Rethinking the literature on the performance of Chinese multinational enterprises

We synthesize the literature on Chinese multinational enterprises (MNEs) and find that much of the prior research is based on as few as a dozen case studies of Chinese firms. They are so case-specific that it has led to a misplaced call for new theories to explain Chinese firms’ internationalization. In an attempt to better relate theory with empirical evidence, we examine the largest 500 Chinese manufacturing firms. We aim to find out the number of Chinese manufacturing firms to be true MNEs by definition, and to examine their financial performance relative to global peers using the financial benchmarking method. We develop our theoretical perspectives from new internalization theory. We find that there are only 49 Chinese manufacturing firms to be true MNEs, whereas the rest is purely domestic firms. Their performance is poor relative to global peers. Chinese MNEs have home country bound firm-specific advantages (FSAs), which are built upon home country-specific advantages (home CSAs). They have not yet developed advanced management capabilities through recombination with host CSAs. Essentially, they acquire foreign firms to increase their sales in domestic market, but they fail to be competitive internationally and to achieve superior performance in overseas operations. Our findings have important strategic implications for managers, public policy makers, and academic research.

Taxes, corruption, and entry

Tax policies and corruption are important institutional considerations which can shape entrepreneurship. We investigate how tax rates, and the interaction between corruption and tax rates, influence variations in entry across a panel of 72 countries in the period 2005–2011. We use a series of panel estimations as well as several robustness checks to test these effects, using relevant controls for economic development, the size of the state, and other regulatory and tax policy measures. We find that higher tax rates consistently discourage entry. Further, we find that although the direct influence of corruption on entry is also consistently negative, the interaction influence of corruption and tax rate is positive. This indicates that corruption can offset the negative influence of high taxes on entry. We discuss the implications of our findings for policymakers and future research.

The teleconnection of the tropical Atlantic to Indo-Pacific sea surface temperatures on inter-annual to centennial time scales: a review of recent findings

In this paper, the teleconnections from the tropical Atlantic to the Indo-Pacific region from inter-annual to centennial time scales will be reviewed. Identified teleconnections and hypotheses on mechanisms at work are reviewed and further explored in a century-long pacemaker coupled ocean-atmosphere simulation ensemble. There is a substantial impact of the tropical Atlantic on the Pacific region at inter-annual time scales. An Atlantic Niño (Niña) event leads to rising (sinking) motion in the Atlantic region, which is compensated by sinking (rising) motion in the central-western Pacific. The sinking (rising) motion in the central-western Pacific induces easterly (westerly) surface wind anomalies just to the west, which alter the thermocline. These perturbations propagate eastward as upwelling (downwelling) Kelvin-waves, where they increase the probability for a La Niña (El Niño) event. Moreover, tropical North Atlantic sea surface temperature anomalies are also able to lead La Niña/El Niño development. At multidecadal time scales, a positive (negative) Atlantic Multidecadal Oscillation leads to a cooling (warming) of the eastern Pacific and a warming (cooling) of the western Pacific and Indian Ocean regions. The physical mechanism for this impact is similar to that at inter-annual time scales. At centennial time scales, the Atlantic warming induces a substantial reduction of the eastern Pacific warming even under CO2 increase and to a strong subsurface cooling.

The changing influence of societal culture on job satisfaction across Europe

This paper contributes to the growing multidisciplinary body of literature on subjective well-being by investigating the longitudinal stability and impact of societal cultural values (SCVs) – as opposed to the more common organizational values – on job satisfaction. It is assumed that SCVs evolve slowly; hence, their impact on job satisfaction is likely to remain stable over time. False adherence to this assumption could cause misalignment between organizational policies/practices and expectations formed by societal culture, decreasing job satisfaction and adversely affecting productivity, competiveness and prosperity. Four waves of the European Values Study are used to examine whether SCVs have evolved and their impacts on job satisfaction over a relatively short time: 1981–2008. SCVs are parameterized through reference to traditional vs secular-rational, and survival vs self-expression value continuums. Results indicate that the strength of many SCVs has declined, the impacts of traditional societal values on job satisfaction have remained fairly constant, and the impacts of survival societal values on job satisfaction have declined substantially over this sample period. These reductions in SCVs amplify the importance of accounting for such changes when designing new or adjusting existing policies/practices to enhance job satisfaction and stimulate improvements in productivity, competitiveness and prosperity.

Masked constituent priming of English compounds in native and nonnative speakers

The present research explores the degree of morphological structure of compound words in the native and nonnative lexicons, and provides additional data on the access to these representations. Native and nonnative speakers (L1 Spanish) of English were tested using a lexical decision task with masked priming of the compound’s constituents in isolation, including two orthographic conditions to control for a potential orthographic locus of effects. Both groups displayed reliable priming effects, unmediated by semantics, for the morphological but not the orthographic conditions as compared to an unrelated baseline. Results contribute further evidence of morphological structure in the lexicon of native speakers, and suggest that lexical representation and access in a second language are qualitatively comparable at relatively advanced levels of proficiency.

