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Academic SeminarInstitutional Legitimacy and Nonmarket Strategy:The Organizational Boundary Decision in Lobbying

  • Date
  • 2018-05-31 ~ 2018-05-31
  • Time
  • 12:00 ~ 13:30
  • Place
  • Building 9, #9303
  • Department
  • School of Management Engineering
  • Major
  • Technology/Organization/Strategy

We would like to invite you to participate in Management Engineering(ME) Seminar.

1. When: May 31st (Thursday), 12:00~13:30
2. Where: Building 9, #9303
3. Speaker: Prof. Jin Hyung Kim (George Washington University)
4. Topic: Institutional Legitimacy and Nonmarket Strategy: The Organizational Boundary Decision in Lobbying
5. Research field: Organization and Strategic management
* Lunch is provided during the seminar.
* Lecture will be delivered in English.

abstract:
This paper studies the organizational boundary decision of foreign firms’ corporate political activities depending upon their perceived legitimacy in the eyes of firms’ host-country stakeholders. We argue and show that foreign firms from a country whose regime is more similar to a host country where they operate are more likely to internalize a lobbying function because the costs of internalization is less than firms from dissimilar countries. We also demonstrate that the cognitive legitimacy is moderated by pragmatic legitimacy between a home and host countries. Empirically, the study examines 2,219 U.S. subsidiaries of foreign firms from 101 countries engaging in lobbying in the United States from 1998 to 2012. This paper makes theoretical contributions to nonmarket strategy, institutional theory, international business, and transaction costs economics.

Contact : Lee, Jisun ( jisunlee@kaist.ac.kr )

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