms’ influence on strategic management in upper secondary schools By Jesper Rosenberg Hansen; Christian Bøtcher Jacobsen
  10. Why do Russian firms invest abroad? A firm level analysis By Anwar, Amar; Mughal, Mazhar
  11. What is the Performance of Incubators? The Point of View of Coached Entrepreneurs By Jacques Arlotto; Jean-Michel Sahut; Frédéric Teulon
  12. The impact of market innovations on the evolution of norms: the sustainability case By Stephan Müller; Georg von Wangenheim
  13. Implementing a Value Creation Model in a Startup By Guillaume Marceau
  14. Trade Specialisation and Policies to Foster Competition and Innovation in Denmark By Muge Adalet McGowan
  15. The Model Of Contemporary Marketing Practices (Cmp) In The Russian Market: Evidence From Empirical Research By Vera A. Rebiazina; Olga A. Tretyak
  16. A dynamic theory of network failure By Anna Moretti; Francesco Zirpoli
  17. Do Resources Flow to Patenting Firms?: Cross-Country Evidence from Firm Level Data By Dan Andrews; Chiara Criscuolo; Carlo Menon
  18. Towards an evolutionary perspective on regional resilience By Boschma, Ron
  19. Linking FDI inflows to economic growth in North African countries By Anis Omri; Amel Sassi-Tmar
  20. Time preferences, study effort, and academic performance By Non J.A.; Tempelaar D.T.
  21. Foreign Trade and Investments: Firm-Level Perspectives By Elhanan Helpman
  22. Firm performance and trade with low-income countries : Evidence from China By Schmerer, Hans-Jörg; Wang, Luhang
  24. Enhancing Competition and the Business Environment in Hungary By Alvaro Pina
  25. Is Leadership in the Eye of the Beholder? -A Study of Intended and Perceived Leadership Strategies and Organizational Performance By Christian Bøtcher Jacobsen; Lotte Bøgh Andersen
  26. Risk management and Organizational Communication: Two Cases in the Pharmaceutical Industry By Guillaume Marceau
  27. Sharing The Fire: The igniting role of transformational leadership on the relationship between public managers’ and employees’ organizational commitment By Camilla Denager Staniok; Christian Bøtcher Jacobsen

  1. By: Spyros Arvanitis (KOF Swiss Economic Institute, ETH Zurich, Switzerland); Florian Seliger (KOF Swiss Economic Institute, ETH Zurich, Switzerland)
    Abstract: The main objective of this empirical paper is to identify characteristics of imitation and innovation and shed light on possible differences between these two kinds of innovative activity. Thus, it tries to answer the following questions: (a) what are the determinants of imitative performance compared to determinants of innovative performance and (b) what are the determinants of switching from imitative to innovative behavior compared to imitators and innovators showing persistence over time. The study is based on Swiss firm data. In sum, our findings indicate that imitating firms are significantly more ‘extroverted’ than innovating firms because their activities are much more related to external R&D activities and cooperation and medium-educated personnel. Innovating firms do not rely to the same extent on the exploration of external knowledge. Their rather ‘introverted’ behavior seems be more related with intense exploitation of internal resources. Further, the profiles of different types of innovating firms show that an innovation performance hierarchy exists ranking from occasional innovators through switchers to persistently innovating firms.
    Keywords: innovation, imitation
    JEL: O31
    Date: 2014–08
  2. By: Maja Savic (Department of Economics and International Development); Helen Lawton Smith (Department of Management, Birkbeck University of London); Ioannis Bournakis (Department of Management, Birkbeck University of London)
    Date: 2014–08
  3. By: Caroline Mothe; Uyen T. Nguyen-Thi; Phu Nguyen-Van
    Abstract: We empirically investigate the pattern of complementarity between four organizational practices. Firm-level data were drawn from the Community Innovation Survey (CIS) carried out in 2008 in Luxembourg. Supermodularity tests confirm the crucial role of organizational innovation in raising firms’ technological innovation. The pattern of complementarity between organizational practices differs according to the type of innovation, i.e. product or process innovation, but also according to whether the firm is in the first stage of the innovation process (i.e. being innovative or not) or in a later stage (i.e. innovation performance in terms of sales of new products).
