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Full-Text Articles in Business

Natural Disasters And Corporate Philanthropy: A Double Movement Perspective, Guoguang Wan, Heli Wang, Xuesong Geng, Kenneth G. Huang Feb 2023

Natural Disasters And Corporate Philanthropy: A Double Movement Perspective, Guoguang Wan, Heli Wang, Xuesong Geng, Kenneth G. Huang

Research Collection Lee Kong Chian School Of Business

This study examines Chinese corporations’ responses to a sudden natural disaster in terms of their philanthropic donations. We apply Polanyi’s double movement perspective to argue that rapid market expansion in an emerging economy causes social problems such as large-income disparities and environmental degradation. This calls forth counterforces advocating social responsibility and sustainability. Such countermovements can be strengthened by a major disaster, especially in the domain of corporate philanthropy. The resulting increase in corporate philanthropy persists long after the disaster, especially for those firms with large intra-firm pay disparities, operating in socially contested industries and located in regions with more social …


Following Their Predecessors' Journey? A Review Of Emne Studies And Avenues For Interdisciplinary Inquiry, Peter J. Buckley, Lin Cui, Liang Chen, Yi Li, Yoona Choi Feb 2023

Following Their Predecessors' Journey? A Review Of Emne Studies And Avenues For Interdisciplinary Inquiry, Peter J. Buckley, Lin Cui, Liang Chen, Yi Li, Yoona Choi

Research Collection Lee Kong Chian School Of Business

In this review article we take stock of international business (IB) research on emerging economy multinational enterprises (EMNEs) over the past three decades. Our review covers 690 articles published in 64 high-impact peer-reviewed journals between 1990 and 2021 (inclusive). We first present bibliometric findings on some key patterns of this vast body of scholarly work. We then conduct content analysis to critically assess this literature and provide a multilevel synthesis of the existing knowledge base. To do so we propose a theoretical framework that highlights three dimensions - micro-foundations, organizational characteristics, and institutional environment - by which the distinction between …


Boots On The Ground: Foreign Direct Investment By Born Digital Firms, Maximilian Stalkkamp, Liang Chen, Sali Li Feb 2023

Boots On The Ground: Foreign Direct Investment By Born Digital Firms, Maximilian Stalkkamp, Liang Chen, Sali Li

Research Collection Lee Kong Chian School Of Business

Research Summary: Recent global strategy research on born digital firms (i.e., firms with digital products distributed through digital channels) has paid only limited attention to the role of foreign direct investment (FDI) in the internationalization of such firms. We argue that exploiting digital technologies requires a range of complementary, non-digital resources. Born digitals typically deploy FDI when large cultural and geographic distances limit the fungibility and scalability of such complementary resources, leading to a positive relationship between distance (cultural and geographic) and FDI. The positive distance effect is moderated by business model type. Using a sample of US-based born digital …


Ecosystem Social Responsibility In International Digital Commerce, Jingtao Yi, Jiatao Li, Liang Chen Feb 2023

Ecosystem Social Responsibility In International Digital Commerce, Jingtao Yi, Jiatao Li, Liang Chen

Research Collection Lee Kong Chian School Of Business

Despite the surge of interest in digital globalization, its social dimensions have received far less attention than deserved. The lack of conversation between the two prominent areas of IB research, digitalization, and corporate social responsibility, presents a valuable opportunity for extending the agenda Ioannou and Serafeim (J Int Bus Stud 43(9):834-864, 2012) pioneered a decade earlier. We briefly depict the organizational differences between multinational enterprises (MNEs) and multinational platforms (MNPs), followed by a closer look at how social responsibility of digital platforms might depart from our conventional understanding derived from MNEs. We then propose the notion of ecosystem social responsibility …


Leading Business Schools, Julie Davies, Howard Thomas, Eric Cornuel, Rolf D. Cremer Jan 2023

Leading Business Schools, Julie Davies, Howard Thomas, Eric Cornuel, Rolf D. Cremer

