IDEAS home Printed from https://ideas.repec.org/a/pal/joibpo/v7y2024i1d10.1057_s42214-023-00181-0.html
   My bibliography  Save this article

Populist politics and international business policy: problems, practices, and prescriptions for MNEs

Author

Listed:
  • Christopher A. Hartwell

    (ZHAW School of Management and Law)

  • Barclay James

    (St. Mary’s University)

  • Thomas Lindner

    (University of Innsbruck
    Copenhagen Business School
    WU Vienna)

  • Jakob Müllner

    (WU Vienna)

  • Paul M. Vaaler

    (University of Minnesota)

Abstract

In this editorial introduction to the Special Issue on populism, we discuss different approaches to defining populism in ways relevant to multinational enterprise (MNE) strategy and organization. In addition, we demonstrate how populist host-country government policies often target MNEs in ways that give rise to distinctly new forms of discriminatory treatment. This theoretical background sets the stage for the papers of this Special Issue, explaining the origins of these populist host-country government policies and the impact of such policies on FDI and international trade. We conclude with various suggestions for advancing IB policy research on populism, including building a better model of where populism comes from, how various conceptions of populism operate, and how they affect MNEs.

Suggested Citation

  • Christopher A. Hartwell & Barclay James & Thomas Lindner & Jakob Müllner & Paul M. Vaaler, 2024. "Populist politics and international business policy: problems, practices, and prescriptions for MNEs," Journal of International Business Policy, Palgrave Macmillan, vol. 7(1), pages 12-18, March.
    • Handle: RePEc:pal:joibpo:v:7:y:2024:i:1:d:10.1057_s42214-023-00181-0
    DOI: 10.1057/s42214-023-00181-0
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1057/s42214-023-00181-0
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1057/s42214-023-00181-0?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. Andrew Delios & Witold J. Henisz, 2003. "Political hazards, experience, and sequential entry strategies: the international expansion of Japanese firms, 1980–1998," Strategic Management Journal, Wiley Blackwell, vol. 24(11), pages 1153-1164, November.
    2. Hibbs, Douglas A., 1977. "Political Parties and Macroeconomic Policy," American Political Science Review, Cambridge University Press, vol. 71(4), pages 1467-1487, December.
    3. Dani Rodrik, 2018. "Populism and the economics of globalization," Journal of International Business Policy, Palgrave Macmillan, vol. 1(1), pages 12-33, June.
    4. Simon Hartmann & Thomas Lindner & Jakob Müllner & Jonas Puck, 2022. "Beyond the nation-state: Anchoring supranational institutions in international business research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(6), pages 1282-1306, August.
    5. Kobrin, Stephen J., 1987. "Testing the bargaining hypothesis in the manufacturing sector in developing countries," International Organization, Cambridge University Press, vol. 41(4), pages 609-638, October.
    6. Sallai, Dorottya & Schnyder, Gerhard & Kinderman, Daniel & Nölke, Andreas, 2023. "The antecedents of MNC political risk and uncertainty under right-wing populist governments," LSE Research Online Documents on Economics 118668, London School of Economics and Political Science, LSE Library.
    7. Martin Rode & Julio Revuelta, 2015. "The Wild Bunch! An empirical note on populism and economic institutions," Economics of Governance, Springer, vol. 16(1), pages 73-96, February.
    8. Steven Globerman & Daniel M Shapiro, 1999. "The Impact of Government Policies on Foreign Direct Investment: The Canadian Experience," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 30(3), pages 513-532, September.
    9. Nyberg, Daniel & Murray, John, 2023. "Corporate populism: How corporations construct and represent ‘the people’ in political contestations," Journal of Business Research, Elsevier, vol. 162(C).
    10. W. J. Henisz, 2000. "The Institutional Environment for Economic Growth," Economics and Politics, Wiley Blackwell, vol. 12(1), pages 1-31, March.
    Full references (including those not matched with items on IDEAS)

