IDEAS home Printed from https://ideas.repec.org/a/vrs/jmbace/v29y2021i4p32-56n3.html
   My bibliography  Save this article

Does Psychic Distance Still Matter? Empirical Evidence from Poland

Author

Listed:
  • Fonfara Krzysztof

    (Poznan University of Economics and Business, – Department of International Marketing, Al. Niepodległości 10, 61-875 Poznan, Poland)

  • Hauke-Lopes Aleksandra

    (Poznan University of Economics and Business – Department of International Marketing, Al. Niepodległości 10, 61-875 Poznan, Poland)

  • Soniewicki Marcin

    (Poznan University of Economics and Business – Department of International Marketing, Al. Niepodległości 10, 61-875 Poznan, Poland)

Abstract

Objective: The objective of the article is to fill a research gap regarding the impact of psychic distance on the initiation of relationships by managers from Poland-based firms and to analyze the psychic distance’s influence on firm performance.

Suggested Citation

  • Fonfara Krzysztof & Hauke-Lopes Aleksandra & Soniewicki Marcin, 2021. "Does Psychic Distance Still Matter? Empirical Evidence from Poland," Journal of Management and Business Administration. Central Europe, Sciendo, vol. 29(4), pages 32-56, December.
    • Handle: RePEc:vrs:jmbace:v:29:y:2021:i:4:p:32-56:n:3
    DOI: 10.7206/cemj.2658-0845.59
    as

