Emerging-market firms’ dynamic capabilities and international performance: The moderating role of institutional development and distance

Gölgeci, Ismail, Assadinia, Shahin, Kuivalainen, Olli and Larimo, Jorma (2019) Emerging-market firms’ dynamic capabilities and international performance: The moderating role of institutional development and distance. International Business Review, 28 (6). ISSN 0969-5931

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Abstract

While extant research has examined the separate influences of dynamic capabilities and institutions on international performance, their interactive role has received limited attention. Therefore, we examine the role of host-country institutional conditions in the relationships between emerging-market firms’ (EMFs) innovation-related dynamic capabilities and their international performance. We use multi-source secondary data and primary data from multiple informants from 254 Turkish international firms to test our framework. The study finds that the linkages between three innovation-related dynamic capabilities (innovativeness, supply-chain agility, and adaptability) and international performance are positively and negatively moderated by institutional development and institutional distance, but that their influences are opposite. These influences demonstrate that host-country institutional conditions shape the link between dynamic capabilities and EMFs’ international performance in a multifaceted and paradoxical fashion.

Item Type:	Article
Faculty \ School:	Faculty of Social Sciences > Norwich Business School
UEA Research Groups:	Faculty of Social Sciences > Research Groups > Marketing
Depositing User:	LivePure Connector
Date Deposited:	01 Jul 2019 07:30
Last Modified:	22 Oct 2022 04:56
URI:	https://ueaeprints.uea.ac.uk/id/eprint/71580
DOI:	10.1016/j.ibusrev.2019.101593

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