IDEAS home Printed from https://ideas.repec.org/p/wpa/wuwpio/0403006.html
   My bibliography  Save this paper

Uneven geographies of organizational practice: explaining the cross-national transfer and adoption of ISO 9000

Author

Listed:
  • Eric Neumayer

    (London School of Economics)

  • Richard Perkins

    (University of Plymouth, School of Geography)

Abstract

There is growing recognition that organizational innovations can have a major influence on the geography of economic activity. Yet, very little is known about the mechanisms and geographic preconditions underlying their diffusion, particularly at the global level. In this paper we seek to fill this gap using the example of ISO 9000, the internationally- recognized set of standards for quality management. We develop a series of hypotheses about the conditions under which organizations are most likely to adopt ISO 9000. These hypotheses are then tested using panel data for 130 countries over the period 1995-2001. Our findings support the idea that transnational network ties linking countries to the wider global community influence adoption decisions. Thus, exports to the EU and Japan, local involvement of transnational corporations (TNCs), colonial ties to Europe and the availability of telecommunications, all emerge as statistically significant determinants of ISO 9000 counts. Our results also underscore the importance of national environmental conditions. Low regulatory burden, a high share of manufacturing activity, high rates of secondary school enrolment and low levels of productivity are positively associated with a high number of certificates. We conclude that globalization has increased the mobility of organizational innovations across national borders. Yet, country- level variations in (a) transnational network linkages and (b) environmental conditions influencing the receptiveness of organizations to new economic practices, suggest that spatial unevenness is an inevitable feature of organizational diffusion at the global level.

Suggested Citation

  • Eric Neumayer & Richard Perkins, 2004. "Uneven geographies of organizational practice: explaining the cross-national transfer and adoption of ISO 9000," Industrial Organization 0403006, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwpio:0403006
    Note: Type of Document - pdf
    as

