Global Strategy Journal最新文献

{"title":"The moderating role of polycentric institutions in the relationship between effectuation/causation logics and corporate entrepreneur's decision-making processes","authors":"Ivan Garrido,&nbsp;Sílvio Vasconcellos,&nbsp;Kadígia Faccin,&nbsp;Jefferson Marlon Monticelli,&nbsp;Caroline Carpenedo","doi":"10.1002/gsj.1419","DOIUrl":"10.1002/gsj.1419","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research Summary</h3>\u0000 \u0000 <p>This study analyzes how firms respond to institutional polycentrism, a governance system that emerges from multiple and independent centers of power that interact to determine and regulate an evolutionary overarching comprehensive social system of rules. We propose that institutional polycentrism moderates corporate entrepreneurs' decision-making processes. We conducted a case study at a multinational corporation over four decades of internationalization using process data analysis. We found that institutional polycentrism determines a calibration between causation and effectuation logics. The study offers two contributions: (a) expanding the explanatory power of institutional polycentrism by understanding how it moderates the corporate entrepreneur's decision-making process in polycentric institutional contexts and (2) proposing a relatively novel contingency dimension of the effectuation versus causation and establishing new boundary conditions of the effectuation versus causation.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial summary</h3>\u0000 \u0000 <p>This study analyzes the decision-making process of corporate entrepreneurs of a multinational steel producer throughout its internationalization trajectory. The article highlights that decisions based on rules established with past experience are unsuitable in contexts characterized by a multiplicity of foreign institutional forces. The joint interaction of these forces on the firm induces corporate entrepreneurs to respond to such pressures under a new, more flexible, and experimental approach. Finally, the results indicate that institutional multiplicity generates a kind of calibration between these decision-making approaches, contributing to innovation processes in the company.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-08-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1419","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46677656","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Speed of institutional change and subsidiary performance: The moderating impact of home and host country learning","authors":"Lucio Fuentelsaz,&nbsp;Elisabet Garrido,&nbsp;Minerva González","doi":"10.1002/gsj.1416","DOIUrl":"10.1002/gsj.1416","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research summary</h3>\u0000 \u0000 <p>This research examines the role played by home and host country learning in the relationship between the speed of institutional change and subsidiary performance. We posit a negative relationship between the speed of institutional change in the host country and subsidiary performance. We also argue that this relationship is contingent on the institutional learning that parent multinationals (MNEs) have previously attained in other countries. By integrating the dynamic institution-based view and the organizational learning literature, our analysis highlights the key role that abilities and skills developed by MNEs to face rapid institutional changes have on the host countries in which they operate. We test our theoretical model using a sample of 342 subsidiaries from 68 MNEs operating in emerging and developed economies during 2001–2017.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial summary</h3>\u0000 \u0000 <p>MNEs regularly face institutional changes in both home and host countries. However, institutions evolve at different speeds. According to previous studies, the performance of subsidiaries is threatened when institutional changes happen quickly. MNEs need to develop the ability to help their subsidiaries face changes immediately and with no loss of performance. Our research shows that MNEs can learn from prior rapid institutional changes in the home and host countries and transfer this knowledge to their subsidiaries so that they can be more equipped to deal with it in the future.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-08-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1416","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46905395","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"The impact of institutions on the entrepreneurial orientation-performance relationship","authors":"William Wales,&nbsp;Galina Shirokova,&nbsp;Tatiana Beliaeva,&nbsp;Evelyn Micelotta,&nbsp;Louis Marino","doi":"10.1002/gsj.1418","DOIUrl":"10.1002/gsj.1418","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research summary</h3>\u0000 \u0000 <p>In this study, we theorize how regulatory, normative, and cognitive institutions moderate the entrepreneurial orientation (EO)-performance relationship. We test our hypotheses using data from entrepreneurial ventures in 31 countries. In countries with well-developed legal and financial institutions and where entrepreneurship is normatively supported, entrepreneurs achieve higher returns from an entrepreneurial strategic posture. Institutions positively moderate this relationship through increased resource access, a critical element for innovative entrepreneurial strategies. The effect of institutions is further moderated by the stage of economic development. We advance our understanding of EO by exploring country-level institutional boundary conditions to its value and extend institutional theory through evidence of its moderating effects and interactions with economic development.