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Are we on the same page?: Justice agreement in international joint ventures

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  • Luo, Yadong
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    Abstract

    This study examines the organizational and personal level conditions under which boundary spanners in an international joint venture (IJV) tend to disagree with each other regarding procedural justice. Nested within the logic of boundary spanning and building on the integrated justice theory and joint venture theory, this study develops an overarching framework explaining organizational- and individual-level factors impacting the level of disagreement. Our analysis of 182 IJVs in a large emerging market suggests that such disagreement increases with objective gap, ownership asymmetry, and environmental uncertainty but decreases with mutual familiarity between cross-cultural partner firms. Disagreement is also reduced when boundary spanners have more experience in managing IJVs and a longer period working together.

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    Bibliographic Info

    Article provided by Elsevier in its journal Journal of World Business.

    Volume (Year): 44 (2009)
    Issue (Month): 4 (October)
    Pages: 383-396

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    Handle: RePEc:eee:worbus:v:44:y:2009:i:4:p:383-396

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    Keywords: Joint venture Cooperation Justice Emerging markets;

    References

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    1. Kaufmann, Jeffrey B. & O'Neill, Hugh M., 2007. "Do culturally distant partners choose different types of joint ventures?," Journal of World Business, Elsevier, vol. 42(4), pages 435-448, December.
    2. Kwok Leung & Peter B Smith & Zhongming Wang & Haifa Sun, 1996. "Job Satisfaction in Joint Venture Hotels in China: An Organizational Justice Analysis," Journal of International Business Studies, Palgrave Macmillan, vol. 27(5), pages 947-962, December.
    3. Levinthal, D.A. & Fichman, M., 1991. "Honeymoons and the Liability of Adolescence : A New Perspective on Duration Dependence in Social Organizational Relationships," GSIA Working Papers 1991-34, Carnegie Mellon University, Tepper School of Business.
    4. Wong, Yui-Tim & Ngo, Hang-Yue & Wong, Chi-Sum, 2006. "Perceived organizational justice, trust, and OCB: A study of Chinese workers in joint ventures and state-owned enterprises," Journal of World Business, Elsevier, vol. 41(4), pages 344-355, December.
    5. Chang-Bum Choi & Paul W Beamish, 2004. "Split management control and international joint venture performance," Journal of International Business Studies, Palgrave Macmillan, vol. 35(3), pages 201-215, May.
    6. Ainuddin, R. Azimah & Beamish, Paul W. & Hulland, John S. & Rouse, Michael J., 2007. "Resource attributes and firm performance in international joint ventures," Journal of World Business, Elsevier, vol. 42(1), pages 47-60, March.
    7. Schminke, Marshall & Cropanzano, Russell & Rupp, Deborah E., 2002. "Organization structure and fairness perceptions: The moderating effects of organizational level," Organizational Behavior and Human Decision Processes, Elsevier, vol. 89(1), pages 881-905, September.
    8. Paul W Beamish & John C Banks, 1987. "Equity Joint Ventures and Theory of the Multinational Enterprise," Journal of International Business Studies, Palgrave Macmillan, vol. 18(2), pages 1-16, June.
    9. Ariño, Africa & de la Torre, Jose & Ring, Peter S., 2001. "Relational quality: Managing trust in corporate alliances," IESE Research Papers D/434, IESE Business School.
    10. Charles Dhanaraj & Marjorie A Lyles & H Kevin Steensma & Laszlo Tihanyi, 2004. "Managing tacit and explicit knowledge transfer in IJVs: the role of relational embeddedness and the impact on performance," Journal of International Business Studies, Palgrave Macmillan, vol. 35(5), pages 428-442, September.
    11. Oded Shenkar & Yoram Zeira, 1992. "Role Conflict and Role Ambiguity of Chief Executive Officers in International Joint Ventures," Journal of International Business Studies, Palgrave Macmillan, vol. 23(1), pages 55-75, March.
    12. Schuler, Randall & Jackson, Susan, 2001. "HR issues and activities in mergers and acquisitions," European Management Journal, Elsevier, vol. 19(3), pages 239-253, June.
    13. Jean-Fran�ois Hennart & Ming Zeng, 2002. "Cross-Cultural Differences and Joint Venture Longevity," Journal of International Business Studies, Palgrave Macmillan, vol. 33(4), pages 699-716, December.
    14. Zheng Zhao & Will Mitchell, 2005. "A Dual Networks Perspective on Inter-Organizational Transfer of R&D Capabilities: International Joint Ventures in the Chinese Automotive Industry," Journal of Management Studies, Wiley Blackwell, vol. 42(1), pages 127-160, 01.
    15. Kwok Leung & Peter B Smith & Zhongming Wang & Haifa Sun, 1996. "Job Satisfaction in Joint Venture Hotels in China: An Organizational Justice Analysis," Journal of International Business Studies, Palgrave Macmillan, vol. 27(4), pages 947-962, December.
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    Cited by:
    1. Gomes, Emanuel & Cohen, Marcel & Mellahi, Kamel, 2011. "When two African cultures collide: A study of interactions between managers in a strategic alliance between two African organizations," Journal of World Business, Elsevier, vol. 46(1), pages 5-12, January.
    2. Chung, Chris Changwha & Lee, Seung-Hyun & Beamish, Paul W. & Southam, Colette & Nam, Daeil (Dale), 2013. "Pitting real options theory against risk diversification theory: International diversification and joint ownership control in economic crisis," Journal of World Business, Elsevier, vol. 48(1), pages 122-136.
    3. Johnson, Julius H. & Arya, Bindu & Mirchandani, Dinesh A., 2013. "Global integration strategies of small and medium multinationals: Evidence from Taiwan," Journal of World Business, Elsevier, vol. 48(1), pages 47-57.

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