IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v105y2019icp345-358.html
   My bibliography  Save this article

Managing institutional voids: A configurational approach to understanding high performance antecedents

Author

Listed:
  • Brenes, Esteban R.
  • Ciravegna, Luciano
  • Pichardo, Caleb A.

Abstract

This study analyzes the known antecedents of firm performance in emerging markets. It proposes a configurational approach for identifying the combinations of antecedents that are equifinally linked to high performance under different levels of institutional voids. The paper examines a sample of 200 firms based in 12 economies, focusing on the role of family management, vertical integration, firm size, internationalization and collaboration with other organizations. This study extends the research agenda on strategy and performance in emerging markets through a novel methodological approach, focusing on asymmetric and equifinal causal relationships. It examines an understudied region (Latin America) and industry (Agribusiness).

Suggested Citation

  • Brenes, Esteban R. & Ciravegna, Luciano & Pichardo, Caleb A., 2019. "Managing institutional voids: A configurational approach to understanding high performance antecedents," Journal of Business Research, Elsevier, vol. 105(C), pages 345-358.
    • Handle: RePEc:eee:jbrese:v:105:y:2019:i:c:p:345-358
    DOI: 10.1016/j.jbusres.2018.03.022
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296318301504
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbusres.2018.03.022?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Kalle Pajunen, 2008. "Institutions and inflows of foreign direct investment: a fuzzy-set analysis," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(4), pages 652-669, June.
    2. Tarun Khanna & Jan W. Rivkin, 2001. "Estimating the performance effects of business groups in emerging markets," Strategic Management Journal, Wiley Blackwell, vol. 22(1), pages 45-74, January.
    3. Seung Ho Park & Yadong Luo, 2001. "Guanxi and organizational dynamics: organizational networking in Chinese firms," Strategic Management Journal, Wiley Blackwell, vol. 22(5), pages 455-477, May.
    4. Donal Crilly, 2011. "Predicting stakeholder orientation in the multinational enterprise: A mid-range theory," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 42(5), pages 694-717, June.
    5. Alan M. Rugman & Alain Verbeke, 2005. "Extending the Theory of the Multinational Enterprise: Internalization and Strategic Management Perspectives," Chapters, in: Analysis of Multinational Strategic Management, chapter 7, pages 91-103, Edward Elgar Publishing.
    6. Williamson, Oliver E., 2005. "Transaction cost economics and business administration," Scandinavian Journal of Management, Elsevier, vol. 21(1), pages 19-40, March.
    7. Brenes, Esteban R. & Montoya, Daniel & Ciravegna, Luciano, 2014. "Differentiation strategies in emerging markets: The case of Latin American agribusinesses," Journal of Business Research, Elsevier, vol. 67(5), pages 847-855.
    8. Arrunada, Benito, 2007. "Pitfalls to avoid when measuring institutions: Is Doing Business damaging business?," Journal of Comparative Economics, Elsevier, vol. 35(4), pages 729-747, December.
    9. Michael A Witt & Arie Y Lewin, 2007. "Outward foreign direct investment as escape response to home country institutional constraints," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(4), pages 579-594, July.
    10. Claessens, Stijn & Djankov, Simeon & Fan, Joseph P. H. & Lang, Larry H. P., 2003. "When does corporate diversification matter to productivity and performance? Evidence from East Asia," Pacific-Basin Finance Journal, Elsevier, vol. 11(3), pages 365-392, July.
    11. Andrea Prado & Arch Woodside, 2015. "Deepening Understanding of Certification Adoption and Non-Adoption of International-Supplier Ethical Standards," Journal of Business Ethics, Springer, vol. 132(1), pages 105-125, November.
    12. Mike W Peng & Denis Y L Wang & Yi Jiang, 2008. "An institution-based view of international business strategy: a focus on emerging economies," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(5), pages 920-936, July.
    13. Garcia, Miguel, 2005. "Agribusinesses in the New Millennium: The Major Challenges are Twofold," Comuniica Magazine, Inter-American Institute for Cooperation on Agriculture, vol. 2005(01-03 Jan), pages 1-6, March.
    14. Ciravegna, Luciano & Brenes, Esteban R., 2016. "Learning to become a high reliability organization in the food retail business," Journal of Business Research, Elsevier, vol. 69(10), pages 4499-4506.
