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The power of the Buckley and Casson thesis: the ability to manage institutional idiosyncrasies

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Witold J Henisz (The Wharton School, University of Pennsylvania, Philadelphia, PA, USA)

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Abstract

Recent patterns of rapid internationalization in sectors characterized by strong public interest and both government and domestic capital constraints seem, at first, inconsistent with the drivers of internationalization identified by Buckley and Casson (1976) for manufacturing industries in the postwar era. A more microanalytic perspective, however, identifies the ability to manage institutional idiosyncrasies as a firm-level capability akin to research or advertising that can drive internalization across national borders and thereby internationalization. These arguments are examined using evidence from the independent power production sector. Journal of International Business Studies (2003) 34, 173–184. doi:10.1057/palgrave.jibs.8400015

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Article provided by Palgrave Macmillan Journals in its journal Journal of International Business Studies.

Volume (Year): 34 (2003)
Issue (Month): 2 (March)
Pages: 173-184
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Handle: RePEc:pal:jintbs:v:34:y:2003:i:2:p:173-184

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  1. Muller, A.R. & Tulder, R.J.M. van, 2005. "Exploring Patterns of Upstream Internationalization: The Role of Home-region ‘Stickiness’," Research Paper ERS-2005-084-ORG Revision, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus Uni. [Downloadable!]
  2. CASTANER, Xavier & GENC, Mehmet, 2004. "Country Institutional Differences and Multinational Advantage in Banking," Les Cahiers de Recherche 792, HEC Paris. [Downloadable!]
  3. Michael G. Jacobides, 2008. "Playing football in a soccer field: value chain structures, institutional modularity and success in foreign expansion," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 29(2-3), pages 257-276. [Downloadable!]
  4. John Dunning & Sarianna Lundan, 2008. "Institutions and the OLI paradigm of the multinational enterprise," Asia Pacific Journal of Management, Springer, vol. 25(4), pages 573-593, December. [Downloadable!] (restricted)
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