Institutional Exceptions on Global Projects: A Process Model

This inductive study offers an examination of 23 cases in which informants from firms engaged in large-scale global projects reported unforeseen costs after failing to comprehend cognitive-cultural, normative, and/or regulative institutions in an unfamiliar host societal context. The study builds on...

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Veröffentlicht in:Journal of international business studies 2008-06, Vol.39 (4), p.562-588
Hauptverfasser: Orr, Ryan J., Scott, W. Richard
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Scott, W. Richard
description This inductive study offers an examination of 23 cases in which informants from firms engaged in large-scale global projects reported unforeseen costs after failing to comprehend cognitive-cultural, normative, and/or regulative institutions in an unfamiliar host societal context. The study builds on the conceptual framework of institutional theory. The findings, which include propositions and a generic narrative model, contribute to theoretical knowledge of how institutional exceptions arise, how they are resolved, and how they typically involve three general phases: ignorance, sensemaking, and response. The findings also articulate the kinds of institutional transaction costs that an entrant incurs in each of the three phases, and the conditions that lead to the growth of these costs.
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subjects Business and Management
Business Strategy/Leadership
Business structures
Case studies
Commercial regulation
Cross border transactions
Design engineering
Economic statistics
Economic theory
Foreign investment
International Business
Labor unions
Management
Normativity
Organization
Part Special Issue: Institutions and International Business
Project design
Project management
Sense making
Studies
Theory
Traditional knowledge
Transaction costs
Travel expenses
title Institutional Exceptions on Global Projects: A Process Model
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