Asian Management Matters

The following sections are included:

• Foreword

• Contents

• Acknowledgements

• About the Editors

Field and experimental studies reaffirm the importance of social face in conflict in Asia. Affronts to social face were found to induce competition and closed-mindedness and result in disrupted relationships. However, social face concerns, when they were confirmed and participants felt respected, were found to contribute to cooperative goals, open-mindedness, learning, and integration of people and positions. Harmony in Asia may not simply be conflict avoidance, but implicitly include confirmation of face and a commitment to cooperative goals and mutually beneficial relationships. Then Asian managers and employees are able to use conflict to explore issues, create solutions, and strengthen collaboration.

The underdevelopment of financial and other business institutions in Asia's emerging markets and influences of Confucian value systems on overseas Chinese implies Western models of foreign direct investment location decisions require modification for generalizability to this region. Propositions are developed recognizing overseas Chinese businesses rely more heavily on relational networks and Confucian values than rational economic factors for FDI location decisions in Asia.

Using Landy and Becker's logic (1987), we propose a theoretical framework of eight Chinese work-related values that may be useful for comparative studies in work performance among Chinese societies and among Asian countries. Measures for the values (Functionalism, Long-term orientation, Collectivism, Hardworking, Authoritarianism, Endurance, Guanxi, and Credentialism) are developed. Data gathered from Hong Kong and Taiwan college students suggests that Taiwan students exhibit a higher degree of collectivism than their counterparts in Hong Kong while exhibiting many similar cultural values.

The following sections are included:

• The Rise of Asia

• A Dragon Yet to Fly

• Cultural Relativity of Motivation Concepts

• Psychological and Cross-Cultural Models of Motivation

• Chinese Social Motivation Versus Western Individual-Based Motivation

• Discussion and Conclusion

• References

We discuss and explore the relationships between proprietary assets, multinationality and firm performance as they relate to multinational enterprises in Asia. Utilizing a sample of 395 Japanese manufacturing firms, we demonstrate that the degree of multinationality is a function of the possession of proprietary assets. We also find that multinationality is positively associated with firm profitability, even when the competing effect of proprietary assets on firm performance is considered. These results extend research on multinationality and performance, by using a sample of Japanese firms; by utilizing firm-level measures of assets that gauged the extent of propriety content in these assets both at an absolute level, and relative to industry counterparts; and by separately addressing the motives for international expansion and the performance outcomes of multinationality.

This paper argues that collaborative know-how, a firm's capability in managing international joint ventures, will influence ownership choices for its foreign affiliates. It also investigates the factors that influence the accumulation of such collaborative know-how. Testing our hypotheses on a sample of Japanese manufacturing investments in the United States, we find that Japanese firms with a higher level of collaborative know-how are more likely to choose joint ventures to enter the US market, and that the accumulation of such collaborative know-how is influenced by their direct experience with joint ventures in the US, and knowledge transfer between keiretsu members. Our study illustrates the importance of mode-specific experience in the choice of entry strategies and the impact of home country institutions on a firm's global expansion.

Market orientation is used to classify Hong Kong and Taiwanese textile and clothes firms in China into two strategic groups: export market-oriented firms and local market-oriented firms. Market orientation reveals significant differences in the strategies of production scale, labor/capital intensity, ownership, location selection, sourcing, and some human resource management, which differentiate these two types of firms. In performance, however, no statistical differences in the growth of sales, sales/investment and profits were found, even though the export market-oriented firms have better control over input-output operations than do the local market-oriented firms. The theoretical and empirical implications of our findings are further discussed.

This paper is devoted to the issue of evolving linkages in international R&D management. After presenting various types of linkage mechanisms output linkage versus interactive linkage, and broker linkage versus mass linkage – a general framework of evolving linkages in international R&D is developed. Conducting R&D abroad has a huge potential in taking advantage of globally-dispersed knowledge and skills, if managed properly. However, our understanding of the appropriate management mechanisms at different stages of R&D internationalization is limited. The paper shows that the linkage patterns vary according to the evolving stages of R&D. Implications for Asian management are also discussed.

The following sections are included:

• Introduction

• The Formation of Governance Structure in IJVs

• The Determinants of Asymmetric Governance Structure
  • Environmental Context
  • Resource Content
  • Value-chain Configuration

• Empirical Evidence
  • Sample and Data Profile
  • Key Measurements and Methodology
  • Analytical Results

• Implications
  • Decision Flexibility
  • Future Research Directions

• Concluding Remarks

• References

The following sections are included:

• INTRODUCTION
  • The current socio-economic scenario
  • Difference in sizes
  • Difference in approaches

• THE PROCESS FRAMEWORK
  • Why study alliances from a single-partner perspective?
  • Capabilities and intent of the organisation
  • Alliance as a process
  • The formation phase
  • Managerial action
  • Outcome of an alliance
    • Performance evaluation
    • Effect of the outcome of the alliance

• CONCLUDING REMARKS

• REFERENCES

This paper reports research findings of organizational structure in nine diversified corporations in Guangdong, the People's Republic of China. It was found that a firm's selection of structure did not only follow a given strategy, but also constrained the firm's strategic choices. Two contextual factors are identified as critical to the influence of the structure, in terms of the path of a firm's development; and external forces imposed by the government.