Research Collection Lee Kong Chian School Of Business

Business schools are critical players in higher education, educating current and future leaders to make a difference in the world. Yet we know surprisingly little about the leaders of business schools. Leading a Business School demystifies this complex and dynamic role, offering international insights into deans’ dilemmas in different contexts and situations. It highlights the importance of deans creating challenging and supportive learning cultures to enhance business and management education, organizations and society more broadly.Written by renowned experts on the role of the dean, Julie Davies, Howard Thomas, Eric Cornuel and Rolf D. Cremer, the book traces the historical evolution …


Sustainability Impact Assessment Of New Ventures: An Emerging Field Of Research, Klaus Fichter, Florian Ludeke-Freund, Stefan Schaltegger, Simon J.D. Schillebeeckx Jan 2023

Sustainability Impact Assessment Of New Ventures: An Emerging Field Of Research, Klaus Fichter, Florian Ludeke-Freund, Stefan Schaltegger, Simon J.D. Schillebeeckx

Research Collection Lee Kong Chian School Of Business

Entrepreneurs and start-ups are key actors in implementing environmental innovation and accelerating sustainability transitions. Thus, analyzing as well as predicting the impact of entrepreneurial ventures is central to management and entrepreneurship research. The sustainability performance, value and impact of incumbent firms and their products and services has been a key topic in business-related sustainability research for many years. However, assessing the sustainability effects of new ventures such as start-ups is a neglected area in the research literature. This article therefore provides an overview, including key definitions, a new conceptual framework, and notions that can help guide and inspire a future …


Putting Manufacturing On The Offensive, Arnoud De Meyer, Kasra Ferdows, Ann Vereecke Jan 2023

Putting Manufacturing On The Offensive, Arnoud De Meyer, Kasra Ferdows, Ann Vereecke

Research Collection Lee Kong Chian School Of Business

The path for elevating the role of manufacturing in the company strategy in the last few decades has been rather clear: Improve the basic production capabilities-typically quality, reliability, lead times, and cost efficiency of production processes. Leading Japanese companies, like Toyota, showed the way. But as many have heeded the advice and followed suit, this approach has become essentially a defensive strategy; you must do it not to fall behind. Has manufacturing lost its potential to create capabilities on which a company's strategy can rest? Our answer is absolutely not. In fact, unlike before, manufacturing has multiple paths for creating …


Shaping Ott Movie Consumption Through Immersive Cinema: A Qualitative Investigation Of Consumer Perspectives, Avirupa Basu, Pratap C. Mandal, Ashutosh. B. Murti, Tamas Makany, Tamas Makany Dec 2022

Shaping Ott Movie Consumption Through Immersive Cinema: A Qualitative Investigation Of Consumer Perspectives, Avirupa Basu, Pratap C. Mandal, Ashutosh. B. Murti, Tamas Makany, Tamas Makany

Research Collection Lee Kong Chian School Of Business

Due to the COVID-19 pandemic, the entertainment sector saw a worldwide disruption with restrictions on outdoor activities. Consequently, consumers turned towards video and music streaming services for their entertainment consumption. Several film studios have taken the digital release route on over-the-top (OTT) sites to avoid revenue losses and indefinite delays. However, these non-theatrical OTT film releases need to experiment with different strategies to bring the experiences to par with theatrical ones. This exploratory study aims to provide insights on whether Immersive Cinema can be used to imitate the physical world through digital simulation on OTT platforms to gain credibility in …


Governance And Design Of Digital Platforms: A Review And Future Research Directions On A Meta-Organization, Liang Chen, Tony W. Tong, Shaoqin Tang, Nianchen Han Dec 2022

Governance And Design Of Digital Platforms: A Review And Future Research Directions On A Meta-Organization, Liang Chen, Tony W. Tong, Shaoqin Tang, Nianchen Han

