Pro-internationalisation policies and outward foreign direct investment

This thesis addresses the impacts of public policies on outward foreign direct investment, seeking to contribute to a better understanding of the interplay between pro-internationalisation policies and firm behaviour. Home country measures associated with these policies are explored in terms of use and awareness, as determinants of foreign direct investment, as drivers of policy objectives, in terms of perceived importance and impact in different scenarios of internationalisation. Using a comprehensive database of 441 Portuguese firms, being those that had participated at least in one of the 11 types of public support between 1994 and 2009. The empirical papers presented here reveal a moderating effect of firm capabilities and internationalisation conditions on policy objectives. In fact, firms’ resources and capabilities frame the awareness and use of home country support measures, the existence of public policy determinants of foreign direct investment, the decision to carry out more aggressive modes of entry and the choice of more demanding environments, the impact of policy objectives, and the perceived importance of incentives. In practical terms, the findings of this thesis points that firms’ resources and capabilities are negatively associated with the use of public support, contrasting with awareness, which is found to increase with firms’ resources and capabilities. This insight sheds light on a potential problem of incentives allocation. Our results support the established theorizing about the co-evolution of government and firms' policies, home country measures being found as determinants of foreign direct investment. It is also shown that prointernationalization policies reinforce the firms’ resources and capabilities, which seems to have a positive impact on international growth. An evaluation of public policy, from the foreign direct investor's lens, supports the argument that firms involved in more demanding projects tend to attribute more importance to public supports. Behind the specific and concrete contributions identified in each of the empirical papers, as a whole this thesis makes methodological contributions by introducing the evaluation of impacts of public policies to the field of international business through the firm perspective; these contributions are achieved by taking the pro-internationalisation policies of a small open economy to better understand the impacts of public policies, and by shedding light on co-evolution between resource and institutional-based views.

The analysis of political will and its role in leadership: a study of portuguese mayors

This thesis analyses the concept of Political Will, suggests its operationalization and establishes a typological theory that provides the necessary support for the diverse strategies of action of a leader. It claims that political leadership styles articulate a choice of action that results from the Political Will of a leader, which is determined by his intention and his discerned possibilities to act. One main research question guided our research: How does a political leader select and change his leadership style? The most illustrative literature on political leadership is reviewed and the characteristics of democratic governance are analyzed. This is followed by an overview of the most noteworthy theories on the theme and a claim for the need of concept coherence, given the multiplicity of the existent standpoints. After that, we concentrate on leadership styles, with a focus on the local governance context. Human action and intentionality are addressed with particular attention, as well as the motivational drivers for action, in order to advance a conceptualization of Political Will through two dimensions: intention and possibility. This analysis led to a number of relevant propositions: (1) Political Will ‘exists’ when the agent has the intent and the possibility to act; (2) these two dimensions ‘translate’ simultaneously what the agent believes he must do and can do; (3) Intention and possibility reflect diverse but limited worldviews; (4) political leadership styles result from the agent’s Political Will; (5) different combinations of the expected and actual worldviews result in different leadership styles; and (6) political leadership styles can change accordingly to several strategies which allow conformity or reflect reaction to worldviews. We suggested the operationalization of the two dimensions of Political Will through the analytical tool of Grid-group Theory, which provided the identification of the heuristic devices that allowed further comprehension on the subjectivity of the agent’s choice. Four standard property spaces – representing four types of leadership styles – result from a preliminary approach to this process. Afterwards, and because these dimensions operate simultaneously, we advance on the analysis and suggest some plausible heuristical conflicts to happen and describe which consequences, strategies and type migrations are conceivable. An inclusive and more complete set of resulting property spaces renders fourteen different types of leadership styles and sixty different predictable causal paths that result from the expected migration strategies. Case-studies were conducted as plausibility probes designed to provide improvements to our theoretical claims and addressed the cases we selected for research purposes: Portuguese Mayors. The findings from five case studies are discussed and the probable impact and congruence of each with the theoretical claims are assessed. The communalities of the causal mechanisms related to the function of intention and possibility as the dimensions of Political Will and their role in explaining different leadership styles are, finally, addressed. To conclude, we advance some repercussions, mainly in the public policies field of research, and suggest a number of different and necessary paths for further work.

Revenue diversification in higher education: the case of Portugal

Socio-economic changes, alterations in societal expectations and new public policies have put pressures on higher education public funding, bringing the issue of funding diversification to the forefront. Income diversification, namely, generation of funds from private, as well as from competitive public sources, has become increasingly important in European higher education due to a complex financial environment and perceived deficit of innovation transfer. Although there are numerous studies about changes in national funding systems and allocation mechanisms, few have focused on diversification of funding sources, especially in the European context, making Portugal no exception. Thus, this study aims at exploring income diversification at the institutional level and its influence on the internal organisational structures. For this purpose two Portuguese public universities were chosen as case studies. The empirical material was collected through semi-structured interviews with top management and middle management of each university and through documentary analysis. Data analysis demonstrated that both universities are in the process of institutionalizing and formalising practices of income diversification, notably by getting more professional in how they are dealing with external stakeholders, such as businesses, local community, and students. However, the study also revealed that there is no formal, organised strategy to deal with income diversification. In general, the universities are reacting to external demands rather than pro-actively exploring opportunities. In this respect, the analysis determined several factors that promote or inhibit income diversification activities. Quality and favourable organizational culture were named by the interviewees as the most relevant factors for successful income diversification. External factors such as legal arrangements and funding conditions were cited as major constraints. This research has also revealed that revenue diversification activities tend to develop along the continuum towards higher sophistication and systematisation of activities that are supported by a powerful infrastructure. Together with efforts at the institutional level, the role of government policies proves to be crucial in providing tools and incentives to higher education institutions and creating a harmonious higher education system.

Ensaios sobre o crescimento económico regional e a dinâmica do processo de convergência

The research is centred on economic growth and it adopts a regional view focused on European regions (NUTS 2). Under analysis is the undergoing convergence process in Europe to evaluate if there is an increase in regional economic growth and a simultaneous decrease in regional disparities. The empirical evidence shows signs of transience on the regional convergence process, along with the formation of several clusters of regions. Considering this evidence it is of interest to assess the profiles of such clusters, and evaluate the homogeneousness of its regions and their spread across European space. As suggested in the literature, space is a relevant factor in the spread of clusters, according to the different variables (regions profiles, diversity measures and growth indicators). Regional disparities across Europe are, on average, large and persistent, with a high degree of stability among the relative rankings of European regions. Such results cast shadows about the impact of European structural funding in diminishing regional disparities. Such an approach is of interest due to the growing need to evaluate the effectiveness and efficiency of public policies implemented. The fact that there is an undergoing process of economic integration in Europe increases the usefulness of such an analysis, especially in a context in which European public funds are negotiated and granted.