Organisational misconduct in emerging economies (EEs) undermines trust in local markets, distorts competition, and creates considerable economic and societal costs, with implications that increasingly extend beyond national borders. International business scholarship on the topic has grown substantially and generated valuable insights, yet it remains fragmented and conceptually limited in important ways. Cumulative understanding of organisational misconduct in EEs is constrained by two critical issues. First, the literature is characterised by a persistent developed-country bias that relies on oversimplified dichotomisations between developed and emerging economies, obscuring institutional complexity and limiting theoretical insight. Second, existing studies predominantly adopt single-level analyses that fail to capture how organisational misconduct emerges from dynamic interactions across economy, organisation, and individual levels. To address these limitations, we advance a multilevel analytical framework that integrates economy-level institutional conditions, organisational processes, and individual behaviour, while drawing attention to the frequent misalignment between formal rules (de jure) and their enactment in practice (de facto). We conclude by outlining a research agenda for advancing understanding of organisational misconduct in EEs and by offering actionable guidance for managers and policymakers navigating the institutional complexities of emerging economies and interconnected environments.

The purpose of this study is to examine the micro-foundations and emergence of firm-level Cultural Intelligence (CQ). Using dynamic capabilities theory, we conceptually develop a framework that proposes a positive relationship between firm-level CQ and innovative performance, moderated by a firm's country of origin. We further conduct an exploratory empirical analysis based on a lagged, cross-sectional design using multisource data, including primary survey data from 353 global managers from large Brazilian and foreign developed market MNEs operating in Brazil representing a variety of industries as well as archival data on innovative performance to include objective firm performance data. The results generally support our hypotheses. Specifically, the impact of firm-level CQ on innovative performance was supported for both the innovation input and the downstream innovation outcome of sales growth. The moderating effect of country of origin on innovation performance was partially supported.

Mindfulness has become a common practice among entrepreneurs, promoting greater resilience, clarity, and virtuous behavior. Nonetheless, the literature presents a nuanced situation: although mindfulness can encourage ethical behavior, it may also be misused to justify unethical action decisions. To explore this paradox, we conduct a systematic review and identify five core thematic roles of mindfulness: zoom-in and zoom-out thinking, emotional self-regulation, cognitive reappraisal, psychological capital, and responsible orientation. These themes are crucial for the ongoing success of entrepreneurial ventures. We contextualize the roles of mindfulness for the five zones (presence, perspective, persistence, psychological resources, purpose) of the entrepreneur-venture nexus. Framing our ethics analysis through the neo-Aristotelian lens of phronesis we argue that mindfulness must be grounded in ethical reasoning to avoid moral blind spots and ensure responsible decision-making. This review introduces a novel phronetic mindfulness framework in entrepreneurial practice, highlighting the need for integrated virtue-based approaches to navigate moral dilemmas. This study advances theoretical and practical insights on the ethical application of mindfulness, emphasizing the crucial role of phronesis in fostering morally resilient and socially responsible entrepreneurs.

This study explores how emerging market multinational corporations (EMNCs) leverage strategic agility, developed at home, to manage institutional complexity when expanding abroad. We analyze the two-and-a-half-decade internationalization journey of Intelcia, a Moroccan global business process outsourcing provider, by examining core agility drivers: strategic sensitivity, leadership unity, and resource fluidity. Our key insight is that home-grown strategic agility enhances EMNCs’ ability to manage institutional complexity and market uncertainties during international expansion, thereby creating a competitive advantage. We forward a prescriptive framework detailing four strategic agility phases for managing institutional complexity, valuable for both EMNC leaders and international business educators.

Blockchains are having a disruptive effect on how organisations transact and operate in domestic and international markets. Indeed, the characteristics of blockchain technology have the potential to upend some of the long-held assumptions that researchers hold about market transactions, the role of institutions, the nature of the firm, and the internationalisation patterns of multinationals. Yet, there is a paucity of research that focuses on the implications of this technology for key management and organisation theories, as well as related international business theories. We focus on these theories because blockchain enables transactions to be conducted between decentralised, autonomous economic actors in domestic and international markets at much lower costs, with less uncertainty, reduced risk, and without central control by governments. We refer to these effects as organisational democratisation. Thus, this situation points to an opportunity for institutional innovation that will lead to the emergence of new ways to organise economic activities.