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial summary</h3>\u0000 \u0000 <p>A country's institutional environment influences the extent to which firms benefit from being entrepreneurially orientated (EO). Based on data from 31 countries, we show that entrepreneurs receive higher returns from an entrepreneurial strategic posture in countries where institutions—legal and financial systems, entrepreneurship education, and cultural support for entrepreneurship—are more developed. Well-developed institutions increase returns from EO indirectly by enhancing the ability of firms to access the resources needed to experiment and generate value from their strategic orientation. The influence of institutions on the EO-performance relationship further depends upon the stage of economic development of a country, with institutional impact being more pronounced within “efficiency-driven” economies compared to more developed “innovation-driven” economies.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-08-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1418","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47262858","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"The dark side of informal institutions: How crime, corruption, and informality influence foreign firms' commitment","authors":"Juan Bu,&nbsp;Yadong Luo,&nbsp;Huan Zhang","doi":"10.1002/gsj.1417","DOIUrl":"10.1002/gsj.1417","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research Summary</h3>\u0000 \u0000 <p>This study focuses on three prevalent societal issues—crime, corruption, and informal sector—that constitute the dark side of informal institutions in developing countries. We argue that the dark side of informal institutions has the potential to impede foreign firms' desire and ability to commit to the host countries. The effects of these three forms on foreign firms differ depending on the type of local commitment. Analyzing the World Bank data of foreign firms in 36 developing countries, we find that (a) host country corruption is stronger in deterring foreign firms' long-term investment, (b) host country informality is stronger in obstructing foreign firms' innovation output, and (c) host country crime is stronger in undermining foreign firms' production capacity utilization. Our analysis also shows that host country's efficient regulatory institutions and foreign firms' non-market-seeking motive are two important countervailing forces that attenuate the negative effects of the dark side of informal institutions.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial Summary</h3>\u0000 \u0000 <p>Foreign firms investing in developing countries need to deal with some illegal yet widespread practices in these countries. Specifically, crime, corruption, and informal sector represent the most prevalent and important societal issues that exert informal constraints on foreign firms. This study examines how the negative informal institutions influence foreign firms. Our cross-country analysis using the World Bank data shows that, among the three negative informal institutions, corruption has a stronger effect in deterring foreign firms' investment commitment, informal sector has a stronger effect in obstructing foreign firms' innovation commitment, and crime has a stronger effect in undermining foreign firms' production commitment. Moreover, these negative effects will be alleviated when the developing country has efficient regulatory institutions or when the foreign firm has a low market dependence on the developing country. Our findings provide implications for managers of multinational enterprises (MNEs) investing in developing countries and offer suggestions for policymakers on how to improve the institutional environment for foreign investment.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-08-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49457686","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Founder and professional CEOs' performance differences across institutions: A meta-analytic study","authors":"Aten Zaandam,&nbsp;Dinesh Hasija,&nbsp;Alan E. Ellstrand,&nbsp;Michael E. Cummings","doi":"10.1002/gsj.1414","DOIUrl":"10.1002/gsj.1414","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research Summary</h3>\u0000 \u0000 <p>We examine the effect of institutions on performance differences between founder and professional CEOs. We do so by integrating an institutional perspective with findings from the literatures on CEOs' managerial discretion and cognition. Specifically, we theorize that in informal institutional environments characterized by high power distance and individualism and in formal institutional contexts characterized by low regulatory and political quality, differences in cognitive styles lead founders to enjoy performance advantages over professional CEOs. The results of our meta-analysis of 117 studies across 22 countries conducted between 1987 and 2020 support our predictions. We conclude by discussing the implications for research and policy regarding institutional development and the governance of entrepreneurial firms.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial Summary</h3>\u0000 \u0000 <p>We develop a framework to examine the influence of the institutional environment on performance differences between founder and professional CEOs. Our results show that founder CEOs experience performance advantages across high discretionary institutional settings when compared with professional CEOs. Boards may use this information to guide their recommendations or decisions related to founder CEO succession or retention. Moreover, firms pursuing international strategies such as joint ventures may also use this information as one of their search criteria while shortlisting their potential prospect partners.