    Keywords: Complementarity; Organizational innovation; Substitution; Supermodularity; Technological innovation
    JEL: D22 O32
    Date: 2014–08–29
  4. By: Reinhold Kosfeld (University of Kassel); Mirko Titze (IWH)
    Abstract: Although the phase of euphoria seems to be over, policymakers and regional agencies have maintained their interest in cluster policy. Modern cluster theory provides reasons for positive external effects that may accrue from interaction in a group of proximate enterprises operating in common and related fields. While there is some progress in locating clusters, in most cases only limited knowledge on the geographical extent of regional clusters is established. The present paper presents a hybrid approach to cluster identification. While dominant buyer-supplier relations are derived by qualitative input-output analysis (QIOA) from national I-O tables, potential regional clusters are identified by spatial scanning. This procedure is employed to identify clusters of German R&D intensive industries. In a sensitivity analysis, good robustness properties of the hybrid approach are revealed with respect to variations in the quantitative cluster composition.
    Keywords: National cluster templates, regional clusters, qualitative input-output analysis (QIOA), spatial scanning
    JEL: R12 R15
    Date: 2014
  5. By: Anis Omri; Maha Ayadi-Frikha; Anissa Chaibi
    Abstract: The purpose of this article is to build a mediational model of small businesses success. We investigate how the human, social and financial capital of entrepreneurs influences the capacity of small business to succeed. Our objective is then to demonstrate that these capitals are converted into success through the process of innovation. Based on an analysis of data from 228 Tunisian micro-enterprises, we concluded that the effects of these capitals on businesses success were partially mediated by the process of innovation. Our paper extends the theoritical and empirical researches on entrepreneurship by building a mediational model of small business success. This model presents the indirect effect of the human, social and financial capital on small business success via their impact on innovation.
    Keywords: Mediational model, Innovation, Success; Small businesses, Tunisia.
    JEL: L26
    Date: 2014–08–29
  6. By: Eduardo Moron; Edgar Salgado; Cristhian Seminario
    Abstract: This paper documents the relationship between regional financial development and firm growth in the Peruvian manufacturing sector. In order to control for mutual causality between credit availability and firm growth, industry differences in financial dependence on external funds are exploited. The 1994 and 2008 rounds of the National Economic Census are used, permitting analysis at the firm level as well as the activity level. Results suggest a significant and positive effect of financial deepening on surviving firms` growth. However, this effect is smaller for micro enterprises, suggesting that the cost of external funding decreases with financial development mainly for large firms. The conclusions remain unchanged when entering and exiting firms are included. The paper further finds that credit expansion have encouraged not only firm growth but also firm entry. The results are robust using an alternative measure of financial dependence.
    JEL: D22 D53 G21 L11 L60 O14
    Date: 2013–06
  7. By: Amit Basole (Department of Economics, University of Massachusetts, Boston); Deepankar Basu (Department of Economics, University of Massachusetts, Amherst); Rajesh Bhattacharya (Indian Institute of Management, Calcutta)
    Abstract: There are two divergent perspectives on the impact of subcontracting on firms in the informal sector. According to the benign view, formal sector firms prefer linkages with relatively modern firms in the informal sector, and subcontracting enables capital accumulation and technological improvement in the latter. According to the exploitation view, formal sector firms extract surplus from stagnant, asset-poor informal sector firms that use cheap family labour in home-based production. However, direct, firm-level evidence on the determinants and impact of subcontracting is thus far lacking in the literature. We apply a modified Heckman selection model to Indian National Sample Survey data on informal manufacturing enterprises (2005-06). We find that home-based, relatively asset-poor, and female-owned firms are more likely to be in a subcontracting relationship. Further, we perform selectivity-corrected Oaxaca-Blinder Decomposition and calculate treatment effects to show that subcontracting benefits smaller firms, firms in industrially backward states and rural firms; it is harmful for larger firms, firms in industrially advanced states, and urban firms. Our results suggest that the effects of subcontracting are more complex than those predicted by the divergent perspectives. Policy-makers need to engage with this complexity.
    Keywords: sub-contracting, informal sector, Heckman sample selection, Blinder-Oaxaca de- composition
    JEL: C31 O17 O53
    Date: 2014
  8. By: Anis Omri; Mohamed Frikha
    Abstract: This paper aims at drawing up an average cognitive map in order to explain the failure factors of Tunisian small businesses. The method adopted in our study is the cognitive approach. Our study extends entrepreneurship literature and previous literature by proposing a new approach in order to build an average cognitive map for the explanation of small businesses failures.
    Keywords: Entrepreneurial Failure, Small businesses, Tunisia.
