TY - JOUR
T1 - Country level corruption as a liability of foreignness
T2 - Effects on staffing, incentives, and activities
AU - Mezias, John M.
AU - Mezias, Stephen J.
PY - 2010/12/1
Y1 - 2010/12/1
N2 - Past research examining country-level corruption found that corruption reduces foreign direct investment. However, this research lacks implications for multinational corporations considering operating in high corruption countries. Recent international research has examined subsidiary challenges beyond initial investment decisions, but has not addressed operational challenges posed by corruption. Research investigating country-level corruption as a liability of foreignness (LOF) is needed because this theoretical perspective specifically examines mechanisms for managing and controlling subsidiaries. This paper utilizes the LOF perspective, integrating learning, international human resource management, and agency theories, to understand how corruption affects subsidiary adaptation strategies.
AB - Past research examining country-level corruption found that corruption reduces foreign direct investment. However, this research lacks implications for multinational corporations considering operating in high corruption countries. Recent international research has examined subsidiary challenges beyond initial investment decisions, but has not addressed operational challenges posed by corruption. Research investigating country-level corruption as a liability of foreignness (LOF) is needed because this theoretical perspective specifically examines mechanisms for managing and controlling subsidiaries. This paper utilizes the LOF perspective, integrating learning, international human resource management, and agency theories, to understand how corruption affects subsidiary adaptation strategies.
UR - http://www.scopus.com/inward/record.url?scp=84856776175&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=84856776175&partnerID=8YFLogxK
U2 - 10.1108/S1571-5027(2010)00000230018
DO - 10.1108/S1571-5027(2010)00000230018
M3 - Article
AN - SCOPUS:84856776175
VL - 23
SP - 267
EP - 291
JO - Advances in International Management
JF - Advances in International Management
SN - 1571-5027
ER -