Research Collection Lee Kong Chian School Of Business

The burgeoning digital-platforms literature across multiple business disciplines has primarily characterized the platform as a market or network. Although the organizing role of platform owners is well recognized, the literature lacks a coherent approach to understanding organizational governance in the platform context. Drawing on classic organizational governance theories, this paper views digital platforms as a distinct organizational form where the mechanisms of incentive and control routinely take center stage. We systematically review research on digital platforms, categorize specific governance mechanisms related to incentive and control, and map a multitude of idiosyncratic design features studied in prior research onto these mechanisms. …


Charting New Courses To Enter Foreign Markets: Conceptualization, Theoretical Framework, And Research Directions On Non-Traditional Entry Modes, Keith D. Brouthers, Liang Chen, Sali Li, Noman Shaheer Dec 2022

Charting New Courses To Enter Foreign Markets: Conceptualization, Theoretical Framework, And Research Directions On Non-Traditional Entry Modes, Keith D. Brouthers, Liang Chen, Sali Li, Noman Shaheer

Research Collection Lee Kong Chian School Of Business

Recent advances in digitalization and increasing integration of international markets are paving the way for a new generation of firms to use non-traditional entry modes that are largely marginalized in previous entry mode studies. While extant research revolves around the level of resource commitment and control in foreign activities, non-traditional modes are encapsulated by the extent of embeddedness required for exploring new and/or exploiting existing resources. In particular, we draw attention to four such categories of non-traditional entry modes the literature has touched on, i.e., capital access, innovation outposts, virtual presence, and the managed ecosystem. We explore the key attributes, …


Nature Tech: A Nascent Ecosystem, Simon J.D. Schillebeeckx Dec 2022

Nature Tech: A Nascent Ecosystem, Simon J.D. Schillebeeckx

Research Collection Lee Kong Chian School Of Business

When people talk about climate tech, they tend to mean carbon tech. It’s all carbon tunnel vision: Carbon footprint, carbon equivalent, carbon credit, carbon compensation, carbon emission reductions, carbon offsets, decarbonization and so on. By extension, the entire debate about energy transition, energy transformation, clean power and green energy is similarly a debate that is largely held within the carbon tunnel. Make no mistake about it. These are important topics to address. The energy transition will not only prevent catastrophic climate change but have massive benefits for human health by tackling fossil-fuel induced air pollution at the source.As the above …


Is There A Strategic Organization In The Behavioral Theory Of The Firm? Looking Back And Looking Forward, Henrich R. Greve, Cyndi Man Zhang Nov 2022

Is There A Strategic Organization In The Behavioral Theory Of The Firm? Looking Back And Looking Forward, Henrich R. Greve, Cyndi Man Zhang

Research Collection Lee Kong Chian School Of Business

In the 20 years of Strategic Organization, how well has knowledge drawn from the behavioral theory of the firm contributed to the field of strategy? We see progress both in the pages of SO! and elsewhere in the field of strategy, but this progress has been held back by divisions between strategy and organization theory in what theories should predict, what mechanisms are preferable predictors, and what outcomes are of interest. Despite these divisions, the last few years have seen particularly rapid progress, turning the behavioral theory of the firm into one of multiple organization theory sources of strategy knowledge. …


Social Performance Feedback And Firm Communication Strategy, Heli Wang, Ming Jia, Yi Xiang, Yang Lan Nov 2022

Social Performance Feedback And Firm Communication Strategy, Heli Wang, Ming Jia, Yi Xiang, Yang Lan

Research Collection Lee Kong Chian School Of Business

Although corporate social performance has become an important measure of firm performance, there is little understanding about how firms respond to social performance feedback and how impression management may function as an important firm response to the feedback. Building upon and extending the literature on the behavioral theory of the firm and the strategic use of language, we examine how discrepancies between firms’ social performance and their aspiration levels affect how firms use visual expressions in their CSR reports. In addition, we argue that the relationship between social performance discrepancies and the use of visual expressions in CSR reports is …


The Sun Is Rising In The East: Dual-Class Shares And The Competitive Landscape Of Technological Industries In Asia, Hao Liang, Tran Bao Phuong Nguyen, Wei Zhang Oct 2022

