All categories

3 years ago

How does regional institutional complexity affect mne internationalization?

1 answer:

3 0

International business research is only beginning to develop theory and evidence highlighting the importance of supranational regional institutions to explain firm internationalization. In this context, we offer new theory and evidence regarding the effect of a region's "institutional complexity" on foreign direct investment decisions by multinational enterprises (MNEs). We define a region's institutional complexity using two components, regional institutional diversity and number of countries. We explore the unique relationships of both components with MNEs' decisions to internationalize into countries within the region. Drawing on semiglobalization and regionalization research and institutional theory, we posit an inverted U-shaped relationship between a region's institutional diversity and MNE internationalization: extremely low or high regional institutional diversity has negative effects on internationalization, but moderate diversity has a positive effect on internationalization. Larger numbers of countries within the region reduces MNE internationalization in a linear fashion. We find support for these predicted relationships in multilevel analyses of 698 Japanese MNEs operating in 49 countries within 9 regions. Regional institutional complexity is both a challenge and an opportunity for MNEs seeking advantages through the aggregation and arbitrage of individual country factors.

You might be interested in

Cynthia works at an engineering firm in Arizona that installs transmission lines and works with the electrical systems of buildi

Natasha2012 [34]

Answer:

Business Market

Explanation:

Cynthia works at an engineering firm in Arizona that installs transmission lines and works with the electrical systems of buildings. She is in charge of strategic planning. Mostly her firm has worked with cities such as Tucson and Phoenix. Once in a while they will receive a major project from the state, such as renovating a government building in the capital. However, Cynthia's firm wants to expand its target market beyond government projects. Under her direction, the marketing team launched an initiative to target more potential clients in different areas. Two areas in which Cynthia would like to expand include colleges and large for-profit businesses. Refer to Scenario 6.1. A market is a group of individuals and/or organizations that have a desire or need for products in a product class and have the ability, willingness, and authority to purchase those products. There are two types of markets. Cynthia's organization targets the.,,,,,

Cynthia's firm is interested in the business markets

A market is a place where buyers and sellers meet to transact goods and services. Business markets are essentially marketplaces corporations/organizations buys raw materials and components for finished products.

In this contest Cynthia's company will be interested in a business market because there are organisations that are in need of what her company produces. They have the capacity and the financial resources to purchase transmission lines and electrical installation services

6 0

4 years ago

Read 2 more answers

some crypto exchanges allow their customers to employ leverage and why is this not a good idea , acording to Fool proof what bes

Airida [17]

Leverage works both ways our cash account is down 10% if bitcoin goes the opposite way, from $30,000 to $27,000. However, if we were using a 10:1 leverage, our margin deposit is now gone. A decrease results in a margin call for our account and a demand for extra funds, failing which we will be sold out (or bought in if you are short). This is why employing leverage crypto is not a good idea.

How leverage on crypto works:

If we want to possess 1 crypto for $30,000, we have two options: we can either purchase it in our cash account for $30,000 or we can purchase it in our margin account with 10x leverage and a $3,000 margin deposit. The remaining balance of the transaction in our margin account is provided by a loan of $27,000.

If BTC increases by $3,000 to $33,000, we will make a 10% profit in our cash account after deducting any expenses.

The margin account, on the other hand, has a profit of 100% less any costs once the loan is repaid and the interest on the loan.

Learn more about crypto here:

brainly.com/question/23856197

#SPJ1

5 0

2 years ago

The journal entry for a sale on account under the periodic inventory system includes: Multiple choice question. a debit to sales

madam [21]

Answer:

a debit to accounts receivable and a credit to sales.

Explanation:

A periodic inventory system can be defined as a method of financial accounting, that typically involves updating informations about an inventory on a periodic basis (at specific intervals) as the sales or purchases are being made by the customers, through the use of either an enterprise management software applications or a digitized point-of-sale equipment.

Under a periodic inventory system, updates of the journal entry for cost of goods sold (sales) would include debiting accounts receivable and crediting sales on a periodic basis.

Additionally, the periodic system of inventory is a function of the cost of goods sold.

5 0

3 years ago

Do you think pricing for Super Bowl advertising is fair?

RideAnS [48]

Answer:

Explanation:

How else are they going to make their money?

4 0

3 years ago

Read 2 more answers

For what kinds of needs do you think a firm would issue securities in the money market versus the capital market? A firm would i

USPshnik [31]

Answer:

Answers are A , B and C

Explanation:

A : Transactions in short term debt instruments which are ranged less than twelve months (for example,commercial paper,treasury bills, govt bonds etc.,) and also marketable securities ( only specific marketable securities which are highly liquid and due within 3 months) takers place in the money market.

B : In order to raise finance in the capital markets, issuers typically require a high Equity securities represent an ownership claim to the assets of a company. A preferred share is a special type of security which has a fixed periodic and hence Capital markets are typically used for fixed assets, which company will use over several years.

C : Money Markets are short term markets, where funds are invested for a shorter time - usually one year or less.

8 0

4 years ago