Addressing the cross-boundary missing link between corporate political activities and firm competencies: The mediating role of institutional capital

Yu Gao; Zhuoer Yang; Kuo Feng Huang; Shanxing Gao; Wei Yang

doi:10.1016/j.ibusrev.2017.07.006

Addressing the cross-boundary missing link between corporate political activities and firm competencies: The mediating role of institutional capital

Yu Gao
, Zhuoer Yang
, Kuo Feng Huang
, Shanxing Gao
, Wei Yang

School of Management

Research output: Contribution to journal › Article › peer-review

27 Scopus citations

Abstract

This study examines the mediating effect of institutional capital on the relationship between corporate political activities (CPA) and firm competencies. By adopting an institutional perspective, we identify the influence of a firm's relational CPA and participation CPA, and its two types of institutional capitals, formal institutional capital (FIC) and informal institutional capital (IIC), on the firm's competencies. Based on survey data from multi-informants in 303 Chinese firms, our results suggest that firms’ institutional capital (IIC/FIC) partially/fully mediates the relationship between CPA and firm competencies. The findings provide the evidence that how nonmarket strategy, such as corporate political activities, affects a firm's institutional capital and then its competencies.

Original language	English
Pages (from-to)	259-268
Number of pages	10
Journal	International Business Review
Volume	27
Issue number	1
DOIs	https://doi.org/10.1016/j.ibusrev.2017.07.006
State	Published - Feb 2018

Keywords

Corporate political activity
Institutional capital
Internal capability

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10.1016/j.ibusrev.2017.07.006

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title = "Addressing the cross-boundary missing link between corporate political activities and firm competencies: The mediating role of institutional capital",

abstract = "This study examines the mediating effect of institutional capital on the relationship between corporate political activities (CPA) and firm competencies. By adopting an institutional perspective, we identify the influence of a firm's relational CPA and participation CPA, and its two types of institutional capitals, formal institutional capital (FIC) and informal institutional capital (IIC), on the firm's competencies. Based on survey data from multi-informants in 303 Chinese firms, our results suggest that firms{\textquoteright} institutional capital (IIC/FIC) partially/fully mediates the relationship between CPA and firm competencies. The findings provide the evidence that how nonmarket strategy, such as corporate political activities, affects a firm's institutional capital and then its competencies.",

keywords = "Corporate political activity, Institutional capital, Internal capability",

author = "Yu Gao and Zhuoer Yang and Huang, \{Kuo Feng\} and Shanxing Gao and Wei Yang",

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year = "2018",

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doi = "10.1016/j.ibusrev.2017.07.006",

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T1 - Addressing the cross-boundary missing link between corporate political activities and firm competencies

T2 - The mediating role of institutional capital

AU - Gao, Yu

AU - Yang, Zhuoer

AU - Huang, Kuo Feng

AU - Gao, Shanxing

AU - Yang, Wei

PY - 2018/2

Y1 - 2018/2

N2 - This study examines the mediating effect of institutional capital on the relationship between corporate political activities (CPA) and firm competencies. By adopting an institutional perspective, we identify the influence of a firm's relational CPA and participation CPA, and its two types of institutional capitals, formal institutional capital (FIC) and informal institutional capital (IIC), on the firm's competencies. Based on survey data from multi-informants in 303 Chinese firms, our results suggest that firms’ institutional capital (IIC/FIC) partially/fully mediates the relationship between CPA and firm competencies. The findings provide the evidence that how nonmarket strategy, such as corporate political activities, affects a firm's institutional capital and then its competencies.

AB - This study examines the mediating effect of institutional capital on the relationship between corporate political activities (CPA) and firm competencies. By adopting an institutional perspective, we identify the influence of a firm's relational CPA and participation CPA, and its two types of institutional capitals, formal institutional capital (FIC) and informal institutional capital (IIC), on the firm's competencies. Based on survey data from multi-informants in 303 Chinese firms, our results suggest that firms’ institutional capital (IIC/FIC) partially/fully mediates the relationship between CPA and firm competencies. The findings provide the evidence that how nonmarket strategy, such as corporate political activities, affects a firm's institutional capital and then its competencies.

KW - Corporate political activity

KW - Institutional capital

KW - Internal capability

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DO - 10.1016/j.ibusrev.2017.07.006

M3 - 文章

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SN - 0969-5931

VL - 27

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EP - 268

JO - International Business Review

JF - International Business Review

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ER -

Addressing the cross-boundary missing link between corporate political activities and firm competencies: The mediating role of institutional capital

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