    Download full text from publisher

    File URL: https://doi.org/10.7206/cemj.2658-0845.59
    Download Restriction: no
    File URL: https://libkey.io/10.7206/cemj.2658-0845.59?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Srilata Zaheer & Margaret Spring Schomaker & Lilach Nachum, 2012. "Distance without direction: Restoring credibility to a much-loved construct," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 43(1), pages 18-27, January.
    2. Dikova, Desislava, 2009. "Performance of foreign subsidiaries: Does psychic distance matter?," International Business Review, Elsevier, vol. 18(1), pages 38-49, February.
    3. Jan Johanson & Jan-Erik Vahlne, 2009. "The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 40(9), pages 1411-1431, December.
    4. Safari, Aswo & Chetty, Sylvie, 2019. "Multilevel psychic distance and its impact on SME internationalization," International Business Review, Elsevier, vol. 28(4), pages 754-765.
    5. Rosalie L Tung & Günter K Stahl, 2018. "The tortuous evolution of the role of culture in IB research: What we know, what we don’t know, and where we are headed," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(9), pages 1167-1189, December.
    6. Nebus, James & Chai, Kah Hin, 2014. "Putting the “psychic” Back in Psychic Distance: Awareness, Perceptions, and Understanding as Dimensions of Psychic Distance," Journal of International Management, Elsevier, vol. 20(1), pages 8-24.
    7. Moalla, Emna & Mayrhofer, Ulrike, 2020. "How does distance affect market entry mode choice? Evidence from French companies," European Management Journal, Elsevier, vol. 38(1), pages 135-145.
    8. Jan-Erik Vahlne & Jan Johanson, 2017. "From internationalization to evolution: The Uppsala model at 40 years," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(9), pages 1087-1102, December.
    9. Ambos, Björn & Håkanson, Lars, 2014. "The Concept of Distance in International Management Research," Journal of International Management, Elsevier, vol. 20(1), pages 1-7.
    10. Paul, Justin & Criado, Alex Rialp, 2020. "The art of writing literature review: What do we know and what do we need to know?," International Business Review, Elsevier, vol. 29(4).
    11. Goudarz Azar & Rian Drogendijk, 2014. "Psychic Distance, Innovation, and Firm Performance," Management International Review, Springer, vol. 54(5), pages 581-613, October.
    12. Jody Evans & Felix T Mavondo, 2002. "Psychic Distance and Organizational Performance: An Empirical Examination of International Retailing Operations," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 33(3), pages 515-532, September.
    13. Ciszewska-Mlinarič, Mariola & Wójcik, Piotr & Obłój, Krzysztof, 2020. "Learning dynamics of rapidly internationalizing venture: Beyond the early stage of international growth in a CEE context," Journal of Business Research, Elsevier, vol. 108(C), pages 450-465.
    14. Bodlaj, Mateja & Vida, Irena, 2018. "Factors underlying cultural and psychic distance in cross-national activities of export managers: Qualitative insights from a CEE country," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 23(3), pages 351-376.
    15. Hutzschenreuter, Thomas & Kleindienst, Ingo & Lange, Sandra, 2014. "Added Psychic Distance Stimuli and MNE Performance," Journal of International Management, Elsevier, vol. 20(1), pages 38-54.
    16. Musso, Fabio & Francioni, Barbara, 2012. "How Do Smaller Firms Select Foreign Markets?," MPRA Paper 49117, University Library of Munich, Germany, revised 02 Nov 2012.
    17. Håkanson, Lars & Ambos, Björn, 2010. "The antecedents of psychic distance," Journal of International Management, Elsevier, vol. 16(3), pages 195-210, September.
    18. Emna Moalla & Ulrike Mayrhofer, 2020. "How does distance affect market entry mode choice? Evidence from French companies," Post-Print hal-02273279, HAL.
    19. Shawna O'Grady & Henry W Lane, 1996. "The Psychic Distance Paradox," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 27(2), pages 309-333, June.
    20. Bartosz Deszczyński & Krzysztof Fonfara & Adam Dymitrowski, 2017. "The role of relationships in initiating the internationalization process in B2B markets," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 5(4), pages 91-109.
    21. Drogendijk, Rian & Slangen, Arjen, 2006. "Hofstede, Schwartz, or managerial perceptions? The effects of different cultural distance measures on establishment mode choices by multinational enterprises," International Business Review, Elsevier, vol. 15(4), pages 361-380, August.
    22. Robbert Maseland & Douglas Dow & Piers Steel, 2018. "The Kogut and Singh national cultural distance index: Time to start using it as a springboard rather than a crutch," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(9), pages 1154-1166, December.
    23. Pla-Barber, José, 2001. "The internalisation of foreign distribution and production activities: New empirical evidence from Spain," International Business Review, Elsevier, vol. 10(4), pages 455-474, August.
    24. Isaac M Dinner & Tarun Kushwaha & Jan-Benedict E M Steenkamp, 2019. "Psychic distance and performance of MNCs during marketing crises," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(3), pages 339-364, April.
    25. Ambos, Bjoern & Leicht-Deobald, Ulrich & Leinemann, Alexander, 2019. "Understanding the formation of psychic distance perceptions: Are country-level or individual-level factors more important?," International Business Review, Elsevier, vol. 28(4), pages 660-671.
    26. Murad A Mithani, 2017. "Liability of foreignness, natural disasters, and corporate philanthropy," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(8), pages 941-963, October.
    27. Ojala, Arto, 2015. "Geographic, cultural, and psychic distance to foreign markets in the context of small and new ventures," International Business Review, Elsevier, vol. 24(5), pages 825-835.
