Immigrant social networks and foreign entry: Australia and New Zealand firms in the European Union and Greater China
AbstractBased on social networking and ethnic networking theories, this paper presents a theoretical framework that hypothesizes the linkages between immigrant social networks and foreign market entry (FME) strategies for firms operating in the European Union (EU) and Greater China (GC) region. “Immigrant effect” (IE) is used as a proxy for immigrant social networks. IE refers to firms that are owned and/or hired immigrants in key decision-making positions to manage and/or market their products/services in the immigrant's country of origin (COO). The findings of this study reveal that immigrants do play a pivotal role in affecting the choice of FME mode into their respective COO in both EU and GC regions. As such, firms could employ a standardized IE–FME framework across the EU and GC regions. However, the antecedents for choosing an IE are different for both regions, thus suggesting that a different antecedent-IE framework for the EU and the GC regions. The results suggest that both standardized and adapted approaches should be considered when formulating the antecedent-IE–FME framework for the EU and GC regions. The findings of this study has theoretical implications for research pertaining to social network/ethnic network and FME, standardization/adaptation as well as practical implications for firms that seek to use IE in transacting business in the immigrant's COO.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal International Business Review.
Volume (Year): 22 (2013)
Issue (Month): 1 ()
Contact details of provider:
Web page: http://www.elsevier.com/wps/find/journaldescription.cws_home/133/description#description
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lianxi Zhou & Wei-ping Wu & Xueming Luo, 2007. "Internationalization and the performance of born-global SMEs: the mediating role of social networks," Journal of International Business Studies, Palgrave Macmillan, vol. 38(4), pages 673-690, July.
- Luis Filipe Lages & Sandy D Jap & David A Griffith, 2008. "The role of past performance in export ventures: a short-term reactive approach," Journal of International Business Studies, Palgrave Macmillan, vol. 39(2), pages 304-325, March.
- Chung, Henry F.L. & Rose, Ellen & Huang, Pei-how, 2012. "Linking international adaptation strategy, immigrant effect, and performance: The case of home–host and cross-market scenario," International Business Review, Elsevier, vol. 21(1), pages 40-58.
- Rosalie Tung & Henry Chung, 2010. "Diaspora and trade facilitation: The case of ethnic Chinese in Australia," Asia Pacific Journal of Management, Springer, vol. 27(3), pages 371-392, September.
- Desir�e Blankenburg Holm & Kent Eriksson & Jan Johanson, 1996. "Business Networks and Cooperation in International Business Relationships," Journal of International Business Studies, Palgrave Macmillan, vol. 27(5), pages 1033-1053, December.
- Gould, David M, 1994. "Immigrant Links to the Home Country: Empirical Implications for U.S. Bilateral Trade Flows," The Review of Economics and Statistics, MIT Press, vol. 76(2), pages 302-16, May.
- Igor Filatotchev & Roger Strange & Jenifer Piesse & Yung-Chih Lien, 2007. "FDI by firms from newly industrialised economies in emerging markets: corporate governance, entry mode and location," Journal of International Business Studies, Palgrave Macmillan, vol. 38(4), pages 556-572, July.
- Jan Johanson & Jan-Erik Vahlne, 1977. "The Internationalization Process of the Firm—A Model of Knowledge Development and Increasing Foreign Market Commitments," Journal of International Business Studies, Palgrave Macmillan, vol. 8(1), pages 23-32, March.
- Chung, Henry Fuan-Lin, 2004. "An empirical investigation of immigrant effects: the experience of firms operating in the emerging markets," International Business Review, Elsevier, vol. 13(6), pages 705-728, December.
- Erin Anderson & Hubert Gatignon, 1986. "Modes of Foreign Entry: A Transaction Cost Analysis and Propositions," Journal of International Business Studies, Palgrave Macmillan, vol. 17(3), pages 1-26, September.
- Björkman, Ingmar & Kock, Sören, 1995. "Social relationships and business networks: The case of Western companies in China," International Business Review, Elsevier, vol. 4(4), pages 519-535.
- Rauch, James E., 1999.
"Networks versus markets in international trade,"
Journal of International Economics,
Elsevier, vol. 48(1), pages 7-35, June.
- Shawna O'Grady & Henry W Lane, 1996. "The Psychic Distance Paradox," Journal of International Business Studies, Palgrave Macmillan, vol. 27(2), pages 309-333, June.
- Yadong Luo & Mike W Peng, 1999. "Learning to Compete in a Transition Economy: Experience, Environment, and Performance," Journal of International Business Studies, Palgrave Macmillan, vol. 30(2), pages 269-295, June.
- Desir�e Blankenburg Holm & Kent Eriksson & Jan Johanson, 1996. "Business Networks and Cooperation in International Business Relationships," Journal of International Business Studies, Palgrave Macmillan, vol. 27(4), pages 1033-1053, December.
- Chetty, Sylvie & Blankenburg Holm, Desiree, 2000. "Internationalisation of small to medium-sized manufacturing firms: a network approach," International Business Review, Elsevier, vol. 9(1), pages 77-93, February.
- Lloyd L. Wong, 2002. "The emergence of small transnational enterprise in Vancouver: the case of Chinese entrepreneur immigrants," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 26(3), pages 508-530, 09.
- Phillips McDougall, Patricia & Shane, Scott & Oviatt, Benjamin M., 1994. "Explaining the formation of international new ventures: The limits of theories from international business research," Journal of Business Venturing, Elsevier, vol. 9(6), pages 469-487, November.
- Gao, Ting, 2003. "Ethnic Chinese networks and international investment: evidence from inward FDI in China," Journal of Asian Economics, Elsevier, vol. 14(4), pages 611-629, August.
- Homin Chen & Tain-Jy Chen, 1998. "Network Linkages and Location Choice in Foreign Direct Investment," Journal of International Business Studies, Palgrave Macmillan, vol. 29(3), pages 445-467, September.
- Jinn-Yuh Hsu & AnnaLee Saxenian, 2000. "The limits of guanxi capitalism: transnational collaboration between Taiwan and the USA," Environment and Planning A, Pion Ltd, London, vol. 32(11), pages 1991-2005, November.
- Annalee Saxenian, 2002. "Transnational Communities and the Evolution of Global Production Networks: The Cases of Taiwan, China and India," Industry and Innovation, Taylor & Francis Journals, vol. 9(3), pages 183-202.
- AnnaLee Saxenian, 2002. "Silicon Valleyâ€™s New Immigrant High-Growth Entrepreneurs," Economic Development Quarterly, , vol. 16(1), pages 20-31, February.
- Julie Juan Li & Kevin Zheng Zhou & Alan T Shao, 2009. "Competitive position, managerial ties, and profitability of foreign firms in China: an interactive perspective," Journal of International Business Studies, Palgrave Macmillan, vol. 40(2), pages 339-352, February.
- James E. Rauch & Vitor Trindade, 1999.
"Ethnic Chinese Networks in International Trade,"
NBER Working Papers
7189, National Bureau of Economic Research, Inc.
- Saxenian, AnnaLee & Hsu, Jinn-Yuh, 2001. "The Silicon Valley-Hsinchu Connection: Technical Communities and Industrial Upgrading," Industrial and Corporate Change, Oxford University Press, vol. 10(4), pages 893-920, December.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).
If references are entirely missing, you can add them using this form.