    Date: 2014–08–29
  9. By: Jesper Rosenberg Hansen (Institute of Political Science, Aarhus School of Business); Christian Bøtcher Jacobsen (Insitute of Political Science, Aarhus School of Business)
    Abstract: NPM reforms are often argued to promote efficiency, because they enhance strategic and competitive behaviour among public organisations. Oppositely, critics argue that strategic behaviour can be problematic for public organizations, because cooperation and collaboration is needed to increase the general public value rather than just maximizing organizational profit. In this paper, we study how an NPM reform (introducing self-government for upper secondary schools coupled with quasi-markets with activity based funding) in the Danish secondary school sector changes strategic management both in regard to strategic orientation and strategic processes.
    Keywords: strategic management, competition, cooperation, New Public Management
    Date: 2014–08
  10. By: Anwar, Amar; Mughal, Mazhar
    Abstract: This study examines the motives for Russian outward foreign direct investments (OFDI) around the world. Using firm-level data for Russian firms, home and host country economic, geographical, cultural and institutional drivers of Russian OFDI are analyzed. Findings show that Russian OFDI seems to be motivated by both the push and the pull factors. Results suggest market-seeking to be the main motive behind Russian outward foreign direct investments, followed by resource and technology acquisition, while efficiency-seeking does not appear to be a major objective. Compared with the pre-crisis period, Russian firms have been seeking more foreign investments since 2008. The study helps better understand the economic, geographical, cultural and institutional factors that Russian transnational corporations consider while planning investments abroad.
    Keywords: Outward Foreign Direct Investment; 2008 financial crisis; Russia
    JEL: F23 G01 O53
    Date: 2014–06–24
  11. By: Jacques Arlotto; Jean-Michel Sahut; Frédéric Teulon
    Abstract: This article examines the performance of incubators because their economic model implies constantly finding external sources of financing. In order to evaluate the performance of incubators in France, we questioned 404 entrepreneurs in 80 incubators. The results show the social utility of incubators in France. Indeed, they encourage entrepreneurs to pass to the act of creation, but also contribute to the success of incubated firms. Moreover, these companies create more jobs than other start-ups. However, the services provided by incubators could be more developed and focus more on the assistance in order to find potential investors. Lastly, the work quality of an incubator as perceived by entrepreneurs is largely dependant on its director. This fact can explain important variations of performance between incubators.
    Keywords: Incubator; Entrepreneur; Performance; Coaching; Stakeholder; Investor; Entrepreneurship; Diploma; Education
    JEL: L26 M13
    Date: 2014–08–29
  12. By: Stephan Müller (University of Göttingen); Georg von Wangenheim (University of Kassel)
    Abstract: That institutions matter is widely accepted among economists and so are social norms as an important category of informal institutions. Social norms matter in many economic situations, but in particular for markets. The economic literature has studied the interrelation between markets and social norms in both directions – how social norms affect markets and how markets affect social norms. Starting from these two perspectives, we add to the literature, by suggesting a new link between product markets and the evolution of social norms: we analyze how the evolution of a social norm may be affected by a product innovation which adds to the variation of products with respect to their level of norm compliance. We derive necessary and sufficient conditions for a) a positive impact of the innovation on the level of norm adoption and b) for multiplicity of norm equilibria. Finally we discuss policy implications.
    Keywords: Consumer Behavior – Social Norms – Evolutionary Economics – Sustainability – Innovation
    JEL: A13 D02 D11 Q01 Q55
    Date: 2014
  13. By: Guillaume Marceau
    Abstract: In this article, we propose a value creation model based on the principle of the chain of value in corporate management. We particularly endeavor to show the incidence of a relevant allowance of a company's resources on its profitability, by distinguishing on one hand the activities that are directly profitable and on the other hand those which have a support function. This distinction is applied to the study of a services company in computer engineering, in terms of internal balance and potential of development.