For three decades, scholars have investigated the phenomena of organizational misconduct (OM) in the fields of business ethics, management, and organization studies. In recent years, the construct has gained increased attention due to widely reported corruption, bribery, crime, violations, and other acts of immorality undertaken by organizations, especially in emerging markets. Despite its popularity, review studies on OM are sparse, and no systematic review of research on OM in the context of emerging markets exists. This article attempts to fill this void by analyzing the literature on OM in the specific context of emerging markets based on a systematic review methodology and integration approach. Based on the findings of our literature review, we develop an integrative model of the antecedents and consequences of OM in emerging markets and discuss important moderators that may curtail the development of OM and alleviate its consequences. In doing so, we provide scholars with a conceptual model and overview of the current knowledge and findings on the topic. We further discuss important gaps in the literature and provide fruitful avenues for future work that we believe are promising to advance our understanding of OM in the context of emerging markets.

Research on emerging markets has proliferated considerably over the past two decades, yet there is no clear consensus in the fields of academia, business practice or public policy of what constitutes an emerging market. While early conceptualizations of emerging markets focus primarily on the level of economic development and the pace of economic growth to distinguish emerging from emerged markets, more recent work has attempted to employ a broader lens when examining these markets. Based on institutional theory, this study attempts to contribute to a more fine-grained analysis of what constitutes an emerging market by analyzing the formal and informal institutional development of countries in the emerging market context of the Sub-Saharan Africa (SSA) region and the specific industry context of oil exploring countries in the region. In so doing, this study aims to develop a preliminary framework of institutional clusters based on the formal and informal institutional quality of emerging markets, and discusses the strategic implications for multinational corporations (MNCs).

Blockchain technology has the potential to disrupt many of the assumptions that we currently hold about market transactions, the role of institutions and the nature of the firm. As a result of this new technology, market transactions may be conducted between decentralized, autonomous economic actors at much lower costs, with less uncertainty, and without central control by governments in the form of formal institutions. The latter aligns with the vision of Adam Smith two and a half centuries ago (Smith, 1776 [1976]) and so, possibly for the first time, markets could become true price-driven exchanges between suppliers and consumers. Blockchain technology also challenges the key assumptions underpinning the existence of the firm (Coase, 1937) as it has the potential to reduce the cost of search, contracting, coordination and the establishment of trust. When realized, this potential may lead to the emergence of new ways to organize economic activities. Accordingly, blockchain technology may be the next wave of disruption for intermediated transactions in many contexts, by reducing and possibly eliminating the need for market agents. Due to its relative novelty, however, discussions about blockchain technology have so far predominately centered on technical aspects and its first application - the cryptocurrency bitcoin. This paper attempts to elevate the discussion beyond those confines and into the realm of organization and management theory by exploring how the diffusion and application of blockchain technology may advance well-established theories, namely transaction cost economics, agency theory, and institutional theory.

Purpose This paper constitutes an explorative study into post-acquisition implementation of emerging market acquisitions in developed countries. More specifically, the study aims to better understand how low capability Chinese firms are able to capture value when acquiring high-capability targets in developed countries through a novel post-acquisition integration approach. In so doing, we set out to contribute to the literature on, and managerial insights into, the factors that determine the success of emerging market acquisitions, in general, and the context-specific use of post-acquisition implementation approaches, in particular. Design/methodology/approach The study follows a qualitative analysis and multiple case study design based on a phenomenon-based research approach. Data and information were collected through semi-structure executive interviews, observations, secondary sources, company report and media accounts. Findings Based on institutional theory, this study develops a conceptual framework for a tacit value approach toward the integration of acquisitions of developed market targets by emerging market acquirers. Originality/value The proposed tacit value approach of post-acquisition integration, which refers to the creation of intangible value over time, differs from the explicit value approach that is associated with the transaction-cost literature and more focused on the creation of tangible value in the short-term.

