The liability of foreignness and operational security: evidence from emerging markets

IF 7.1 2区管理学 Q1 MANAGEMENT

International Journal of Operations & Production Management Pub Date : 2024-02-29 DOI:10.1108/ijopm-04-2023-0264

Yuxiao Ye, Yiting Han, Baofeng Huo

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引用次数: 0

Abstract

Purpose

In this research, we explore the adverse impact of foreign ownership on operational security, a critical operational implication of the liability of foreignness (LOF).

Design/methodology/approach

The empirical analysis is based on a multi-country dataset from the World Bank Enterprises Survey, which contains detailed firm-level information from over 8,902 firms in 82 emerging market countries. We perform a series of robustness checks to further confirm our findings.

Findings

We find that a high ratio of foreign ownership is associated with an increased likelihood of security breaches and higher security costs. Our results also indicate that high levels of host countries’ institutional quality and firms’ local embeddedness can mitigate such vulnerability in operational security.

Originality/value

This study is one of the first to uncover the critical operational implication of the LOF, indicating that a high ratio of foreign ownership exposes firms to operational security challenges.

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异国情调与运营安全的责任：新兴市场的证据

目的在本研究中，我们探讨了外资所有权对运营安全的不利影响，这是外资责任（LOF）的一个重要运营影响。我们进行了一系列稳健性检验，以进一步证实我们的研究结果。研究结果我们发现，外资持股比例高与安全漏洞可能性增加和安全成本提高相关。我们的研究结果还表明，东道国高水平的制度质量和企业的本地嵌入性可以缓解运营安全方面的这种脆弱性。原创性/价值本研究是首次揭示 LOF 的关键运营影响的研究之一，表明高比例的外资所有权会使企业面临运营安全挑战。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

International Journal of Operations & Production Management MANAGEMENT-

CiteScore

13.30

自引率

17.20%

发文量

期刊介绍： The mission of the International Journal of Operations & Production Management (IJOPM) is to publish cutting-edge, innovative research with the potential to significantly advance the field of Operations and Supply Chain Management, both in theory and practice. Drawing on experiences from manufacturing and service sectors, in both private and public contexts, the journal has earned widespread respect in this complex and increasingly vital area of business management. Methodologically, IJOPM encompasses a broad spectrum of empirically-based inquiry using suitable research frameworks, as long as they offer generic insights of substantial value to operations and supply chain management. While the journal does not categorically exclude specific empirical methodologies, it does not accept purely mathematical modeling pieces. Regardless of the chosen mode of inquiry or methods employed, the key criteria are appropriateness of methodology, clarity in the study's execution, and rigor in the application of methods. It's important to note that any contribution should explicitly contribute to theory. The journal actively encourages the use of mixed methods where appropriate and valuable for generating research insights.