    Keywords: management; chain of value; value creation; entrepreneurship; operational and functional activities; SCCE; internal balance; potential of development
    JEL: G01 M13 M21 O32
    Date: 2014–08–29
  14. By: Muge Adalet McGowan
    Abstract: Danish productivity has grown only weakly over the past two decades, both historically and in relation to other countries, despite sound policies and institutions. At the same time, the country has lost export market shares. Denmark needs to continue its efforts to reap the benefits of globalisation, which would contribute to invigorating productivity growth. Fostering competition by removing regulatory barriers and improving public procurement would help. In addition, innovation policy needs to become more efficient and more in line with the growing importance of the service sector and knowledge-based capital. Small and medium-sized enterprises could be better integrated into global markets by improving their access to finance and developing the entrepreneurship culture. This Working Paper relates to the 2013 OECD Economic Survey of Denmark ( htm). Spécialisation commerciale et politiques de promotion de la concurrence et de l'innovation au Danemark La productivité danoise n’a progressé que modérément au cours des deux dernières décennies, en comparaison aux périodes passées et aux autres pays, malgré des politiques et des institutions de bonne qualité. En outre, le Danemark a perdu des parts de marché à l’exportation. Le pays doit poursuivre ses efforts pour tirer parti des retombées positives de la mondialisation, ce qui contribuerait à stimuler la croissance de la productivité. Il faudrait également promouvoir la concurrence en supprimant les obstacles réglementaires et en améliorant les procédures de marchés publics. En outre, les politiques d’innovation doivent gagner en efficacité et prendre davantage en compte l’importance croissante du secteur des services et du capital intellectuel. L’intégration des petites et moyennes entreprises dans les marchés mondiaux pourrait être renforcée en améliorant leur accès aux financements et en développant la culture entrepreneuriale. Ce Document de travail se rapporte à l’Étude économique de l’OCDE du Danemark, 2013 ( ique-danemark.htm).
    Keywords: Denmark, innovation, productivity, small and medium-sized enterprises, competition, regulation, trade specialisation, global value chains, export market shares, chaînes de valeur mondiales, parts de marché à l’exportation, réglementation, spécialisation commerciale, petites et moyennes entreprises, productivité, innovation, Danemark, concurrence
    JEL: D24 F1 O3 O4
    Date: 2014–06–03
  15. By: Vera A. Rebiazina (National Research University Higher School of Economics); Olga A. Tretyak (National Research University Higher School of Economics)
    Abstract: Previous research has shown that emerging markets represent a significant part of the world economy and are expanding their share. However, they are still not well examined in the marketing field. Russia is especially neglected in the academic discussion of overall marketing strategy. Previous research indicates that the model of “Contemporary marketing practices” (CMP) is commonly used as a classification scheme of marketing practices both in developed and developing markets. This article examines how “Contemporary marketing practices” (CMP) works in Russia and tests the CMP model in the Russian market to reveal what types of marketing practices (transactional marketing, database marketing, interactive marketing, network marketing and relationship marketing) are most often used by Russian companies. The article is based on a quantitative study of 329 Russian companies and includes a cluster analysis that shows that types of marketing practices are common for the Russian market. Empirical results of cluster analysis shows that basic marketing practices are widely found in emerging Russian market though their characteristics differ dramatically from those on developed markets.
    Keywords: marketing, marketing practices, Contemporary marketing practices (CMP), emerging markets, Russia.
    JEL: M31
    Date: 2014
  16. By: Anna Moretti (Dept. of Management, Università Ca' Foscari Venice); Francesco Zirpoli (Dept. of Management, Università Ca' Foscari Venice)
    Abstract: Organizational and sociological research dealing with network governance has mainly focused on network advantages rather than on their problems or dysfunctionalities. This left partially unexplored the field of network failure. Even if some early attempts at explicitly theorizing network failures have been made, we argue that explanations based mainly on social conditions (ignorance and opportunism) offered by this emerging theory (e.g. Schrank and Whitford, 2011), are not exhaustive. In this article we report the results of our empirical investigation on the underperforming network between the worldwide famous Venice Film Festival and its local hospitality system (in Venice, Italy). In the case study we are presenting, we will show how institutions have not been able to inhibit opportunism and sustain trust among network members because of mobilizing practices developed across formal lines of communication. With this work we propose a dynamic theory of network failure, answering to the more general call for network theories to focus the attention on agency and microprocesses.