    15. Alan M. Rugman & Alain Verbeke, 2005. "A Note on the Transnational Solution and the Transaction Cost Theory of Multinational Strategic Management," Chapters, in: Analysis of Multinational Strategic Management, chapter 2, pages 16-26, Edward Elgar Publishing.
    16. Tarun Khanna & Yishay Yafeh, 2007. "Business Groups in Emerging Markets: Paragons or Parasites?," Journal of Economic Literature, American Economic Association, vol. 45(2), pages 331-372, June.
    17. Chakrabarty, Subrata, 2009. "The influence of national culture and institutional voids on family ownership of large firms: A country level empirical study," Journal of International Management, Elsevier, vol. 15(1), pages 32-45, March.
    18. Kuwayama, Mikio & Rosales V., Osvaldo, 2012. "China y América Latina y el Caribe: hacia una relación económica y comercial estratégica," Libros de la CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), number 2598 edited by Cepal, May.
    19. Jiangyong Lu & Bin Xu & Xiaohui Liu, 2009. "The Effects of Corporate Governance and Institutional Environments on Export Behaviour in Emerging Economies," Management International Review, Springer, vol. 49(4), pages 455-478, September.
    20. Chittoor, Raveendra & Ray, Sougata & Aulakh, Preet S. & Sarkar, M.B., 2008. "Strategic responses to institutional changes: 'Indigenous growth' model of the Indian pharmaceutical industry," Journal of International Management, Elsevier, vol. 14(3), pages 252-269, September.
    21. Mike Wright & Igor Filatotchev & Robert E. Hoskisson & Mike W. Peng, 2005. "Strategy Research in Emerging Economies: Challenging the Conventional Wisdom," Journal of Management Studies, Wiley Blackwell, vol. 42(1), pages 1-33, January.
    22. Xiaowei Rose Luo & Chi-Nien Chung, 2013. "Filling or Abusing the Institutional Void? Ownership and Management Control of Public Family Businesses in an Emerging Market," Organization Science, INFORMS, vol. 24(2), pages 591-613, April.
    23. Ragin, Charles C., 2006. "Set Relations in Social Research: Evaluating Their Consistency and Coverage," Political Analysis, Cambridge University Press, vol. 14(3), pages 291-310, July.
    24. Andrew Delios, 2017. "The Death and Rebirth (?) of International Business Research," Journal of Management Studies, Wiley Blackwell, vol. 54(3), pages 391-397, May.
    25. Birger Wernerfelt, 1995. "The resource‐based view of the firm: Ten years after," Strategic Management Journal, Wiley Blackwell, vol. 16(3), pages 171-174.
    26. Bianchi, Constanza C. & Ostale, Enrique, 2006. "Lessons learned from unsuccessful internationalization attempts: Examples of multinational retailers in Chile," Journal of Business Research, Elsevier, vol. 59(1), pages 140-147, January.
    27. Dominguez, Luis V. & Brenes, Esteban R., 1997. "The internationalization of Latin American enterprises and market liberalization in the Americas: A vital linkage," Journal of Business Research, Elsevier, vol. 38(1), pages 3-16, January.
    28. Luo, Yadong & Sun, Jinyun & Wang, Stephanie Lu, 2011. "Comparative strategic management: An emergent field in international management," Journal of International Management, Elsevier, vol. 17(3), pages 190-200, September.
    29. Fauver, Larry & Houston, Joel F. & Naranjo, Andy, 2004. "Cross-country evidence on the value of corporate industrial and international diversification," Journal of Corporate Finance, Elsevier, vol. 10(5), pages 729-752, November.
    30. Martin Glaum & Michael-Jörg Oesterle, 2007. "40 years of research on internationalization and firm performance: More questions than answers?," Management International Review, Springer, vol. 47(3), pages 307-317, June.
    31. Catherine Welch & Rebecca Piekkari & Emmanuella Plakoyiannaki & Eriikka Paavilainen-Mantymaki, 2011. "Theorising from case studies: Towards a pluralist future for international business research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 42(5), pages 740-762, June.
    32. Ani L. Katchova & Sierra J. Enlow, 2013. "Financial performance of publicly‐traded agribusinesses," Agricultural Finance Review, Emerald Group Publishing Limited, vol. 73(1), pages 58-73, May.