The Sun Is Rising In The East: Dual-Class Shares And The Competitive Landscape Of Technological Industries In Asia, Hao Liang, Tran Bao Phuong Nguyen, Wei Zhang

Research Collection Lee Kong Chian School Of Business

There has recently been a relaxation of listing regulations to accommodate and attract firms going public with dual-class shares (DCS), notably in Asia. We examine the value implications of DCS adoption by employing an event study around a regulatory change allowing DCS listings in Hong Kong. We find negative market reactions around these regulatory discussions for firms already listed in Hong Kong, especially for firms in technology (tech) sectors. However, the market reaction turned positive for tech firms during Hong Kong’s first DCS listing. We identify two distinct channels that influenced shareholders’ perspectives on DCS: the competition channel, which dominated …


Networking Fast And Slow: The Role Of Speed In Tie Formation, Julia Brennecke, Gokhan Ertug, Tom Elfring Oct 2022

Networking Fast And Slow: The Role Of Speed In Tie Formation, Julia Brennecke, Gokhan Ertug, Tom Elfring

Research Collection Lee Kong Chian School Of Business

Growing interest in network dynamics has led to insights about patterns of network change, drivers of tie formation, and the temporal unfolding of the consequences of networks. To this area of inquiry, we introduce networking speed – the time it takes for individuals to form a network tie – as an important but so far largely overlooked aspect. We develop a theory of networking speed that explains how different catalysts enable professionals to introduce variation into the speed with which they form interpersonal network ties. We discuss how such variation in the speed with which ties have been formed influences …


Bringing Excitement To Empirical Business Ethics Research: Thoughts On The Future Of Business Ethics, Mayowa T. Babalola, Matthijs Bal, Charles H. Cho, Lucia Garcia-Lorenzo, Omrane Guedhami, Hao Liang, Greg Shailer, Suzanne Van Gils Oct 2022

Bringing Excitement To Empirical Business Ethics Research: Thoughts On The Future Of Business Ethics, Mayowa T. Babalola, Matthijs Bal, Charles H. Cho, Lucia Garcia-Lorenzo, Omrane Guedhami, Hao Liang, Greg Shailer, Suzanne Van Gils

Research Collection Lee Kong Chian School Of Business

To commemorate 40 years since the founding of the Journal of Business Ethics, the editors-in-chief of the journal have invited the editors to provide commentaries on the future of business ethics. This essay comprises a selection of commentaries aimed at creating dialog around the theme Bringing Excitement to Empirical Business Ethics Research (inspired by the title of the commentary by Babalola and van Gils). These editors, considering the diversity of empirical approaches in business ethics, envisage a future in which quantitative business ethics research is more bold and innovative, as well as reflexive about its techniques, and dialog between quantitative …


Attraction Versus Competition: A Tale Of Two Similarity Effects In Director Selection Of Chinese Firms, Gao Renfei, Helen Hu, Toru Yoshikawa Sep 2022

Attraction Versus Competition: A Tale Of Two Similarity Effects In Director Selection Of Chinese Firms, Gao Renfei, Helen Hu, Toru Yoshikawa

Research Collection Lee Kong Chian School Of Business

Extant research has focused primarily on the collaborative side of chair-director similarity in director selection, whereas the potential competitive side remains underexplored. Emphasizing the dual role of directors as both collaborators and competitors, as perceived by chairs, we incorporate both the similarity-attraction logic and the similarity-competition logic in director selection and develop a collaborative-competitive framework to reconcile the tension between them. Based on new director selection data from Chinese listed firms, we find that chair-director similarity in the competitive-oriented political background is negatively related to the likelihood of the director being selected—consistent with the similarity-competition logic, whereas chair-director similarity in …


Out Of The Trap: Conversion Funnel Business Model, Customer Switching Costs, And Industry Profitability, Niloofar Abolfathi, Andrea Fosfuri, Simone Santamaria Sep 2022