    Keywords: network failure, micro-processes, individual agency
    JEL: L22 L23 L1
    Date: 2014–08
  17. By: Dan Andrews; Chiara Criscuolo; Carlo Menon
    Abstract: This paper exploits longitudinal data on firm performance and patenting activity for 23 OECD countries over the period 2003-2010 to explore the extent to which changes in the patent stock are associated with flows of capital and labour to patenting firms. While the finding that patenting is associated with real changes in economic activity at the firm level is in line with recent literature, new empirical evidence presented suggests that the impact of patenting on firm size is likely to be causal. Moreover, these data reveal important differences across OECD countries in the extent to which innovative firms can attract the complementary tangible resources that are required to implement and commercialise new ideas. In turn, the contribution of framework policies to explaining the observed cross-country differences in the magnitude of these flows is explored. While further research is required to establish causality, the results are consistent with the idea that well-functioning product, labour and capital markets; efficient judicial systems and bankruptcy laws that do not overly penalise failure can raise the returns to innovative activity. The paper also investigates the heterogeneous impacts of policies and finds that young firms – which are more likely to experiment with disruptive technologies and rely on external financing to implement and commercialise their ideas – disproportionately benefit from reforms to labour markets and more developed markets for credit and seed and early stage finance. Les ressources convergent-elles vers les entreprises brevetantes ? : Éléments de comparaison entre pays à partir de données au niveau des entreprises Cette étude tire parti de données longitudinales sur les performances et l’activité de brevetage d’entreprises de 23 pays membres de l’OCDE sur la période 2003-2010 pour examiner dans quelle mesure des évolutions du stock de brevets sont associées à des flux de capitaux et de main-d’oeuvre en direction des entreprises brevetantes. Si l’observation que le brevetage est associé à des évolutions réelles de l’activité économique au niveau de l’entreprise concorde avec les publications récentes, les nouvelles observations empiriques présentées ici donnent à penser qu’il existe vraisemblablement un lien de causalité entre le dépôt de brevets et la taille de l’entreprise. De plus, ces données font apparaître d’importantes différences entre pays de l’OCDE quant à la mesure dans laquelle les entreprises innovantes peuvent attirer les ressources corporelles complémentaires requises pour mettre en oeuvre et commercialiser des idées nouvelles. L’étude explore ensuite la contribution de politiques cadres qui pourrait expliquer les différences observées entre pays dans l’ampleur de ces flux. Bien que des recherches complémentaires soient nécessaires pour établir une causalité, les résultats concordent avec l’idée que des marchés de produits, de main-d’oeuvre et de capitaux efficaces, des systèmes judiciaires efficients et des législations sur les faillites qui ne pénalisent pas indûment l’échec peuvent accroître les retours sur l’activité d’innovation. L’étude examine aussi les impacts hétérogènes des politiques et constate que les jeunes entreprises – qui sont davantage susceptibles d’expérimenter des technologies de rupture et de dépendre de financements externes pour la mise en oeuvre et la commercialisation de leurs idées – bénéficient beaucoup plus que les autres des réformes des marchés du travail et de marchés plus développés du crédit et du financement des phases d’amorçage et de démarrage.
    Keywords: firm growth, patents, innovation, reallocation, innovation, croissance des entreprises, brevets, réaffectation
    Date: 2014–06–17
  18. By: Boschma, Ron (CIRCLE, Lund University and Department of Economic Geography, Urban and Regional research centre Utrecht, Utrecht University)
    Abstract: This paper proposes an evolutionary perspective on regional resilience. We conceptualize resilience not just as the ability of a region to accommodate shocks, but we extend it to the long-term ability of regions to develop new growth paths. We propose a comprehensive view on regional resilience, in which history is key to understand how regions develop new growth paths, and in which industrial, network and institutional dimensions of resilience come together. Resilient regions are capable of overcoming a trade-off between adaptation and adaptability, as embodied in their industrial (related and unrelated variety), network (loosely coupled) and institutional (loosely coherent) structures.
    Keywords: regional resilience; related variety; networks; institutions; evolutionary economic geography
    JEL: B52 D85 L16 O18 R11
    Date: 2014–08–23
  19. By: Anis Omri; Amel Sassi-Tmar
    Abstract: This paper examines the relationship between FDI inflows and the economic growth for three African economies (Tunisia, Morocco, and Egypt) during 1985–2011. Our analysis, which is based on a simultaneous equations model, reveals that in overall terms a mutually promoting two-way linkage between FDI and economic growth exists in these countries. Using the generalized method of moments (GMM), we find that the two-way linkage between FDI inflows and economic growth has been verified in all three economies , i.e., high level of foreign direct investment inflows had accelerated economic growth and high economic growth in these economies does send positive signals to prospective foreign investors.
    Keywords: Economic growth; FDI inflows; GMM-estimator; North African countries.
