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NGOs' influence on MNEs' social development strategies in varying institutional contexts: A transaction cost perspective

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  • Vachani, Sushil
  • Doh, Jonathan P.
  • Teegen, Hildy

Abstract

In this paper, we examine the effect of nongovernmental organizations (NGOs) on the transaction costs multinational enterprises (MNEs) assume in their nonmarket social development strategies. We develop propositions to predict the effect of three important aspects of the institutional context on how NGOs affect MNE transaction costs: institutional development, institutional distance and institutional dynamism. We also propose how these relationships are moderated by the level of civil society development in the countries in which these entities interact. We conclude with suggestions for further research.

Suggested Citation

  • Vachani, Sushil & Doh, Jonathan P. & Teegen, Hildy, 2009. "NGOs' influence on MNEs' social development strategies in varying institutional contexts: A transaction cost perspective," International Business Review, Elsevier, vol. 18(5), pages 446-456, October.
  • Handle: RePEc:eee:iburev:v:18:y:2009:i:5:p:446-456
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    References listed on IDEAS

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    Cited by:

    1. Rana, Mohammad B. & Elo, Maria, 2017. "Transnational Diaspora and Civil Society Actors Driving MNE Internationalisation: The Case of Grameenphone in Bangladesh," Journal of International Management, Elsevier, vol. 23(1), pages 87-106.
    2. repec:eee:worbus:v:53:y:2018:i:1:p:15-26 is not listed on IDEAS
    3. Marano, Valentina & Tashman, Pete, 2012. "MNE/NGO partnerships and the legitimacy of the firm," International Business Review, Elsevier, vol. 21(6), pages 1122-1130.
    4. Spagnoletti, Belinda & O’Callaghan, Terry, 2013. "Let there be light: A multi-actor approach to alleviating energy poverty in Asia," Energy Policy, Elsevier, vol. 63(C), pages 738-746.
    5. Hahn, Rüdiger & Gold, Stefan, 2014. "Resources and governance in “base of the pyramid”-partnerships: Assessing collaborations between businesses and non-business actors," Journal of Business Research, Elsevier, vol. 67(7), pages 1321-1333.
    6. repec:kap:jbuset:v:147:y:2018:i:2:d:10.1007_s10551-015-2952-2 is not listed on IDEAS
    7. Poulis, Konstantinos & Poulis, Efthimios & Plakoyiannaki, Emmanuella, 2013. "The role of context in case study selection: An international business perspective," International Business Review, Elsevier, vol. 22(1), pages 304-314.

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