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1414","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45553353","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"The consequences of short-term institutional change in the rule of law for entrepreneurship","authors":"Tomasz Mickiewicz,&nbsp;Ute Stephan,&nbsp;Muntasir Shami","doi":"10.1002/gsj.1413","DOIUrl":"10.1002/gsj.1413","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research Summary</h3>\u0000 \u0000 <p>Past research views institutions as stable and slow to change and uses institutional differences to explain cross-national variation in entrepreneurship. This article introduces a new perspective to institutional theory, that of short-term institutional change. Integrating insights from cognitive science allows us to theorize not just about the significance of short-term institutional change but also about why and how deterioration versus improvements in institutions have distinct effects. We test how short-term institutional change impacts entrepreneurship in a cross-country multilevel study. We find that short-term change in the rule of law affects entrepreneurial entry and that institutional deterioration weighs heavier than institutional improvement. We argue and find that changes in the rule of law are more consequential for entrepreneurship compared to changes in business regulations.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial Summary</h3>\u0000 \u0000 <p>It is known that the quality of institutions affects individuals' decisions to pursue entrepreneurship. Yet, we newly investigate effects of year-to-year <i>changes</i> in national institutions. Not only changes in business regulations matter, but also changes in more fundamental institutional aspects, especially in the rule of law. We find that institutional change has an impact because, on its basis, potential entrepreneurs form expectations about the future and therefore about the riskiness of their investment. Deteriorations compared to improvements in the rule of law are more consequential for entrepreneurship, consistent with the fact that losses loom larger than gains in human decisions.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-06-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1413","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45641515","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Location capabilities, institutional distance, and start-up survival","authors":"Carla V. Bustamante,&nbsp;Sharon F. Matusik,&nbsp;Jose Miguel Benavente","doi":"10.1002/gsj.1407","DOIUrl":"10.1002/gsj.1407","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research summary</h3>\u0000 \u0000 <p>Location considerations play a key role in shaping venture performance. Using data from the largest accelerator in the world, we examine the effects of institutional distance and location capabilities on international start-ups' survival rates. We find that international start-ups' survival is shaped by whether it internationalizes to a country with stronger or weaker institutions than those in its home country. Further, the interaction between the directionality of institutional distance and location capabilities is important such that ventures that develop location capabilities in contexts of positive institutional distance experience greater survival rates. Through this study, we make an important theoretical contribution at the intersection of institutional and resource based theory by developing more granular knowledge about institutional dynamics across home and host countries.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial summary</h3>\u0000 \u0000 <p>Internationalizing into emerging countries poses immense challenges to start-ups. This study explores the factors that shape the survival rates of 268 start-ups that have internationalized in the context of a business-accelerator program. We find that their ability to survive is shaped by the difference between home and host-country institutions, in addition to start-up's location capabilities to engage with local resources in the host country. Developing location capabilities in the host country does not directly lead to increased survival rates. The value of developing location capabilities is affected by whether the venture is operating in a country with stronger or weaker institutions than those in start-ups' home country; ventures that develop location capabilities in contexts of positive institutional distance experience greater survival rates.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-06-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1407","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49030495","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Disentangling the relationship between internationalization, incremental and radical innovation, and firm performance","authors":"Joan Freixanet,&nbsp;Josep Rialp","doi":"10.1002/gsj.1412","DOIUrl":"10.1002/gsj.1412","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research Summary</h3>\u0000 \u0000 <p>This study examines the impact of firm internationalization on incremental and radical product innovation, and the effects of these innovation facets on sales growth. We use a sample of 1,064 Spanish manufacturers over the period 2008–2014. We find a positive relationship between higher international scope and greater ex-post radical innovation output, and an inverted U-shape relationship between export intensity and both innovation forms. We also find a positive relationship between incremental innovation and sales growth for performance leaders, and negative for performance laggards. Conversely, radical innovation boosts performance laggards' sales growth, but reduces that of performance leaders. The study supports and qualifies the learning-by-exporting effect, by identifying some firm-specific factors that shape the relationship between internationalization, innovation, and firm performance.