Proactive Environmental Strategy, Foreign Institutional Pressures, and Internationalization of Chinese SMEs

Dr. Wai Wai Ko, Prof. Yantai Chen, Dr. Cheng-Hao Steve Chen, Dr. Meng-Shan Sharon Wu and Prof. Gordon Liu

Journal of World Business, 2021, vol. 56, issue 6

Abstract: We explain how proactive environmental strategy affects emerging country small- and medium-sized enterprise (SME) internationalization and the contingency roles of foreign institutional environment. A survey of 217 Chinese SMEs reveals the positive effects of proactive environmental strategy on inward-focused and outward-focused internationalization activities. The results also show that foreign institutional pressures influence such effects in nonlinear ways. That is, a medium level of foreign environmental regulatory pressure maximizes the positive effects of proactive environmental strategy on inward-focused internationalization activities, while a medium level of foreign environmental customer pressure maximizes the positive effects of proactive environmental strategy on outward-focused internationalization activities.

Keywords: Proactive environmental strategy; Institutional pressures; Sme internationalization; Emerging countries; China (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (6)

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DOI: 10.1016/j.jwb.2021.101247

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