Formal and informal CPAs on business strategy and performance

Menita Liu Cheng, Jianfeng Wu and Jianjun Zhang

Journal of Enterprising Communities: People and Places in the Global Economy, 2013, vol. 7, issue 3, 245-273

Abstract: Purpose - The purpose of this paper is to examine corporate political activities (CPA) by migrant entrepreneurs to improve business performance in a host developing country. Design/methodology/approach - The authors use a cross‐sectional analysis of 97 Chinese migrant entrepreneurs with business operations in a host developing economy. Findings - A significant positive relationship was found between formal CPAs and performance. Research limitations/implications - To further deepen the examination of CPAs, new quantification methodologies have to be applied to properly measure CPA relational strength, investment intensity and diversity. Practical implications - The results enable migrant entrepreneurs to make a more educated decision on the type of CPAs to pursue and to what intensity. Social implications - The results could motivate migrant entrepreneurs to adapt rapidly to the host country's formal customs to facilitate socio‐economic adaptation. Originality/value - This study contributes to literature by examining both formal and informal CPAs, their inter‐relationship and their effects on migrant businesses, which have not been examined previously.

Keywords: Immigrants; Entrepreneurs; Political strategy; Business formation; Political capital; Corporate political activities; Government relationship; Social capital; Guanxi; Electoral activities; Nonelectoral activities; Entrepreneurialism; Transnational migration (search for similar items in EconPapers)
Date: 2013
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:jecpps:v:7:y:2013:i:3:p:245-273

DOI: 10.1108/JEC-12-2011-0037

Access Statistics for this article

Journal of Enterprising Communities: People and Places in the Global Economy is currently edited by Prof Leo Dana and Andrea Caputo

More articles in Journal of Enterprising Communities: People and Places in the Global Economy from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().