    28. Marcela Tuzová & Martina Toulová & Jakub Straka & Lea Kubíčková, 2015. "Can Uppsala Model Explain the Internationalisation of Central European SMEs?," European Journal of Business Science and Technology, Mendel University in Brno, Faculty of Business and Economics, vol. 1(2), pages 149-164.
    29. Magnani, Giovanna & Zucchella, Antonella & Floriani, Dinorá Eliete, 2018. "The logic behind foreign market selection: Objective distance dimensions vs. strategic objectives and psychic distance," International Business Review, Elsevier, vol. 27(1), pages 1-20.
    30. Dow, Douglas & Ferencikova, Sonia, 2010. "More than just national cultural distance: Testing new distance scales on FDI in Slovakia," International Business Review, Elsevier, vol. 19(1), pages 46-58, February.
    31. Liu, Steven Y.H. & Deligonul, Seyda & Cavusgil, S. Tamer & Chiou, Jyh-Shen, 2021. "Addressing psychic distance and learning in international buyer-seller relationships: The role of firm exploration and asset specificity," Journal of World Business, Elsevier, vol. 56(4).
    32. Nordman, Emilia Rovira & Tolstoy, Daniel, 2014. "Does relationship psychic distance matter for the learning processes of internationalizing SMEs?," International Business Review, Elsevier, vol. 23(1), pages 30-37.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wang, Qiu & Clegg, Jeremy & Mattos, Hanna Gajewska-De & Buckley, Peter J., 2023. "It’s personal: The emotional dimension of psychic distance perception in intercultural knowledge transfer," International Business Review, Elsevier, vol. 32(5).
    2. Drogendijk, Rian & Martín Martín, Oscar, 2015. "Relevant dimensions and contextual weights of distance in international business decisions: Evidence from Spanish and Chinese outward FDI," International Business Review, Elsevier, vol. 24(1), pages 133-147.
    3. Goudarz Azar & Rian Drogendijk, 2019. "Ex-post Performance Implications of Divergence of Managers’ Perceptions of ‘Distance’ From ‘Reality’ in International Business," Management International Review, Springer, vol. 59(1), pages 67-92, February.
    4. Magnani, Giovanna & Zucchella, Antonella & Floriani, Dinorá Eliete, 2018. "The logic behind foreign market selection: Objective distance dimensions vs. strategic objectives and psychic distance," International Business Review, Elsevier, vol. 27(1), pages 1-20.
    5. Jiménez, Alfredo & Salvaj, Erica & Lee, Jeoung Yul, 2018. "Policy risk, distance, and private participation projects in Latin America," Journal of Business Research, Elsevier, vol. 88(C), pages 123-131.
    6. Srivastava, Saurabh & Singh, Shiwangi & Dhir, Sanjay, 2020. "Culture and International business research: A review and research agenda," International Business Review, Elsevier, vol. 29(4).
    7. Bruno F. Abrantes, 2020. "Are Neoclassic Internationalization Models Enduring? A Case-Review of the Uppsala Paradigm," SAGE Open, , vol. 10(2), pages 21582440209, June.
    8. Moalla, Emna & Mayrhofer, Ulrike, 2020. "How does distance affect market entry mode choice? Evidence from French companies," European Management Journal, Elsevier, vol. 38(1), pages 135-145.
    9. Jane W. Lu & Hao Ma & Xuanli Xie, 2022. "Foreignness research in international business: Major streams and future directions," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(3), pages 449-480, April.
    10. Bodlaj, Mateja & Vida, Irena, 2018. "Factors underlying cultural and psychic distance in cross-national activities of export managers: Qualitative insights from a CEE country," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 23(3), pages 351-376.
    11. Sjoerd Beugelsdijk & Björn Ambos & Phillip C Nell, 2018. "Conceptualizing and measuring distance in international business research: Recurring questions and best practice guidelines," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(9), pages 1113-1137, December.
    12. Goudarz Azar & Rian Drogendijk, 2014. "Psychic Distance, Innovation, and Firm Performance," Management International Review, Springer, vol. 54(5), pages 581-613, October.
    13. Ojala, Arto, 2015. "Geographic, cultural, and psychic distance to foreign markets in the context of small and new ventures," International Business Review, Elsevier, vol. 24(5), pages 825-835.
    14. Lazarova, Mila & Peretz, Hilla & Fried, Yitzhak, 2017. "Locals know best? Subsidiary HR autonomy and subsidiary performance," Journal of World Business, Elsevier, vol. 52(1), pages 83-96.
    15. Isaac M Dinner & Tarun Kushwaha & Jan-Benedict E M Steenkamp, 2019. "Psychic distance and performance of MNCs during marketing crises," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(3), pages 339-364, April.
    16. Weber, Clarissa E. & Chahabadi, Dominik & Maurer, Indre, 2020. "Antecedents and performance effect of managerial misperception of institutional differences," Journal of World Business, Elsevier, vol. 55(1).
    17. García-Muiña, Fernando E. & Romero-Martínez, Ana M. & Kabbara, Diala, 2020. "Does religion influence location choice in the hotel industry?," International Business Review, Elsevier, vol. 29(2).
    18. Trąpczyński, Piotr & Halaszovich, Tilo F. & Piaskowska, Dorota, 2020. "The role of perceived institutional distance in foreign ownership level decisions of new MNEs," Journal of Business Research, Elsevier, vol. 108(C), pages 435-449.
    19. Nordman, Emilia Rovira & Tolstoy, Daniel, 2014. "Does relationship psychic distance matter for the learning processes of internationalizing SMEs?," International Business Review, Elsevier, vol. 23(1), pages 30-37.
    20. Nebus, James & Celo, Sokol, 2020. "Cognitive biases in the perceptions of country distance," Journal of International Management, Elsevier, vol. 26(3).

    More about this item

    Keywords

    psychic distance; business relationships; internationalization; company performance; Poland; CEE-EU;
    All these keywords.

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vrs:jmbace:v:29:y:2021:i:4:p:32-56:n:3. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.sciendo.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.