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The autocratic advantage: Internationalization of state-owned multinationals

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  • Clegg, L. Jeremy
  • Voss, Hinrich
  • Tardios, Janja A.

Abstract

We offer a theoretical extension and empirical analysis of home country autocracy as a key determinant for the internationalization of state-owned enterprises (SOEs). Building on international business and international political economy theory, we argue that the pursuit of a mercantilist domestic agenda by autocratic governments is influential upon the magnitude and direction of state-owned multinational enterprises’ (SOMNC) outward investment via acquisition. We conclude that autocratic home countries are ‘re-purposing’ SOEs to pursue international nationalist objectives – and that autocracies can do so more effectively and purposefully than democracies, by maintaining effective control over their SOMNCs.

Suggested Citation

  • Clegg, L. Jeremy & Voss, Hinrich & Tardios, Janja A., 2018. "The autocratic advantage: Internationalization of state-owned multinationals," Journal of World Business, Elsevier, vol. 53(5), pages 668-681.
    • Handle: RePEc:eee:worbus:v:53:y:2018:i:5:p:668-681
    DOI: 10.1016/j.jwb.2018.03.009
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