    JEL: G20 H54 C36
    Date: 2014–08–29
  20. By: Non J.A.; Tempelaar D.T. (ROA)
    Abstract: We analyze the relation between time preferences, study effort, and academic performance among first-year Business and Economics students. Time preferences are measured by stated preferences for an immediate payment over larger delayed payments. Data on study efforts are derived from an electronic learning environment, which records the amount of time students are logged in and the fraction of exercises completed. Our third measure of study effort is participation in an on-line summer course. We find that impatient students show weaker performance, but the consequences are relatively mild. Impatient students obtain lower grades and fail first sit exams more often, but they do not obtain significantly fewer study credits, nor are they more likely to drop out as a result of obtaining fewer study credits than required. We find a weak negative relationship between impatience and study effort. Differences in study effort therefore cannot explain impatient students lower academic performance.
    Keywords: Behavioral Economics: Underlying Principles; Intertemporal Choice and Growth: General; Analysis of Education;
    JEL: D03 D90 I21
    Date: 2014
  21. By: Elhanan Helpman
  22. By: Schmerer, Hans-Jörg (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]); Wang, Luhang
    Abstract: "Do firms in developing countries shift trade towards developed economies as a result of high economic growth? The matched customs-manufacturing firm data used in this study confront this hypothesized link with empirical evidence. Our analysis reveals a rising low-income country trade share around and after China's accession to the World Trade Organization. Based on this stylized fact, we analyze the link between firm characteristics and trade with low-income countries. We find evidence for sequential sorting into different export-modes according to firm-productivity: i) only the most productive firms export to low-income countries, ii) exporting to low-income countries is mostly coupled to exporting to high-income countries, and iii) firms that switch to export to markets with higher potential are younger than firms that switch to export to both high- and low-income markets. Moreover, we find that firms tend to start exporting through specialization on high-income markets before diversifying to both type of markets." (Author's abstract, IAB-Doku) ((en))
    Keywords: Export, Außenhandelsverflechtung, Entwicklungsländer, Industrieländer, China
    JEL: F1 O1
    Date: 2014–08–19
  23. By: Davide Fiaschi; Elisa Giuliani; Federica Nieri
    Abstract: BRIC countries have generally gone through a process of liberalization and rapid economic growth that has allowed their major companies to acquire increasing weight in the global marketplace. However, they are still striving to achieve full legitimacy in the international arena. In a bid to close this legitimacy gap, BRIC firms are making efforts to align with the Environmental, Social and Governance (ESG) global norms of doing business, and recently have adopted a portfolio of Corporate Social Responsibility (CSR) initiatives. In this paper we provide a deeper exploration into the factors that relate to BRIC firms’adoption of different types of CSR initiatives-i.e. social policies (philanthropic projects favoring different stakeholders), publication of CSR reports, adoption of GRI standards; adherence to and financial support for the UN Global Compact. We carry out an empirical analysis on 60 BRIC large public companies, and find support for the idea that different kinds of CSR initiatives may be subject to different pressures and may serve different legitimization strategies.
    Keywords: BRIC firms, internationalization, Corporate Social Responsibility (CSR), liability of foreignness (LOF) and emergingness (LOE).
