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Environmental Scanning in Korean Firms: Organizational Isomorphism in Action

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  • Sumantra Ghoshal

    (INSEAD)

Abstract

This paper reports some of the findings of a study on environmental scanning practices in six large Korean firms and compares the results with those of previous studies on scanning conducted in the United States. Such comparisons are made for both the scanning behaviors of individual managers and the structures, roles, and systems of formal environmental scanning units. The overall conclusion that emerges is that while scanning behaviors of American and Korean firms are quite similar, on average, they differ significantly in the extents of inter-organizational variances in the two societies. Scanning practices of U.S. firms are diverse, While those of Korean firms are remarkably similar.Such uniformity in the way Korean firms scan their environments, it is argued, arise from mimetic and normative isomorphism (DiMaggio and Powell 1983) and is an illustration of how inter-organizational influences affect firm behavior. The causes and consequences of such inter-organizational homogeneity have important theoretical, methodological, and practical implications, some of which are briefly discussed in the paper.© 1988 JIBS. Journal of International Business Studies (1988) 19, 69–86

Suggested Citation

  • Sumantra Ghoshal, 1988. "Environmental Scanning in Korean Firms: Organizational Isomorphism in Action," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 19(1), pages 69-86, March.
    • Handle: RePEc:pal:jintbs:v:19:y:1988:i:1:p:69-86
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    Cited by:

    1. Ebrahimi, Bahman P., 2000. "Perceived Strategic Uncertainty and Environmental Scanning Behavior of Hong Kong Chinese Executives," Journal of Business Research, Elsevier, vol. 49(1), pages 67-77, July.
    2. Nicolas Lesca & Marie-Laurence Caron-Fasan, 2005. "La veille vue comme un système cybernétique," Revue Finance Contrôle Stratégie, revues.org, vol. 8(4), pages 93-120, December.
    3. Ulgado, Francis M., 1997. "Location decision-making characteristics of foreign direct investment in the United States," International Business Review, Elsevier, vol. 6(3), pages 271-293, June.
    4. Sethi, Deepak & Guisinger, Stephen, 2002. "Liability of foreignness to competitive advantage: How multinational enterprises cope with the international business environment," Journal of International Management, Elsevier, vol. 8(3), pages 223-240.
    5. Alexy, Oliver & Reitzig, Markus, 2013. "Private–collective innovation, competition, and firms’ counterintuitive appropriation strategies," Research Policy, Elsevier, vol. 42(4), pages 895-913.
    6. Ebrahimi, Bahman P., 2000. "Environmental complexity, importance, variability and scanning behavior of Hong Kong executives," International Business Review, Elsevier, vol. 9(2), pages 253-270, April.

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