Jack Austin Centre for Asia Pacific Business Studies
Are State Owned Enterprises Home biased? A Cross-Country Institutional Perspective
Free
Abstract: State owned enterprises (SOEs) play different roles in different societies and the internationalization of SOEs is driven by each country’s economic institutions. In particular, national institutions shape the ability of civil society and minority shareholders to monitor and influence SOEs strategies. We argue that if such controls are weak, SOEs are likely to pursue non-benevolent strategies, which tend to be predominantly domestic. On the other hand, with more effective controls, this domestic bias tends to be less pronounced, and SOEs will be more energetic in their internationalization strategies. Following Williamson, we operationalize the controls over firms by considering a hierarchy of institutions: informal, formal and governance institutions. Based on a matched sample of 153 SOEs and POEs from some 40 different countries, we confirm our hypotheses. Our findings suggest that if home country institutions enable effective control, the internationalization strategies of SOEs and POEs converge. These findings lead to a broader debate over the role of SOEs in different societies. |
Date: |
Tuesday, January 28, 2014 |
Time: |
10:30am – 12:00pm Presentation & QA Light refreshments will be provided |
Location: |
Segal Graduate School 500 Granville Street, Vancouver Room 2800 (2nd floor) |
Cost: |
Complimentary |
RSVP: |
Registration is now closed. |
Inquiries: |
Please contact beedie-events@sfu.ca for inquiries. |