PurposeThe purpose of this paper is to analyze the formal political, legal and economic institutional legitimacy challenges for (US-based) multinational corporations (MNCs) attempting to enter the Cuban market, discuss the key local constituencies in Cuba that are able to grant legitimacy and sketch out respective strategies to deal with each of these formal institutional challenges.Design/methodology/approachA qualitative research approach comprising semi-structured executive interviews was used, combined with the analysis of media accounts and recent governmental policies and developments. The authors interpreted the gathered data and information based on institutional theory.FindingsThis paper sketches out specific legitimacy challenges for (US-based) MNCs when entering Cuba and discusses strategies to manage these challenges.Research limitations/implicationsThe authors provide an application of institutional theory in the specific context of Cuba and so demonstrate the value of applying this theoretical lens to better understand the local legitimacy processes in this particular emerging market environment.Practical implicationsThis study presents a framework of strategies (US-based) MNCs may use to inform their entry strategies into the Cuban market, based on an analysis of the local institutional environment, legitimacy pressures and constituencies able to grant or withdraw the approval and support of foreign MNCs.Originality/valueThis paper is an original application of institutional theory to the emerging market of Cuba using a qualitative research approach, and so contributes to an emerging stream of research studying this market context from an academic and practical perspective.

In its early years after splitting off from the business policy discipline and becoming its own discipline about 50 years ago, international business started to take off by conducting phenomenon-based research in an interdisciplinary and engaging way. Yet, some scholars have recently noted that IB research, while grown in quantity ever since, has become characterized by debatable quality and fading impact and relevance. With the launch of AIB Insights around the turn of the century, the Academy of International Business has developed a new breed of IB journals that may contribute to making our field of IB more relevant again.

This paper examines the direct effects of the Chinese institutional environment on local MNCs' decisions to acquire firms in developed countries. Due to the significant capabilities gap between Chinese acquirers and developed market targets, these transactions require a unique post-M&A integration approach that differs from those prescribed by extant research. We use a qualitative research approach based on executive interviews and information gathered through secondary data sources and the analysis of media accounts to examine the acquisition of the German Preh GmbH by the Chinese Joyson Group. Building on institutional theory, we introduce a new category of institutions, semi-formal institutions, and related legitimacy pressures in order to point to the institutional complexity Chinese MNCs have to navigate. Furthermore, building on social capital theory, this paper develops a supportive partnering approach for implementing M&As by Chinese MNCs in developed markets, and discusses the academic and practical implications of this new approach.

This editorial article introduces this eclectic issue of AIB Insights, with articles focusing on Power and MNEs, Modern Slavery in IB, Culture, Leadership and Entrepreneurship. The issue includes “Should Your IB Research Deal with Power?” by John Child; “Tackling Modern Slavery, the Ugliest Phenomenon of Our Times: An Invitation to the IB Scholarly Community” by Snejina Michailova and Christina Stringer; “GLOBE Leadership Dimensions: Implications for Cross-Country Entrepreneurship Research” by Saurav Pathak and Etayankara Muralidharan; and “The Intersection of National Cultural Values and Organizational Cultures of Silence and Voice, and the Moderating Effect of Leadership” by Rob Bogosian.