Out Of The Trap: Conversion Funnel Business Model, Customer Switching Costs, And Industry Profitability, Niloofar Abolfathi, Andrea Fosfuri, Simone Santamaria

Research Collection Lee Kong Chian School Of Business

Research Summary: Across many industries, firms employ a conversion funnel business model to attract customers with basic and affordable products, generate lock-in, and then sell them more advanced and expensive products. We argue that this business model, coupled with high customer switching costs, results in a market outcome characterized by aggressive pricing and reduced profits. A sudden reduction in customer switching costs disrupts the conversion funnel and can eventually increase industrywide prices and profitability, an outcome that contradicts conventional wisdom in strategy research. We develop a stylized model to formalize our ideas and provide supportive evidence using a difference-in-differences methodology …


Where We Are From Matters: Assessing The Impact Of Immigrants On Firm Environmental Performance, Narae Lee Aug 2022

Where We Are From Matters: Assessing The Impact Of Immigrants On Firm Environmental Performance, Narae Lee

Research Collection Lee Kong Chian School Of Business

This study examines the impact of immigrant populations on firm environmental performance. Leveraging a longitudinal dataset of more than 11,000 manufacturing facilities in the US in which I match the Environmental Protection Agency’s (EPA) facility toxic emissions data with the location’s census immigration data, I document the negative impact of local immigrant populations on a facility’s environmental performance, which strengthens as heterogeneity among immigrant increases. I argue that this is because a more heterogeneous community is less cohesive and hence less capable of organizing effective pressures against pollution. Further, I show that because co-nationality links create unique bonds between the …


The Effect Of Formal Time Allocations On Learning Trajectories And Performance, Kenneth T. Goh, Colin M. Fisher, S. Amy Sommer Jun 2022

The Effect Of Formal Time Allocations On Learning Trajectories And Performance, Kenneth T. Goh, Colin M. Fisher, S. Amy Sommer

Research Collection Lee Kong Chian School Of Business

How do formal time allocations in teams affect team learning trajectories and performance? We argue that allocating more time for transition phases induces steeper learning trajectories that engender a positive group atmosphere, which in turn improves team performance by improving coordination quality. We tested our hypotheses in a laboratory experiment in which teams worked on a creative design task over multiple iterations. Using a latent growth modeling approach, we found that teams with shorter action and longer transition phases during prototyping had lower initial performance but steeper learning trajectories, which indirectly led to better final team performance.


Socially Oriented Shareholder Activism Targets: Explaining Activists’ Corporate Target Selection Using Corporate Opportunity Structures, Abhijith G. Acharya, David Gras, Ryan Krause Jun 2022

Socially Oriented Shareholder Activism Targets: Explaining Activists’ Corporate Target Selection Using Corporate Opportunity Structures, Abhijith G. Acharya, David Gras, Ryan Krause

Research Collection Lee Kong Chian School Of Business

We examine whether and when socially oriented shareholder activists use firms’ corporate social performance (CSP) to identify them as attractive targets for their activism. We build on the research in social movements theory and stakeholder theory to theorize how firms’ engagement with primary and secondary stakeholders reflected in their technical and institutional CSP respectively allows socially oriented shareholder activists to identify targets. We develop a theoretical model by identifying corporate targets’ degree of (1) receptivity to and (2) need to comply with activist demands as two key dimensions of their corporate opportunity structure that explains the variance in firms’ attractiveness …


Seachi 2022 Symposium: Bringing Equality, Justice, And Access To Hci And Ux Agenda In Southeast Asia Region, Eunice Sari, Masitah Ghazali, Adi B. Tedjasaputra, Yohannes Kurniawan, Thippaya Chintakovid, Siranee Nuchitprasitchai, Ellya Zulaikha, Noris Binti Mohd Norowi, Tamas Makany May 2022