    JEL: F23 M14
    Date: 2014–03–01
  24. By: Alvaro Pina
    Abstract: Over the past decade, the growth potential of the Hungarian economy has declined substantially. Trend productivity has ceased to increase, and investment has fallen to historically low levels. To an important extent, the explanation lies in a business environment characterised by high administrative burdens, regulatory volatility, barriers to growth of small and medium-sized enterprises (SMEs) and entrepreneurship, and limited competition in major non-tradable sectors, problems which have sometimes become worse in recent years. Under these conditions, many SMEs find it hard to leave semi-informality and grow. Large multinational firms operating in manufacturing often have supplier networks weakly anchored in Hungary, while those in the non-tradable sectors sometimes face little competitive pressure; in both cases, positive spillovers to the domestic economy remain limited. Steps should be taken both at the economy-wide level and in specific sectors to increase investment and restore productivity growth. Such measures must include fostering greater regulatory stability, inter alia by reducing the flow of new regulation and improving its quality, not least in taxation. Investor confidence would benefit from promoting trust and transparency in public institutions. Apart from vigorous competition enforcement across the economy, it is essential to remove sector-specific obstacles to competition, such as barriers to entry of different types, lock-in effects and distortive regulated prices, in retail, professional services, energy, and telecommunications. This Working Paper relates to the 2014 OECD Economic Survey of Hungary ( Renforcer la concurrence et améliorer le climat des affaires en Hongrie Le potentiel de croissance de l’économie hongroise a considérablement diminué au cours de la dernière décennie. La productivité tendancielle ne s’améliore plus et l’investissement est tombé à des niveaux historiquement bas. La raison de cette situation tient dans une large mesure à un environnement économique général caractérisé par des charges administratives élevées, une réglementation instable, des obstacles à la croissance des petites et moyennes entreprises (PME) et à l’entrepreneuriat, et une concurrence limitée dans les principaux secteurs non exportateurs, problèmes qui se sont en partie aggravés ces dernières années. Dans ces conditions, il est difficile pour beaucoup de PME de sortir de la situation semi-informelle dans laquelle elles se trouvent et de se développer. Quant aux grandes entreprises multinationales, celles qui sont présentes dans le secteur manufacturier ont souvent des réseaux de fournisseurs faiblement implantés en Hongrie, tandis que les autres, dans les secteurs non exportateurs, sont largement à l’abri des pressions de la concurrence ; dans un cas comme dans l’autre, par conséquent, les retombées positives de leurs activités sur l’économie nationale demeurent limitées. Des mesures générales et sectorielles s’imposent pour accroître l’investissement et rétablir la croissance de la productivité. Il est indispensable en particulier de promouvoir une plus grande stabilité réglementaire, notamment en réduisant le nombre de réglementations nouvelles et en améliorant leur qualité, surtout dans le domaine de la fiscalité. Une transparence accrue et une plus grande confiance dans les institutions publiques seraient en outre propices à l’investissement. Il est essentiel non seulement de veiller à ce que le droit de la concurrence soit vigoureusement appliqué de façon générale, mais aussi d’éliminer tout ce qui fait obstacle à la concurrence au niveau sectoriel, notamment les différentes formes de barrières à l’entrée, les effets de verrouillage et les distorsions induites par les prix réglementés dans le commerce de détail, les services professionnels, l’énergie et les télécommunications. Ce Document de travail se rapporte à l’Étude économique de l’OCDE de la Hongrie, 2014 ( ique-hongrie.htm).
    Keywords: SMEs, competition enforcement, regulated prices, special taxes, business environment, productivity, Hungary, administrative burdens, institutional quality, barriers to entry, PME, productivité, concurrence, qualité institutionnelle, prix réglementés, Hongrie, barrières à l'entrée, charges administratives
    JEL: H2 K2 L4 L8 L9
    Date: 2014–06–04
  25. By: Christian Bøtcher Jacobsen (Insitute of Political Science, Aarhus School of Business); Lotte Bøgh Andersen (Insitute of Political Science, Aarhus School of Business)
    Abstract: The HRM literature argues that intended leadership practices can be perceived entirely different by employees, and that perceived practices are more likely to be related to performance than intended practices, because perceived practices are closer related with motivation and commitment. Using a sample of 1,621 teachers and 79 Danish high schools, we find that intended and perceived transformational and transactional leadership strategies are only weakly correlated, and that only perceived strategies (both transformational and transactional) are significantly related to objectively measured school performance.
    Date: 2014–08
  26. By: Guillaume Marceau
    Abstract: In this article, we propose an organizational communication oriented approach to Risk Management. The business domain studied here is the pharmaceutical industry, which has a high sensitivity to communication. Through two examples, we show how and in which context risk management can be an essential component in corporate management, by laying partially aside financial aspects, although they are usually put forward in this field.
    Keywords: risk management; organizational communication; crisis; vigilance
    JEL: I11 M14 O32
    Date: 2014–08–29
  27. By: Camilla Denager Staniok (Institute of Political Science, Aarhus School of Business); Christian Bøtcher Jacobsen (Insitute of Political Science, Aarhus School of Business)
    Abstract: Seminal articles on organizational commitment in public organizations have assumed that employees reciprocate the attitudes of their peers, but recent studies suggest that the impact of managers’ organizational commitment on employees’ organizational commitment depends on how leaders convey their organizational commitment. In this study we investigate how transformational leadership moderates the relationship between mangers’ and employees’ organizational commitment. Multilevel data from surveys of 68 principals and 1,349 teachers in the area of upper secondary education show that there is no direct relationship between principals’ and teachers’ organizational commitment, but that transformational leadership moderates the relationship.
    Date: 2014–08

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