    Download full text from publisher

    File URL: https://econwpa.ub.uni-muenchen.de/econ-wp/io/papers/0403/0403006.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Vincent Frigant & Yannick Lung, 2002. "Geographical proximity and supplying relationships in modular production," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 26(4), pages 742-755, December.
    2. Firth, Michael, 1996. "The diffusion of managerial accounting procedures in the People's Republic of China and the influence of foreign partnered joint ventures," Accounting, Organizations and Society, Elsevier, vol. 21(7-8), pages 629-654.
    3. Schrader, Stephan, 1991. "Informal technology transfer between firms: Cooperation through information trading," Research Policy, Elsevier, vol. 20(2), pages 153-170, April.
    4. Alesina, Alberto & Dollar, David, 2000. "Who Gives Foreign Aid to Whom and Why?," Journal of Economic Growth, Springer, vol. 5(1), pages 33-63, March.
    5. Beck, Nathaniel & Katz, Jonathan N., 1995. "What To Do (and Not to Do) with Time-Series Cross-Section Data," American Political Science Review, Cambridge University Press, vol. 89(3), pages 634-647, September.
    6. Eric Neumayer & Richard Perkins, 2004. "What Explains the Uneven Take-Up of ISO 14001 at the Global Level? A Panel-Data Analysis," Environment and Planning A, , vol. 36(5), pages 823-839, May.
    7. Dekimpe, M.G. & Parker, P.M. & Sarvary, M., 1997. ""Globalization": Modeling Technology Adoption Timing Across Countries," INSEAD 97/75, INSEAD, Centre for the Management of Environmental Resources. The European Institute of Business Administration..
    8. Vloeberghs, Daniël & Bellens, Jan, 1996. "ISO 9000 in Belgium: Experience of Belgian quality managers and HRM," European Management Journal, Elsevier, vol. 14(2), pages 207-211, April.
    9. Gerhard Fuchs, 2002. "The Multimedia Industry: Networks and Regional Development in a Globalised Economy," Advances in Spatial Science, in: Zoltan J. Acs & Henri L. F. Groot & Peter Nijkamp (ed.), The Emergence of the Knowledge Economy, chapter 14, pages 277-300, Springer.
    10. Terziovski, Mile & Power, Damien & Sohal, Amrik S., 2003. "The longitudinal effects of the ISO 9000 certification process on business performance," European Journal of Operational Research, Elsevier, vol. 146(3), pages 580-595, May.
    11. Jagdip Singh, 1995. "Measurement in Cross-National Research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 26(3), pages 597-619, September.
    12. Davies, Stephen W., 1979. "Inter-firm diffusion of process innovations," European Economic Review, Elsevier, vol. 12(4), pages 299-317, October.
    13. Juan C. Pastor & James Meindl & Raymond Hunt, 1998. "The Quality Virus: Inter-Organizational Contagion in the Adoption of Total Quality Management," Palgrave Macmillan Books, in: José Luis Alvarez (ed.), The Diffusion and Consumption of Business Knowledge, chapter 8, pages 201-218, Palgrave Macmillan.
    14. Stevenson, Thomas H. & Barnes, Frank C., 2001. "Fourteen years of ISO 9000: impact, criticisms, costs, and benefits," Business Horizons, Elsevier, vol. 44(3), pages 45-51.
    15. World Bank, 2003. "World Development Indicators 2003," World Bank Publications - Books, The World Bank Group, number 13920.
    16. Lori Rosenkopf & Eric Abrahamson, 1999. "Modeling Reputational and Informational Influences in Threshold Models of Bandwagon Innovation Diffusion," Computational and Mathematical Organization Theory, Springer, vol. 5(4), pages 361-384, December.
    17. Capmany, Carlos & Hooker, Neal H. & Ozuna, Teofilo, Jr. & van Tilburg, Aad, 2000. "Iso 9000 -- A Marketing Tool For U.S. Agribusiness," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 3(1), pages 1-13.
    18. Kogut, Bruce & Parkinson, David, 1998. "Adoption of the Multidivisional Structure: Analyzing History from the Start," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 7(2), pages 249-273, June.
    19. Withers, Barbara & Ebrahimpour, Maling, 2000. "Does ISO 9000 certification affect the dimensions of quality used for competitive advantage?," European Management Journal, Elsevier, vol. 18(4), pages 431-443, August.
    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. Joseph A Clougherty & Michał Grajek, 2008. "The impact of ISO 9000 diffusion on trade and FDI: A new institutional analysis," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(4), pages 613-633, June.
    2. Paulo G. Correa & Ana M. Fernandes & Chris J. Uregian, 2010. "Technology Adoption and the Investment Climate: Firm-Level Evidence for Eastern Europe and Central Asia," The World Bank Economic Review, World Bank, vol. 24(1), pages 121-147, January.
    3. Herzfeld, Thomas & Drescher, Larissa S. & Grebitus, Carola, 2008. "Spread of retailer food quality standards: An international perspective," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44005, European Association of Agricultural Economists.
    4. repec:ebl:ecbull:v:17:y:2008:i:3:p:1-11 is not listed on IDEAS
    5. Kanittha Tambunlertchai, 2018. "Determinants And Barriers To Financial Inclusion In Myanmar: What Determines Access To Financial Services And What Hinders It?," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 63(01), pages 9-26, March.
    6. Christian Volpe Martincus & Sebastián Castresana & Tomás Castagnino, 2010. "ISO Standards: A Certificate to Expand Exports? Firm‐Level Evidence from Argentina," Review of International Economics, Wiley Blackwell, vol. 18(5), pages 896-912, November.