    33. Daphne W. Yiu & Yuan Lu & Garry D. Bruton & Robert E. Hoskisson, 2007. "Business Groups: An Integrated Model to Focus Future Research," Journal of Management Studies, Wiley Blackwell, vol. 44(8), pages 1551-1579, December.
    34. Reardon, Thomas & Barrett, Christopher B., 2000. "Agroindustrialization, globalization, and international development: An overview of issues, patterns, and determinants," Agricultural Economics, Blackwell, vol. 23(3), pages 195-205, September.
    35. Yadong Luo & Rosalie L Tung, 2007. "International expansion of emerging market enterprises: A springboard perspective," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(4), pages 481-498, July.
    36. Keith D Brouthers, 2002. "Institutional, Cultural and Transaction Cost Influences on Entry Mode Choice and Performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 33(2), pages 203-221, June.
    37. Seny Kan, Anderson Konan & Adegbite, Emmanuel & El Omari, Sami & Abdellatif, Mahamat, 2016. "On the use of qualitative comparative analysis in management," Journal of Business Research, Elsevier, vol. 69(4), pages 1458-1463.
    38. Yadong Luo, 2003. "Industrial dynamics and managerial networking in an emerging market: the case of China," Strategic Management Journal, Wiley Blackwell, vol. 24(13), pages 1315-1327, December.
    39. Manolova, Tatiana S. & Manev, Ivan M. & Gyoshev, Bojidar S., 2010. "In good company: The role of personal and inter-firm networks for new-venture internationalization in a transition economy," Journal of World Business, Elsevier, vol. 45(3), pages 257-265, July.
    40. V. K. Narayanan & Liam Fahey, 2005. "The Relevance of the Institutional Underpinnings of Porter's Five Forces Framework to Emerging Economies: An Epistemological Analysis," Journal of Management Studies, Wiley Blackwell, vol. 42(1), pages 207-223, January.
    41. Paolo Aversa & Santi Furnari & Stefan Haefliger, 2015. "Editor's Choice Business model configurations and performance: A qualitative comparative analysis in Formula One racing, 2005–2013," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 24(3), pages 655-676.
    42. Brenes, Esteban R. & Camacho, Arnoldo R. & Ciravegna, Luciano & Pichardo, Caleb A., 2016. "Strategy and innovation in emerging economies after the end of the commodity boom—Insights from Latin America," Journal of Business Research, Elsevier, vol. 69(10), pages 4363-4367.
    43. Johanna Mair & Ignasi Marti & Marc Ventresca, 2012. "Building Inclusive Markets in Rural Bangladesh : How Intermediaries Work Institutional Voids," Post-Print hal-02276707, HAL.
    44. Contractor, Farok J. & Kumar, Vikas & Kundu, Sumit K., 2007. "Nature of the relationship between international expansion and performance: The case of emerging market firms," Journal of World Business, Elsevier, vol. 42(4), pages 401-417, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kalhor Elham, 2024. "Institutional effects on family business internationalization: A systematic review," ZFW – Advances in Economic Geography, De Gruyter, vol. 68(1), pages 41-62.
    2. Brenes, Esteban R. & Ciravegna, Luciano & Acuña, Joseph, 2020. "Differentiation strategies in agribusiness – A configurational approach," Journal of Business Research, Elsevier, vol. 119(C), pages 522-539.
    3. Shobha Tewari & Bibek Bhattacharya, 2023. "Financial resources, corporate social responsibility, and ownership type: Evidence from India," Asia Pacific Journal of Management, Springer, vol. 40(3), pages 1093-1132, September.
    4. Luciano Ciravegna & Federica Nieri, 2022. "Business and Human Rights: A Configurational View of the Antecedents of Human Rights Infringements by Emerging Market Firms," Journal of Business Ethics, Springer, vol. 179(2), pages 431-450, August.
    5. Macpherson, Wayne G. & Tretiakov, Alexei & Mika, Jason P. & Felzensztein, Christian, 2021. "Indigenous entrepreneurship: Insights from Chile and New Zealand," Journal of Business Research, Elsevier, vol. 127(C), pages 77-84.
