Identity community, and audience: How wholly owned foreign subsidiaries gain legitimacy in China

• 成果类型: Article
• 署名作者: Li, Jiatao; Yang, Jing Yu; Yue, Deborah R.
• 署名单位: Hong Kong University of Science & Technology; University of Sydney; Stanford University
• 刊物名称: ACADEMY OF MANAGEMENT JOURNAL
• ISSN/ISSBN: 0001-4273
• DOI: 10.5465/20159846
• 发表日期: 2007
• 页码: 175-190
• 关键词: SOUTH-KOREAN FIRMS; business groups; entry mode; ORGANIZATIONAL LEGITIMACY; FORMAL-STRUCTURE; JAPANESE FIRMS; joint ventures; imitation; EVOLUTION; CHOICE

摘要

Conceptualizing different foreign entry modes as distinct organizational forms, we examine how wholly owned foreign subsidiaries (WOFSs) gain legitimacy in a host country. Drawing on the institutional and ecological perspectives, we build a legitimation framework based on the ideas of identity, community, and audience. Specifically, we identify dual sources of legitimating influences for these subsidiaries in China in 1979-95: foreign direct investment (FDI) communities, and host country public opinion. Our findings reveal that the legitimation and competition dynamics of FDI communities and Chinese acceptance of the organizational form both influenced adoption of wholly owned foreign subsidiaries in China.