How does home government influence the internationalization of emerging market firms? The mediating role of strategic intents to internationalize

摘要

Purpose The purpose of this paper is to focus on the differential impact of government promotional measures and government ownership on two internationalization variables: location and speed of internationalization of emerging market multinationals (EMNEs). Central to the authors' study is the mediating role of strategic intents to internationalize. In particular, we study how government impacts the resource-seeking, market-seeking and technology-seeking motives to internationalize. Design/methodology/approach The empirical setting for the paper is Chinese companies that have internationalized via an equity based entry mode. The authors employ 672 firm responses collected by the Asia Pacific Foundation of Canada and the China Council for the Promotion of International Trade. Findings The empirical results demonstrate that different home government measures have differential impact on internationalization outcomes. Government promotional measures (such as direct incentives and bilateral agreements to support internationalization) have only an indirect effect on international location and speed through the effect they have on the strategic motives to internationalize; while government ownership in the company has a direct impact on international location.