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial Summary</h3>\u0000 \u0000 <p>In this study, we examine the effect of a more intense and more geographically spread out international expansion in a firm's incremental and radical innovation performance. We argue that more internationalized firms may benefit from new knowledge and learning, which they may leverage to increase their incremental and radical product innovations. In turn, we posit that incremental product innovation may be beneficial for performance leaders, but useless for a turnaround of performance laggards. Conversely, radical innovation may be useful for performance laggards, but may disrupt the current position of performance leaders and lead to reduced sales growth. These results point to the importance for exporters to use their new knowledge and capabilities to develop innovation forms that are consistent with their position in the market.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-06-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1412","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46503060","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"International connectivity and the location of multinational enterprises' knowledge-intensive activities: Evidence from US metropolitan areas","authors":"Davide Castellani,&nbsp;Katiuscia Lavoratori,&nbsp;Alessandra Perri,&nbsp;Vittoria G. Scalera","doi":"10.1002/gsj.1404","DOIUrl":"10.1002/gsj.1404","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research summary</h3>\u0000 \u0000 <p>International connectivity is a multidimensional construct that plays a pivotal role in attracting the activities of multinational enterprises (MNEs) by facilitating intra-firm coordination and access to external resources. We conceptualize how the different dimensions of international connectivity determine the location of MNEs' knowledge-intensive activities, with a focus on Research and Development (R&amp;D) laboratories and Headquarter units (HQ). By analyzing 3,101 greenfield investments of MNEs in US Metropolitan Statistical Areas, we show that R&amp;D activities are attracted toward areas connected to the rest of the world by international networks of inventors. Moreover, we find that infrastructures which ensure the mobility of people across borders, and greater connectivity through advanced producer services are key location factors for HQ activities.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial summary</h3>\u0000 \u0000 <p>The choice of where multinational enterprises (MNEs) locate their knowledge-intensive activities is a crucial decision for managers, with important implications for policymakers. It has become increasingly clear that MNEs value the extent to which individual locations are connected globally. We study this international connectivity and highlight that it is a multidimensional construct spanning knowledge, infrastructure, and producer service networks. This study shows that not every dimension of international connectivity is equally important for MNEs in locating different knowledge-intensive activities. Research and Development laboratories are attracted toward areas connected worldwide by international networks of inventors. Moreover, headquarter units are more likely to be established in locations featuring greater connectivity through the mobility of people and advanced producer services.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-05-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1404","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42134399","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Financial hedging and operational flexibility as instruments to manage exchange-rate uncertainty in multinational corporations","authors":"Jan Hendrik Fisch,&nbsp;Harald Puhr","doi":"10.1002/gsj.1406","DOIUrl":"10.1002/gsj.1406","url":null,"abstract":"<div>\u0000 \u0000 \u0000 <section>\u0000 \u0000 <h3> Research Summary</h3>\u0000 \u0000 <p>Literature that compares the advantages of financial hedging and operational flexibility as instruments to manage exchange-rate uncertainty presents inconsistent results. This study addresses such inconsistencies in two ways. First, it clarifies that the effects of financial hedging and operational flexibility are asymmetric. Financial hedging helps an MNC to reduce a negative effect of exchange-rate uncertainty on firm value, whereas operational flexibility allows an MNC to enhance a positive effect of exchange-rate uncertainty on firm value. Second, the study demonstrates that these effects are contextual to the MNC's subsidiary network. Depending on whether exchange-rate correlation in the subsidiary network is positive or negative, either financial hedging or operational flexibility is more effective than the other. Regressions on a sample of U.S. manufacturing firms support the predictions.</p>\u0000 </section>\u0000 \u0000 <section>\u0000 \u0000 <h3> Managerial Summary</h3>\u0000 \u0000 <p>Multinational corporations face exchange-rate fluctuations in their subsidiary networks as a source of substantial uncertainty. MNCs can manage this uncertainty using financial hedging and operational flexibility. However, the literature is inconclusive on whether MNCs can use both instruments in equal measure. This study clarifies that financial hedging allows MNCs to limit negative consequences of exchange-rate uncertainty on their stock-market valuations. Operational flexibility, by contrast, gives MNCs the opportunity to exploit exchange-rate uncertainty and thereby to enhance their firm value. In addition, the study proposes that the effectiveness of financial hedging and operational flexibility depends on the individual MNC's subsidiary network configuration. Based on these findings, MNCs can identify the effective instrument for managing exchange-rate uncertainty.</p>\u0000 </section>\u0000 </div>","PeriodicalId":47563,"journal":{"name":"Global Strategy Journal","volume":null,"pages":null},"PeriodicalIF":7.6,"publicationDate":"2021-05-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1002/gsj.1406","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44468589","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}