    6. González, Carlos & González-Galindo, Ana, 2022. "The institutional context as a source of heterogeneity in family firm internationalization strategies: A comparison between U.S. and emerging market family firms," International Business Review, Elsevier, vol. 31(4).
    7. Efrat, Kalanit & Souchon, Anne L. & Dickenson, Peter & Nemkova, Ekaterina, 2021. "Chutzpadik advertising and its effectiveness: Four studies of agencies and audiences," Journal of Business Research, Elsevier, vol. 137(C), pages 601-613.
    8. Alaydi, Sharif & Buck, Trevor & Tang, Yee Kwan, 2021. "Strategic responses to extreme institutional challenges: An MNE case study in the Palestinian mobile phone sector," International Business Review, Elsevier, vol. 30(3).
    9. Donbesuur, Francis & Zahoor, Nadia & Al-Tabbaa, Omar & Adomako, Samuel & Tarba, Shlomo Y., 2023. "On the performance of platform-based international new ventures: The roles of non-market strategies and managerial competencies," Journal of International Management, Elsevier, vol. 29(2).
    10. Islam, Mohammad Tarikul & Chadee, Doren, 2024. "Adaptive governance and resilience of global value chains: A framework for sustaining the performance of developing-country suppliers during exogenous shocks," International Business Review, Elsevier, vol. 33(2).
    11. Gomez-Mejia, Luis R. & Mendoza-Lopez, Anabel & Cruz, Cristina & Duran, Patricio & Aguinis, Herman, 2024. "Socioemotional wealth in volatile, uncertain, complex, and ambiguous contexts: The case of family firms in Latin America and the Caribbean," Journal of Family Business Strategy, Elsevier, vol. 15(1).
    12. Brieger, Steven A. & Chowdhury, Farzana & Hechavarría, Diana M. & Muralidharan, Etayankara & Pathak, Saurav & Lam, Yan Tong, 2022. "Digitalization, institutions and new venture internationalization," Journal of International Management, Elsevier, vol. 28(4).
    13. Ehret, Michael & Olaniyan, Rotimi, 2023. "Banking the unbanked. Constitutive rules and the institutionalization of mobile payment systems in Nigeria," Journal of Business Research, Elsevier, vol. 163(C).
    14. Keilla Dayane Silva-Oliveira & Edson Keyso Miranda Kubo & Michael J. Morley & Rodrigo Médici Cândido, 2021. "Emerging Economy Inward and Outward Foreign Direct Investment: A Bibliometric and Thematic Content Analysis," Management International Review, Springer, vol. 61(5), pages 643-679, October.
    15. Andrews, Luke R.J. & Luiz, John M., 2024. "Conceptualizing institutional voids in terms of severity and how the home country affects this understanding," Journal of Business Research, Elsevier, vol. 176(C).
    16. James Danowski & Aaron van Klyton & Tai-Quan Winson Peng & Siyuan Ma & Raphaël Nkakleu & Altante Désirée Biboum, 2023. "Information and communications technology development, interorganizational networks, and public sector corruption in Africa," Quality & Quantity: International Journal of Methodology, Springer, vol. 57(4), pages 3285-3304, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cuervo-Cazurra, Alvaro & Ciravegna, Luciano & Melgarejo, Mauricio & Lopez, Luis, 2018. "Home country uncertainty and the internationalization-performance relationship: Building an uncertainty management capability," Journal of World Business, Elsevier, vol. 53(2), pages 209-221.
    2. Mike W. Peng & Sergey Lebedev & Cristina O. Vlas & Joyce C. Wang & Jason S. Shay, 2018. "The growth of the firm in (and out of) emerging economies," Asia Pacific Journal of Management, Springer, vol. 35(4), pages 829-857, December.
    3. Liedong, Tahiru Azaaviele & Peprah, Augustine Awuah & Amartey, Abednego Okoe & Rajwani, Tazeeb, 2020. "Institutional voids and firms' resource commitment in emerging markets: A review and future research agenda," Journal of International Management, Elsevier, vol. 26(3).
    4. Tan, Danchi & Meyer, Klaus E., 2010. "Business groups' outward FDI: A managerial resources perspective," Journal of International Management, Elsevier, vol. 16(2), pages 154-164, June.
