Managerial ties and firm performance in a transition economy: The nature of a micro-macro link

Mike W. Peng, Yadong Luo

Research output: Contribution to journalArticle

1324 Citations (Scopus)

Abstract

Using survey data from China, we demonstrate that managers' micro interpersonal ties with top executives at other firms and with government officials help improve macro organizational performance. This micro-macro link differs among firms with different (1) ownership types, (2) business sectors, (3) sizes, and (4) industry growth rates. In addition, managerial ties were found to be necessary but insufficient for good performance; a number of traditional strategy variables also drive performance. Theoretically, the findings point to the importance of the social context in which managerial ties are embedded. Empirically, this study provides the first set of quantitative data demonstrating both the extent and limits to which managerial ties are beneficial in a transition economy.

Original languageEnglish (US)
Pages (from-to)486-501
Number of pages16
JournalAcademy of Management Journal
Volume43
Issue number3
StatePublished - Jun 2000
Externally publishedYes

Fingerprint

Macros
Industry
Managers
Transition economies
Managerial ties
Firm performance
Social context
Ownership
Government
Survey data
Organizational performance
Business sector
China

ASJC Scopus subject areas

  • Business, Management and Accounting(all)
  • Business and International Management
  • Management of Technology and Innovation
  • Strategy and Management

Cite this

Managerial ties and firm performance in a transition economy : The nature of a micro-macro link. / Peng, Mike W.; Luo, Yadong.

In: Academy of Management Journal, Vol. 43, No. 3, 06.2000, p. 486-501.

Research output: Contribution to journalArticle

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