    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. Matevž (Matt) Rašković & Katalin Takacs Haynes & Anastas Vangeli, 2024. "The emergence of populism as an institution and its recursive mechanisms: A socio-cognitive theory perspective," Journal of International Business Policy, Palgrave Macmillan, vol. 7(1), pages 19-40, March.
    2. Vaaler, Paul M., 2006. "Electoral Politics and Foreign Project Investment in Developing Countries," Working Papers 06-0125, University of Illinois at Urbana-Champaign, College of Business.
    3. Barclay E. James & Paul M. Vaaler, 2017. "Experience, Equity and Foreign Investment Risk: A PIC Perspective," Management International Review, Springer, vol. 57(2), pages 209-241, April.
    4. Jakob Müllner & Sinziana Dorobantu, 2023. "Overcoming political risk in developing economies through non-local debt," Journal of International Business Policy, Palgrave Macmillan, vol. 6(2), pages 159-181, June.
    5. Andrei Panibratov & Ramsés A. Sánchez Herrera & Alvar Castello Esquerdo & Daria Klishevich, 2023. "Surviving populism: A corporate political activity approach in Mexico," Journal of International Business Policy, Palgrave Macmillan, vol. 6(2), pages 182-200, June.
    6. Hartwell, Christopher A. & Devinney, Timothy, 2021. "Populism, political risk, and pandemics: The challenges of political leadership for business in a post-COVID world," Journal of World Business, Elsevier, vol. 56(4).
    7. Weiguo Zhong & Ya Lin & Danxue Gao & Haibin Yang, 2019. "Does politician turnover affect foreign subsidiary performance? Evidence in China," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(7), pages 1184-1212, September.
    8. Benischke, Mirko H. & Guldiken, Orhun & Doh, Jonathan P. & Martin, Geoffrey & Zhang, Yanze, 2022. "Towards a behavioral theory of MNC response to political risk and uncertainty: The role of CEO wealth at risk," Journal of World Business, Elsevier, vol. 57(1).
    9. Manuel Funke & Moritz Schularick & Christoph Trebesch, 2023. "Populist Leaders and the Economy," American Economic Review, American Economic Association, vol. 113(12), pages 3249-3288, December.
    10. Pei Sun & Jonathan P. Doh & Tazeeb Rajwani & Donald Siegel, 2021. "Navigating cross-border institutional complexity: A review and assessment of multinational nonmarket strategy research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(9), pages 1818-1853, December.
    11. Cuypers, I.R.P., 2009. "Essays on equity joint ventures, uncertainty and experience," Other publications TiSEM 8dc79e86-c625-467f-a450-8, Tilburg University, School of Economics and Management.
    12. Kyeong Hun Lee, 2018. "Cross‐border mergers and acquisitions amid political uncertainty: A bargaining perspective," Strategic Management Journal, Wiley Blackwell, vol. 39(11), pages 2992-3005, November.
    13. Gonchar, Ksenia & Greve, Maria, 2022. "The impact of political risk on FDI exit decisions," Economic Systems, Elsevier, vol. 46(2).
    14. George O. White & Jean J. Boddewyn & Tazeeb Rajwani & Thomas A. Hemphill, 2018. "Regulator Vulnerabilities to Political Pressures and Political Tie Intensity: The Moderating Effects of Regulatory and Political Distance," Management International Review, Springer, vol. 58(5), pages 743-769, October.
    15. Pan, Wei-Fong, 2023. "Household debt in the times of populism," Journal of Economic Behavior & Organization, Elsevier, vol. 205(C), pages 202-215.
    16. Barclay E. James & Paul M. Vaaler, 2018. "Research in management and related fields largely assumes that host-country state (“state”) ownership in investment projects raises risk for private coinvestors. We question that assumption in theoriz," Organization Science, INFORMS, vol. 29(4), pages 653-677, August.
    17. Francisco Jose Veiga & Linda Goncalves Veiga & Atsuyoshi Morozumi, 2015. "Political budget cycles and media freedom," Discussion Papers 2015/14, University of Nottingham, Centre for Finance, Credit and Macroeconomics (CFCM).
    18. Chen, Zibang & Giroud, Axèle & Rygh, Asmund & Han, Xia, 2024. "Chinese SMEs’ location choice and political risk: The moderating role of legitimacy," International Business Review, Elsevier, vol. 33(3).
    19. Bove, Vincenzo & Efthyvoulou, Georgios & Navas, Antonio, 2017. "Political cycles in public expenditure: butter vs guns," Journal of Comparative Economics, Elsevier, vol. 45(3), pages 582-604.
    20. Bergh, Andreas & Dackehag, Margareta & Rode, Martin, 2017. "Are OECD policy recommendations for public sector reform biased against welfare states? Evidence from a new database," European Journal of Political Economy, Elsevier, vol. 48(C), pages 3-15.

    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:pal:joibpo:v:7:y:2024:i:1:d:10.1057_s42214-023-00181-0. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    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.