Structural features of condensed tannins affect in vitro ruminal methane production and fermentation characteristics

An in vitro study was conducted to investigate the effects of condensed tannins (CT) structural properties, i.e. average polymer size (or mean degree of polymerization); percentage of cis flavan-3-ols and percentage of prodelphinidins in CT extracts on methane production (CH4) and fermentation characteristics. CT were extracted from eight plants in order to obtain different CT types: black currant leaves, goat willow leaves, goat willow twigs, pine bark, red currant leaves, sainfoin plants, weeping willow catkins and white clover flowers. They were analysed for CT content and CT composition by thiolytic degradation, followed by HPLC analysis. Grass silage was used as a control substrate. Condensed tannins were added to the substrate at a concentration of 40 g/kg, with or without polyethylene glycol (+ or −PEG 6000 treatment) to inactivate tannins, and then incubated for 72 h in mixed buffered rumen fluid from three different lactating dairy cows per run. Total cumulative gas production (GP) was measured by an automated gas production system. During the incubation, 12 gas samples (10 μl) were collected from each bottle headspace at 0, 2, 4, 6, 8, 12, 24, 30, 36, 48, 56 and 72 h of incubation and analyzed for CH4. A modified Michaelis–Menten model was fitted to the CH4 concentration patterns and model estimates were used to calculate total cumulative CH4 production (GPCH4). Total cumulative gas production and GPCH4 curves were fitted using biphasic and monophasic modified Michaelis-Menten models, respectively. Addition of PEG increased GP, GPCH4, and CH4 concentration compared to the −PEG treatment. All CT types reduced GPCH4 and CH4 concentration. All CT increased the half time of GP and GPCH4. Moreover, all CT decreased the maximum rate of fermentation for GPCH4 and rate of substrate degradation. The correlation between CT structure and GPCH4 and fermentation characteristics showed that the proportion of prodelphinidins within CT had the largest effect on fermentation characteristics, followed by average 27 polymer size and percentage of cis-flavan-3-ols.

Effective interaction between monolayers of block copolymer compatiblizer in a polymer blend

The stability of ternary blends of two immiscible homopolymers and a block copolymer compatiblizer depends crucially on the effective interaction between the copolymermonolayers that form between the unlike homopolymer domains. Here, the interaction is calculated for blends involving A and B homopolymers of equal size with ABABdiblock copolymers of symmetric composition using both self-consistent field theory (SCFT) and strong-segregation theory (SST). If the homopolymers are larger than the copolymer molecules, an attractive interaction is predicted which would destroy the blend. This conclusion coupled with considerations regarding the elastic properties of the monolayer suggests that the optimum size of the homopolymer molecules is about 80% that of the copolymer molecule. A detailed examination of the theory demonstrates that the attraction results from the configurational entropy loss of the homopolymer molecules trapped between the copolymermonolayers. We conclude by suggesting how the monolayers can be altered in order to suppress this attraction and thus improve compatiblization.

Improving polymeric microemulsions with block copolymer polydispersity

Recent experiments have demonstrated that block copolymers are capable of stabilizing immiscible homopolymer blends producing bicontinuous microemulsion. The stability of these polymeric alloys requires the copolymer to form flexible, nonattractive monolayers along the homopolymer interfaces. We predict that copolymer polydispersity can substantially and simultaneously improve the monolayers in both of these respects. Furthermore, polydispersity should provide similar improvements in systems, such as colloidal suspensions and polymer/clay composites, that utilize polymer brushes to suppress attractive interactions.

A fast adaptive tunable RBF network for nonstationary systems

This paper describes a novel on-line learning approach for radial basis function (RBF) neural network. Based on an RBF network with individually tunable nodes and a fixed small model size, the weight vector is adjusted using the multi-innovation recursive least square algorithm on-line. When the residual error of the RBF network becomes large despite of the weight adaptation, an insignificant node with little contribution to the overall system is replaced by a new node. Structural parameters of the new node are optimized by proposed fast algorithms in order to significantly improve the modeling performance. The proposed scheme describes a novel, flexible, and fast way for on-line system identification problems. Simulation results show that the proposed approach can significantly outperform existing ones for nonstationary systems in particular.

The political economy of bovine tuberculosis in Great Britain

A brief history of bovine tuberculosis (bTB) and its control in Great Britain is presented. Numerous diverse policies to control the disease in man, cattle and wildlife have been pursued over the last 100 years and many millions of pounds have been spent. After notable success in reducing the incidence and prevalence of bTB in cattle in GB from the 1950s to the mid-1980s, the number of cattle slaughtered has increased with increased geographical spread continually since that time with a high point of bTB incidence in 2008. This increase appeared to coincide with changing policy regarding the control of the disease in badgers with a more humane approach adopted and with strengthened protection for badgers through legislation. Indeed, much controversy has been involved in the debate on the role of badgers in disease transmission to cattle and the need for their control as vectors of the disease with various commissioned research projects, trials, public consultations and media attention. The findings of two social science investigations presented as examples showed that citizens generally believed that bTB in cattle is an important issue that needs to be tackled but objected to badgers being killed, whilst cattle farmers were willing to pay around £17/animal/year for a bTB cattle vaccine. It is noted that successes regarding the control of bTB in other countries have combined both cattle and wildlife controls and had strong involvement from industry working with government.

Willingness-to-pay for a probabilistic flood forecast: a risk-based decision-making game

Probabilistic hydro-meteorological forecasts have over the last decades been used more frequently to communicate forecastuncertainty. This uncertainty is twofold, as it constitutes both an added value and a challenge for the forecaster and the user of the forecasts. Many authors have demonstrated the added (economic) value of probabilistic over deterministic forecasts across the water sector (e.g. flood protection, hydroelectric power management and navigation). However, the richness of the information is also a source of challenges for operational uses, due partially to the difficulty to transform the probability of occurrence of an event into a binary decision. This paper presents the results of a risk-based decision-making game on the topic of flood protection mitigation, called “How much are you prepared to pay for a forecast?”. The game was played at several workshops in 2015, which were attended by operational forecasters and academics working in the field of hydrometeorology. The aim of this game was to better understand the role of probabilistic forecasts in decision-making processes and their perceived value by decision-makers. Based on the participants’ willingness-to-pay for a forecast, the results of the game show that the value (or the usefulness) of a forecast depends on several factors, including the way users perceive the quality of their forecasts and link it to the perception of their own performances as decision-makers.