Seachi 2022 Symposium: Bringing Equality, Justice, And Access To Hci And Ux Agenda In Southeast Asia Region, Eunice Sari, Masitah Ghazali, Adi B. Tedjasaputra, Yohannes Kurniawan, Thippaya Chintakovid, Siranee Nuchitprasitchai, Ellya Zulaikha, Noris Binti Mohd Norowi, Tamas Makany

Research Collection Lee Kong Chian School Of Business

Southeast Asia that consists of eleven countries, has been proud of its way of life and rich culture and is generally happy to maintain its long comforting tradition. However, the region cannot deny that its diverse population and strategic location have become a center of attention for global players to invest in the region. With the emergence of Industry 4.0, digital transformation has become mandatory for any organizations or nations in Southeast Asia to consider. Through SEACHI (Southeast Asian CHI) Symposium, we aim to grow awareness in HCI and UX to improve the design and development of technology for a …


Shareholder Wealth Implications Of Software Firms' Transition To Cloud Computing: A Marketing Perspective, Mehdi Nezami, Kapil R. Tuli, Shantanu Dutta May 2022

Shareholder Wealth Implications Of Software Firms' Transition To Cloud Computing: A Marketing Perspective, Mehdi Nezami, Kapil R. Tuli, Shantanu Dutta

Research Collection Lee Kong Chian School Of Business

Moving into cloud computing represents a major marketing shift because it replaces on-premises offerings requiring large, up-front payments with hosted computing resources made available on-demand on a pay-per-use pricing scheme. However, little is known about the effect of this shift on cloud vendors' financial performance. This study draws on a longitudinal data set of 435 publicly listed business-to-business (B2B) firms within the computer software and services industries to investigate, from the vendors' perspective, the shareholder wealth effect of transitioning to the cloud. Using a value relevance model, we find that an unanticipated increase in the cloud ratio (i.e., the share …


Revisiting The Internationalization-Performance Relationship: A Twenty-Year Meta-Analysis Of Emerging Market Multinationals, Sihong Wu, Di Fan, Liang Chen May 2022

Revisiting The Internationalization-Performance Relationship: A Twenty-Year Meta-Analysis Of Emerging Market Multinationals, Sihong Wu, Di Fan, Liang Chen

Research Collection Lee Kong Chian School Of Business

With the rapid growth of emerging market multinational enterprises (EMNEs), increasing interest has been focused on exploring the internationalization-performance (I-P) relationship of EMNEs. Yet findings on the relationship remain contradictory. Although researchers emphasize the home-country-bounded nature of EMNEs, less is known about how home-government features and the EMNEs' political mindset affect their internationalization and performance. This study integrates and extends the literature on the I-P relationship of EMNEs using a meta-analysis covering a dataset of 218 effect sizes from 186 retrieved studies published between 1998 and 2021. Findings show that the I-P relationship is overall positive, yet it varies across …


Culture And Firms, Zhihui Gu, Hao Liang, Hanyu Zhang Apr 2022

Culture And Firms, Zhihui Gu, Hao Liang, Hanyu Zhang

Research Collection Lee Kong Chian School Of Business

We study how societal culture shapes business activities and corporate behavior by leveraging data on the locations of Confucian schools in Ancient China. The number of historic Confucian schools surrounding a current firm’s location proxies for the firm’s exposure to Confucianism, the dominant culture in China over the last two thou- sand years, and is immune to the subjectivity and selection problems of most culture measures. We find systematic differences in corporate behavior across regions based on their varying exposure to Confucianism. Listed companies more exposed Confucianism make greater social contributions, provide greater employee protection, and have higher entertainment expenses, …


Top Management Teams In International Business Research: A Review And Suggestions For Future Research, Ilya R. P. Cuypers, Charmi Patel, Gokhan Ertug, Jiatao Li, Youtha Cuypers Apr 2022

Top Management Teams In International Business Research: A Review And Suggestions For Future Research, Ilya R. P. Cuypers, Charmi Patel, Gokhan Ertug, Jiatao Li, Youtha Cuypers