Since the end of Great Recession about a decade ago, the 20 biggest emerging market economies have become the drivers for global outward foreign direct investments (OFDI) (Casanova and Miroux in Emerging Market Multinational Report, 2017), and these capital outflows are increasingly directed toward developed countries in form of international mergers and acquisitions (Thomson Reuters in Mergers and acquisition review, 2018; UNCTAD in World investment report: investment and new industrial policies. United Nations 646 Publications, New York, 2018). Particularly China has become a key player in the global market for corporate takeovers since the turn of the century. The country already constitutes the world’s second largest economy (and largest emerging economy) for OFDI through international mergers and acquisitions, second only to the United States. In fact, the total transaction value of outbound international mergers and acquisitions of emerging market multinational corporations (EMNCs) from China amounted to nearly US$256 billion in 2016, with particular focus on target companies in developed economies (Casanova and Miroux in Emerging Market Multinational Report, 2017). Due to the significant capabilities gap between EMNCs from China and developed market companies, however, international acquisitions of the latter by the former require a unique post-acquisition integration approach that differs from those prescribed by extant research. In addition, due to the unique institutional environment of China, which is characterized by a considerable oversight and influence of the central government on the foreign market entry and location decisions by Chinese companies that are conducting outward foreign direct investments, a better understanding about the specific institutional demands and legitimacy pressures is needed for this context. This chapter aims to address these issues by examining the unique institutional environment of China in the context of the internationalization strategies of indigenous firms through acquisitions in developed markets, and the related, context-specific integration approaches Chinese EMNCs employ for these transactions.

This editorial article introduces the special issue of AIB Insights focused on Africa. The issue includes “Should We Be Concerned about IB Research?” by Mark Casson; “(How) Does Africa Matter for International Business Scholarship?” by Nathaniel Boso, Yaw A. Debrah, and Joseph Amankwah-Amoah; “The Rise of African Multinationals: Are IB Scholars Paying Sufficient Attention?” by Kevin Ibeh, Ifedapo Adeleye, and Olawale Ajai; “Navigating Institutional Differences in Africa: Moving Beyond the Institutional Voids Perspective” by Goriola Olusina Daniel, Theresa Onaji-Benson, and Charles Mbalyohere; and “Africa–China Cooperation: Potential Shared Interests and Strategic Partnerships?” by Abdoulkadre Ado and Ellis L.C. Osabutey.

This article critically reviews and synthesizes the current state of the literature on culture and international acquisition performance, and sketches out new directions for research that are promising to advance knowledge in the field.The literature on acquisition performance is categorized and discussed along three streams of research: the contingency literature, process-oriented research, and the cultural stream.Particular emphasis is placed in the latter stream to take account of the vast amount of work on this topic.In so doing, this article relates the cultural stream to both the contingency literature and process-related research to gain a more inclusive understanding of culture's consequences for international acquisition performance.The article concludes by offering a research agenda to stimulate new insights and novel work on the variables that determine the success of international acquisitions.

This issue of AIB Insights focuses on the 2018 Peter J. Buckley and Mark Casson AIB Dissertation Award. It includes “Firm’s Economic Reliance to National Markets and the Corporate Provision of Public Goods: Evidence from Corporate Disaster Philanthropy” by Luis Ballesteros; “Country Familiarity: Three Essays on Entrepreneur Foreign Market Selection” by Daniel Clark; “What Drives Tax Avoidance Strategies Adopted by US MNEs: Understanding the Heterogeneity of Approaches to Corporate Tax Planning in US Multinational Enterprises” by Maggie Cooper; “Institutional Voids, Investment Purposes, and Foreign Subsidiaries of Multinational Enterprises” by Yamlaksira Getachew; and “Essays on Nonmarket Strategy” by Jin Hyung Kim.

This editorial article introduces the special issue of AIB Insights focusing on Central and Eastern Europe, which was developed in cooperation with the AIB-CEE chapter. The issue includes “Examining the Contextual Richness of Central and Eastern Europe” by Andreja Jaklič, Matevz Rasković, and Arnold Schuh; “Benefits of Broadening the Analysis of International Competitiveness: The Case of CEE Countries” by Arkadiusz Michał Kowalski; “OFDI and IFDI Policies Adopted by CEE Countries after the Great Recession of 2007-2010” by Marta Götz; and “Do Foreign Subsidiaries Improve Host Country Competitiveness? Insights from Hungary” by Attila Chikán, Erzsébet Czakó, Péter Juhász, and László Reszegi.