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Human resources and international joint venture performance: a system perspective

Author

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  • Yaping Gong

    (Department of Management of Organizations, Hong Kong University of Science and Technology, Kowloon, Hong Kong)

  • Oded Shenkar

    (Fisher College of Business, The Ohio State University, USA)

  • Yadong Luo

    (Department of Management, University of Miami, Coral Gables, FL, USA)

  • Mee-Kau Nyaw

    (Office of the Vice-President, Lingnan University, Hong Kong)

Abstract

Building on general systems theory, we argue that the multi-system nature of the international joint venture (IJV) drives two distinct but inter-related sets of human resource (HR) issues: a set whose core is mainly within the venture subsystem (within-IJV HR set), producing a detrimental impact on venture performance; and a set associated mainly with the relational tension along the interface between the parent and the venture subsystem (relational/interface HR set). The relational set is detrimental at the system level, but actually has a positive performance impact at the venture subsystem level. Hierarchical regression results from a sample of 265 China-based IJVs offer support for the above hypotheses developed around the two sets of HR issues. We discuss implications for IJV theory, research, and practice. Journal of International Business Studies (2005), 36, 505–518. doi:10.1057/palgrave.jibs.8400154

Suggested Citation

  • Yaping Gong & Oded Shenkar & Yadong Luo & Mee-Kau Nyaw, 2005. "Human resources and international joint venture performance: a system perspective," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 36(5), pages 505-518, September.
    • Handle: RePEc:pal:jintbs:v:36:y:2005:i:5:p:505-518
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    Citations

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    Cited by:

    1. Acquaah, Moses, 2009. "International joint venture partner origin, strategic choice, and performance: A comparative analysis in an emerging economy in Africa," Journal of International Management, Elsevier, vol. 15(1), pages 46-60, March.
    2. Zhu, Cherrie Jiuhua & Cooper, Brian K. & Fan, Di & De Cieri, Helen, 2013. "HR practices from the perspective of managers and employees in multinational enterprises in China: Alignment issues and implications," Journal of World Business, Elsevier, vol. 48(2), pages 241-250.
    3. Song, Sangcheol, 2022. "Cultural diversification, human resource-based coordination, and downside risks of multinationality," Journal of Business Research, Elsevier, vol. 142(C), pages 562-571.
    4. Marius G. Gehrisch & Stefan Süß, 2023. "Organizational behavior in international strategic alliances and the relation to performance – a literature review and avenues for future research," Management Review Quarterly, Springer, vol. 73(3), pages 1045-1107, September.
    5. Yvonne McNulty & Helen Cieri, 2011. "Global Mobility in the 21st Century," Management International Review, Springer, vol. 51(6), pages 897-919, December.
    6. Tao Bai & Jialin Du & Angelo M. Solarino, 2018. "Performance of foreign subsidiaries “in” and “from” Asia: A review, synthesis and research agenda," Asia Pacific Journal of Management, Springer, vol. 35(3), pages 607-638, September.
    7. Christoffersen, Jeppe & Plenborg, Thomas & Robson, Matthew J., 2014. "Measures of strategic alliance performance, classified and assessed," International Business Review, Elsevier, vol. 23(3), pages 479-489.
    8. Jing Yang & Frank Tipton & Jiatao Li, 2011. "A review of foreign business management in China," Asia Pacific Journal of Management, Springer, vol. 28(3), pages 627-659, September.
    9. Michael Nippa & Jeffrey J Reuer, 2019. "On the future of international joint venture research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(4), pages 555-597, June.
    10. Taco H. Reus & Daniel Rottig, 2009. "Meta-analyses of International Joint Venture Performance Determinants," Management International Review, Springer, vol. 49(5), pages 607-640, October.
    11. Fariborz Damanpour & Carlos Devece & Chao Chen & Vijay Pothukuchi, 2012. "Organizational culture and partner interaction in the management of international joint ventures in India," Asia Pacific Journal of Management, Springer, vol. 29(2), pages 453-478, June.
    12. Chun-Sheng Joseph Li & Tser-Yieth Chen & Phil Yihsing Yang, 2016. "Local Embeddedness, Market Focus, and Productivity: Evidence of Taiwanese Manufacturing MNE Subsidiaries in China," Growth and Change, Wiley Blackwell, vol. 47(4), pages 596-611, December.
    13. Li, Julie Juan, 2008. "How to retain local senior managers in international joint ventures: The effects of alliance relationship characteristics," Journal of Business Research, Elsevier, vol. 61(9), pages 986-994, September.
    14. Xuan Bai & Jeanine Chang & Julie Juan Li, 2019. "How Do International Joint Ventures Build Legitimacy Effectively in Emerging Economies? CSR, Political Ties, or Both?," Management International Review, Springer, vol. 59(3), pages 387-412, June.

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