IDEAS home Printed from https://ideas.repec.org/a/spr/eurasi/v15y2025i1d10.1007_s40821-024-00287-2.html
   My bibliography  Save this article

National culture, institutional quality and firm R&D investment: evidence from the Asia-pacific IT industry

Author

Listed:
  • Tamanna Dalwai

    (Nottingham Business School, Nottingham Trent University)

  • Vincenzo Scafarto

    (University of Cassino and Southern Lazio)

  • Syeeda Shafiya Mohammadi

    (Muscat College)

Abstract

This paper investigates the effects of national culture and formal institutions on firm R&D investment from an institution-based perspective. Specifically, we investigate whether national culture affects the extent to which firms rely on the quality of formal institutions in making their R&D investment decisions. Using a panel of IT firms from the Asia-Pacific region, we find evidence that (1) the quality of formal institutions stimulates firm R&D after controlling for other potential determinants of R&D at firm and country level, and (2) this positive association is more pronounced for firms embedded in short-term oriented and individualistic cultures. This suggests that the impact of formal institutions on firm-level R&D may be contingent on the configuration of informal institutions in the firm’s environment. Regarding practical implications, policymakers are made aware that national culture may affect the extent to which firms respond to institutional reforms aimed at stimulating R&D investment.

Suggested Citation

  • Tamanna Dalwai & Vincenzo Scafarto & Syeeda Shafiya Mohammadi, 2025. "National culture, institutional quality and firm R&D investment: evidence from the Asia-pacific IT industry," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 15(1), pages 29-59, March.
    • Handle: RePEc:spr:eurasi:v:15:y:2025:i:1:d:10.1007_s40821-024-00287-2
    DOI: 10.1007/s40821-024-00287-2
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40821-024-00287-2
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s40821-024-00287-2?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.

    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:spr:eurasi:v:15:y:2025:i:1:d:10.1007_s40821-024-00287-2. 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.

    We have no bibliographic references for this item. You can help adding them by using 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.springer.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.