    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. Robert K. Fleck & Christopher Kilby, 2006. "World Bank Independence: A Model and Statistical Analysis of US Influence," Review of Development Economics, Wiley Blackwell, vol. 10(2), pages 224-240, May.
    2. Terziovski, Milé & Guerrero, Jose-Luis, 2014. "ISO 9000 quality system certification and its impact on product and process innovation performance," International Journal of Production Economics, Elsevier, vol. 158(C), pages 197-207.
    3. Eric Neumayer & Richard Perkins, 2004. "What Explains the Uneven Take-Up of ISO 14001 at the Global Level? A Panel-Data Analysis," Environment and Planning A, , vol. 36(5), pages 823-839, May.
    4. Nkamleu, Guy Blaise, 2006. "On measuring indebtedness of African countries: A stochastic frontier debt production function," MPRA Paper 14661, University Library of Munich, Germany.
    5. Charles J. Corbett, 2006. "Global Diffusion of ISO 9000 Certification Through Supply Chains," Manufacturing & Service Operations Management, INFORMS, vol. 8(4), pages 330-350, January.
    6. AfDB AfDB, 2006. "Working Paper 85 - On Measuring Indebtedness of African Countries: A Stochastic Frontier Debt Production Function," Working Paper Series 2219, African Development Bank.
    7. Magesan, Arvind, 2013. "Human Rights Treaty Ratification of Aid Receiving Countries," World Development, Elsevier, vol. 45(C), pages 175-188.
    8. Martinez-Costa, Micaela & Martinez-Lorente, Angel R. & Choi, Thomas Y., 2008. "Simultaneous consideration of TQM and ISO 9000 on performance and motivation: An empirical study of Spanish companies," International Journal of Production Economics, Elsevier, vol. 113(1), pages 23-39, May.
    9. Lessmann, Christian & Markwardt, Gunther, 2012. "Aid, Growth and Devolution," World Development, Elsevier, vol. 40(9), pages 1723-1749.
    10. Lessmann, Christian & Markwardt, Gunther, 2009. "Aid, growth and decentralization," Dresden Discussion Paper Series in Economics 09/09, Technische Universität Dresden, Faculty of Business and Economics, Department of Economics.
    11. Ignacio Amate-Fortes & Almudena Guarnido-Rueda & Agustin Molina-Morales, 2017. "Economic and Social Determinants of Human Development: A New Perspective," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 133(2), pages 561-577, September.
    12. Neumayer, Eric & Soysa, Indra de, 2006. "Globalization and the Right to Free Association and Collective Bargaining: An Empirical Analysis," World Development, Elsevier, vol. 34(1), pages 31-49, January.
    13. Indra de Soysa & Eric Neumayer, 2005. "Disarming Fears of Diversity: Ethnic Heterogeneity and State Militarization, 1988–2002," Public Economics 0503008, University Library of Munich, Germany, revised 01 Sep 2005.
    14. Ansgar Belke & Frank Baumgärtner & Friedrich Schneider & Ralph Setzer, 2005. "The Different Extent of Privatisation Proceeds in EU Countries: A Preliminary Explanation Using a Public Choice Approach," CESifo Working Paper Series 1600, CESifo.
    15. Eric Neumayer, 2004. "Asylum Destination Choice," European Union Politics, , vol. 5(2), pages 155-180, June.
    16. AfDB AfDB, 2006. "Working Paper 85 - On Measuring Indebtedness of African Countries: A Stochastic Frontier Debt Production Function," Working Paper Series 2299, African Development Bank.
    17. John James Quinn & David J. Simon, 2006. "Plus ça change, … : The Allocation of French ODA to Africa During and After the Cold War," International Interactions, Taylor & Francis Journals, vol. 32(3), pages 295-318, September.
    18. Richard Perkins & Eric Neumayer, 2010. "Geographic Variations in the Early Diffusion of Corporate Voluntary Standards: Comparing ISO 14001 and the Global Compact," Environment and Planning A, , vol. 42(2), pages 347-365, February.
    19. David Roodman, 2004. "An Index of Donor Performance," Working Papers 42, Center for Global Development.
    20. Gnangnon, Sena Kimm, 2013. "The consequences of fiscal episodes in OECD DAC countries for aid supply," The Quarterly Review of Economics and Finance, Elsevier, vol. 53(3), pages 302-313.

    More about this item

    Keywords

    ISO 9000; standards; cross-national diffusion; globalization; institutionalism;
    All these keywords.

    JEL classification:

    • L - Industrial Organization

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:wpa:wuwpio:0403006. 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: EconWPA (email available below). General contact details of provider: https://econwpa.ub.uni-muenchen.de .

    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.