A neo-configurational institutional analysis of international venture capital attractiveness and performance: insights for Asia-Pacific

Toward an institution-based paradigm

As part of the broader intellectual movement throughout the social sciences that is centered on new institutionalism, the institution-based view has emerged as a leading perspective in the strategic management literature. This article (1) traces the emergence of the institution-based view, (2) reviews its growth in the last two decades, and (3) responds to three of its major criticisms. We also identify four promising research directions—deglobalization and sanctions, competitive dynamics, hybrid organizations, and corporate social responsibility. Overall, we demonstrate that the thriving research on institutions has culminated in an institution-based paradigm, which has significant potential for future growth.

Charting new courses to enter foreign markets: Conceptualization, theoretical framework, and research directions on non-traditional entry modes

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, antecedents, and strategic implications of these modes. Our paper highlights the need for enriching current entry mode research by considering a broader range of entry mode activities available to firms as well as employing new theoretical perspectives to understand the complex phenomena of internationalization.

Where Do Born Globals Come from? A Neoconfigurational Institutional Theory

Born globals, recently established firms that obtain a substantial share of their revenue from foreign markets, can help strengthen countries’ economic vitality and increase innovation levels. The extent of born global formation varies considerably across countries, yet it is unclear why this is the case. Drawing on the neoconfigurational institutional perspective, we develop a typology of institutional contexts associated with high born global formation rates. We posit that high rates of born global formation occur where institutional features favorable to border-spanning activities complement institutional features conducive to entrepreneurial activity, thus forming an institutional configuration that enables, equips, and motivates more societal members to launch born globals. Accordingly, we hypothesize a primary institutional configuration where international transaction facilitators, entrepreneurial educational capital, and entrepreneurial norms combine to propel born global formation. Further, we draw on the internationalization literature to propose two alternative types of institutional configurations conducive to born global formation. These two types provide functional substitutes for the primary type and are distinctly propelled by (1) escapism from low-quality public governance institutions or (2) immigrant entrepreneurship. Fuzzy-set qualitative comparative analysis on data from 66 countries supports our typology and illustrates why born global activity may thrive even in contexts with institutional weaknesses. Our study develops a neoconfigurational model to advance a holistic understanding of the born global phenomenon’s theoretical drivers, contributing to research on comparative capitalism and international entrepreneurship.