Research Collection Lee Kong Chian School Of Business

This article reviews and critically assesses the large and diverse literature on top management teams (TMTs) that has focused on international business (IB) issues. We apply an organizing framework that centers around four key elements of TMTs – TMT composition, structure, processes, and governance – and the most commonly studied IB-related choices and outcomes. This framework allows us to synthesize the contributions of the literature on TMTs in IB and identify opportunities for future research. The contributions of our review are threefold. First, we offer a roadmap for navigating the large and diverse literature on TMTs in IB. Second, we …


Digital Transformation, Sustainability, And Purpose In The Multinational Enterprise, Gerard George, Simon J.D. Schillebeeckx Apr 2022

Digital Transformation, Sustainability, And Purpose In The Multinational Enterprise, Gerard George, Simon J.D. Schillebeeckx

Research Collection Lee Kong Chian School Of Business

We discuss how environmental and pandemic crises in combination with digitization are presenting the multinational enterprise (MNE) with increasing geopolitical, organizational, and market tensions. Institutional pluralism is creating a more complex global environment. The organization of productive work is shifting, which challenges how MNEs structure and coordinate their activities. Changing consumer and investor expectations are broadening the understanding of value creation with implications for business models. We contend that the tensions invite MNEs to reconsider how they frame, formalize, and realize corporate purpose. We close with a research agenda that recognizes the need for MNEs to become purpose-driven actors.


Growing Pains: The Effect Of Generational Product Innovation On Mobile Games Performance, Liang Chen, Pengxiang Zhang, Sali Li, Scott F. Turner Apr 2022

Growing Pains: The Effect Of Generational Product Innovation On Mobile Games Performance, Liang Chen, Pengxiang Zhang, Sali Li, Scott F. Turner

Research Collection Lee Kong Chian School Of Business

Research Summary: Strategy research advises firms to capture generative value by continually introducing generational improvements on their existing products. This article considers a potential dark side of such strategy. We argue that generational innovation can elicit a negative near-term response from customers, as it distorts their ingrained behavioral patterns and imposes learning costs. Further, we propose that this negative effect of generational innovation will diminish when the product has a leading market position; and it will be more severe as the product's technological legacy lengthens. Using a difference-in-differences research design based on mobile game apps that multihome on two platforms, …


Externalization In The Platform Economy: Social Platforms And Institutions, Liang Chen, Sali Li, Jiang Wei, Yang Yang Mar 2022

Externalization In The Platform Economy: Social Platforms And Institutions, Liang Chen, Sali Li, Jiang Wei, Yang Yang

Research Collection Lee Kong Chian School Of Business

The growing platform economy has revived the debate on the applicability of internalization theory in contemporary contexts. In moving this debate forward, we draw on insights from hybrids research and property rights theory to complement the internalization school. Our core contribution lies in a reconceptualization of platforms as a hybrid organizational form enabling the exchange of property rights between platform owners and complementors. Using social platforms as an example, we propose that improvement in a host country's intellectual property protection will increase the multinational platform's (MNP) level of internalization, and that the platform firm's governance capabilities may weaken the effect …


Platform Governance Design In Platform Ecosystems: Implications For Complementors' Multihoming Decision, Liang Chen, Jingtao Yi, Sali Li, Tony W. Tong Mar 2022

Platform Governance Design In Platform Ecosystems: Implications For Complementors' Multihoming Decision, Liang Chen, Jingtao Yi, Sali Li, Tony W. Tong

Research Collection Lee Kong Chian School Of Business

Extant platform research focuses on how platform owners' governance behaviors directly affect complementors. This study explicates the multilateral interdependence among different groups of producers within a platform ecosystem. We theorize about how platform owners' governance design may create frictions between platform providers and complementors. While open governance grants greater autonomy to platform providers, it also cultivates a more complex ecosystem for complementors. Since ecosystem complexity raises the cost of product customization, complementors will be less willing to port an existing complement to a more complex ecosystem, that is, less likely to multihome. The negative effect is weakened as the complementor …