This paper proposes an institutional model of the entry mode choice in making foreign investments. The model is tested using a sample of 7,669 foreign subsidiaries of Japanese firms. The findings indicate that the institutional model has significant explanatory power of entry mode choices. Specifically, we found that later entrants tend to follow the same entry modes used by the earlier entrants, providing support for institutional isomorphism. Contextual uncertainty is found to compound the isomorphic behaviour in entry mode choice. We also found that a firm's earlier entry mode has significant impact on the choice of entry mode in its later investments.

The following sections are included:

• Introduction

• Theoretical Background and Hypotheses
  • Social Structure and Social Capital
  • Social Structure and Firm Behavior
  • Social Structure and Strategic Alliance

• Methods
  • Research Setting
  • Data and Analysis

• Results

• Discussion and Conclusions

• References

The recent economic reform in Chinese state-owned enterprises intends to formally remove party secretaries from enterprise operation and management. However, the common belief that party secretaries are party-liners without much contribution to enterprise management may be a misconception. This chapter reviewed the role of party secretary played in the SOE and proposed, from the human capital and social capital perspectives, that party secretaries have accumulated a lot of capital from their previous work experience which may enable them to function properly in the SOEs during a transition period. Future research direction along this line of argument is proposed.

The following sections are included:

• INTRODUCTION

• THEORETICAL BACKGROUND AND HYPOTHESES
  • Theoretical Orientations in Coalignment Research
  • Organizational Environment and Firm Strategy
  • Hypotheses

• METHODOLOGY
  • Research Design and Data Collection
  • Measures

• DATA ANALYSIS AND RESULTS
  • Statistical Procedures
  • Results

• DISCUSSION
  • Environment-Strategy-Performance Contingency
  • Directions for Future Research

• REFERENCES

The following sections are included:

• Introduction

• The Hong Kong and Nigerian Environment

• Review of Literature and Hypotheses

• Measures
  • Sample

• Results

• Discussion

• Acknowledgments

• References

The following sections are included:

• Introduction

• New Trade Theory The Strategic Trade Argument

• Comments regarding home market size and imperfect competition in developing countries

• The Korean Heavy and Chemical Industry Campaign (HCI)
  • The Korean Government's role in Industrial Organisation and Human Resource Management
  • Export Oriented Economic Policy- HCI Campaign (1973- 1980)
  • Rate of growth of the domestic market
  • HCI campaign as STP : some further remarks

• Conclusion

• References

The following sections are included:

• SINGAPORE'S HOTEL INDUSTRY: BRIEF HISTORICAL OVERVIEW
  • Early Period, 1832-1963
  • STPB Period, 1964-1997

• THEORY & HYPOTHESES
  • Constitutive Legitimation, Sociopolitical Legitimation, & Competition
  • Mass

• DATA SOURCES & VARIABLES

• FINDINGS

• DISCUSSION

• REFERENCES

The focus of past research on expatriate management has been mostly on American, European, and Japanese multinationals with large expatriate populations. As a result, recommendations derived from it are clearly of limited use to companies and countries new to the international scene. In this study, we investigate the key success factors of expatriates of Singapore-based companies operating in China. Using a sample of 92 managers, we found that technical competency, nature of assignment, value of assignment, and expectation of immediate results were positively associated with expatriate success. Cultural competency, pre-departure training, marital status, and compensation, on the other hand, had no influence on expatriate success.

The following sections are included:

• Introduction

• Research Hypotheses
  • Demographic Characteristics
    • Gender
    • Marital Status
  • Work-related Attitudes
    • Job Insecurity
    • Organisational Commitment
  • Support Factors
    • Supervisors' and Work Colleagues' Attitudes towards Teleworking
  • Perceived Advantages of Teleworking
    • Perceived Advantages of Teleworking to Individuals

• Method
  • Sample and Procedures
  • Instrument

• Results
  • Characteristics of Respondents
  • Descriptive Statistics
  • Hypotheses Testing

• Discussion

• References

This chapter explores the extent of applicability of the concept of ‘HRM’ in organizations in the PRC. Research on ‘HRM’ practices so far has indicated that convergence between Chinese and Western ‘HRM’ practices is limited. Drawing from seven in-depth case studies conducted in the Shenzhen Special Economic Zone, the chapter explores the inter-relationship between institutional context and employment practices.

China has been one of the most favourite markets for western firms for the last decade. However, doing business with China is difficult, mainly because negotiating with Chinese counterparts is quite complex and time consuming. This paper analyzes the Chinese business negotiation behaviour from a Socio-cultural perspective. A Swedish multinational, Ericsson, is followed for several years and its negotiation process for different Chinese projects in the telecommunication industry is studied in depth. Based on these cases and literature on Chinese cultural background Chinese negotiating behaviour is analyzed. Finally, managerial implications presented as five Ps: Priority, Patience, Price, Precision and People sum up the essence of Chinese business negotiation process.

The following sections are included:

• Introduction
  • The Nature of Perceived Job Image

• Method
  • Instrumentation

• Results
  • Characteristics of Respondents
  • Dimensions of Perceived Job Image
  • Differential Effects of Perceived Job Image on Work Attitudes

• Discussion

• References

The following sections are included:

• Institutions

• Japanese Management Practices and Institutions
  • Enterprise Unionism
  • Lifetime Employment
  • Seniority based Wage System
  • Decision Making by Consensus

• Can Japanese management practices be transferred?

• Conclusion

• References

The following sections are included:

• About the Authors