    5. Yunok Cho & Nigel Driffield & Sourindra Banerjee & Byung Il Park, 2023. "Returns to Internationalization: Business Group-Affiliated Firms vs Standalone Firms," Management International Review, Springer, vol. 63(4), pages 603-639, August.
    6. Bersant Hobdari & Peter Gammeltoft & Jing Li & Klaus Meyer, 2017. "The home country of the MNE: The case of emerging economy firms," Asia Pacific Journal of Management, Springer, vol. 34(1), pages 1-17, March.
    7. Cardoza, Guillermo & Fornes, Gaston & Farber, Vanina & Gonzalez Duarte, Roberto & Ruiz Gutierrez, Jaime, 2016. "Barriers and public policies affecting the international expansion of Latin American SMEs: Evidence from Brazil, Colombia, and Peru," Journal of Business Research, Elsevier, vol. 69(6), pages 2030-2039.
    8. Brenes, Esteban R. & Ciravegna, Luciano & Acuña, Joseph, 2020. "Differentiation strategies in agribusiness – A configurational approach," Journal of Business Research, Elsevier, vol. 119(C), pages 522-539.
    9. Gaur, Ajai S. & Kumar, Vikas & Singh, Deeksha, 2014. "Institutions, resources, and internationalization of emerging economy firms," Journal of World Business, Elsevier, vol. 49(1), pages 12-20.
    10. Carney, Michael & Estrin, Saul & Van Essen, Marc & Shapiro, Daniel, 2017. "Business groups reconsidered: beyond paragons and parasites," LSE Research Online Documents on Economics 87340, London School of Economics and Political Science, LSE Library.
    11. Ziyi Wei & Quyen T. K. Nguyen, 2020. "Local responsiveness strategy of foreign subsidiaries of Chinese multinationals: The impacts of relational-assets, market-seeking FDI, and host country institutional environments," Asia Pacific Journal of Management, Springer, vol. 37(3), pages 661-692, September.
    12. Danchi Tan & Klaus E. Meyer, 2021. "Context-bridging and context-embedded experience: Growth drivers of emerging economy business groups," Asia Pacific Journal of Management, Springer, vol. 38(2), pages 401-434, June.
    13. Fathallah, Ramzi & Branzei, Oana & Schaan, Jean-Louis, 2018. "No place like home? How EMNCs from hyper turbulent contexts internationalize by sequentially arbitraging rents, values, and scales abroad," Journal of World Business, Elsevier, vol. 53(5), pages 620-631.
    14. Geleilate, José-Mauricio G. & Magnusson, Peter & Parente, Ronaldo C. & Alvarado-Vargas, Marcelo J., 2016. "Home Country Institutional Effects on the Multinationality–Performance Relationship: A Comparison Between Emerging and Developed Market Multinationals," Journal of International Management, Elsevier, vol. 22(4), pages 380-402.
    15. Sun, Jinyun & Wang, Stephanie L. & Luo, Yadong, 2018. "Strategic entry or strategic exit? International presence by emerging economy enterprises," International Business Review, Elsevier, vol. 27(2), pages 418-430.
    16. Mazé, Dominique & Chailan, Claude, 2021. "A South-South perspective on emerging economy companies and institutional coevolution: An empirical study of Chinese multinationals in Africa," International Business Review, Elsevier, vol. 30(4).
    17. Michael Young & Terence Tsai & Xinran Wang & Shubo Liu & David Ahlstrom, 2014. "Strategy in emerging economies and the theory of the firm," Asia Pacific Journal of Management, Springer, vol. 31(2), pages 331-354, June.
    18. Lien, Yung-Chih & Filatotchev, Igor, 2015. "Ownership characteristics as determinants of FDI location decisions in emerging economies," Journal of World Business, Elsevier, vol. 50(4), pages 637-650.
    19. Rishika Nayyar & Rajdeepa Maity, . "Overcoming institutional voids in the home country for internationalization: an exploratory examination of institutional strategies of Indian MNEs," UNCTAD Transnational Corporations Journal, United Nations Conference on Trade and Development.
    20. Cuervo-Cazurra, Alvaro, 2008. "The multinationalization of developing country MNEs: The case of multilatinas," Journal of International Management, Elsevier, vol. 14(2), pages 138-154, June.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:105:y:2019:i:c:p:345-358. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/jbusres .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.