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In this article we examine how the strength of the intellectual property rights (IPR) regime drives technology entrepreneurship innovation (TEI). The latter is comprised of novel unfamiliar technological products and new business models, which in turn lead to new product-market combinations. We consider TEI to be a two-stage process that involves access to and use of new technologies and technological resources by entrepreneurs. While stronger IPR may constrain easy availability of new technologies and technological resources for entrepreneurs, using technology itself helps lead to TEI. We suggest that stronger IPR regimes could lead to TEI. The positive effect of TEI is felt through easier accessibility to the latest technologies and technology resources by entrepreneurs. Our model contributes to understanding the effect of strong IPR regimes on different stages of the innovation process.

Abstract It is well recognized that in a service failure context, cultural value orientations interact with firm responses to service failures to influence perceptions of fairness (justice) and satisfaction. We examine whether this effect is applicable in the case of goods failure complaint context. Using an experimental design with data from Hong Kong and Canada, we investigate how customer evaluations of firm responses are influenced by interplay of consumers’ value orientation and nature of firm responses to the goods failure complaint [whether complaint resolution is initiated by the firm (vs. initiated by the customer), customer is informed about the progress of complaint resolution (vs. not informed about the progress)]. Our findings reveal that the cultural values of collectivism and uncertainty avoidance do interact with the nature of firm’s response to influence perception of interactional justice. Finally, interactional justice positively impacts overall complaint resolution satisfaction.

This study investigates how service small and medium-sized enterprises (SMEs) overcome challenges of internationalizing when expanding to markets that are both institutionally and geographically distant. The data is qualitative and collected through a forum on the internationalization of service SMEs. We examine high tech service SMEs from Alberta, Canada where most internationalization has occurred within North American Free Trade Agreement (NAFTA). We develop an understanding of how these firms need to consider the unique environments in institutionally distant economies to successfully enter Asian markets. Using industry and country experts, we develop a 4P (Potential, Proposition, Presence and Policy) framework for service SME strategies to expand to China, India and Korea. The article contributes to the sparse literature on the internationalization of service SMEs into institutionally distant markets.

Rendering four emotional competencies of the trait emotional intelligence model, well-being, self-control, adaptability, and sociability as culturally contextualized societal psychological capital, we explain their cross-cultural comparative influences on social and commercial entrepreneurship. We use psychological capital theory to establish emotional intelligence as one’s emotional competencies. Societies with an augmented supply of individuals with such competencies will have higher reserves of positive psychological capital making emotional intelligence as culturally contextualized that shape both commercial and social entrepreneurship. Using 30,924 responses from the Global Entrepreneurship Monitor (GEM) survey of 24 countries and supplementing data from World Values Survey (WVS), our multilevel analyses show that societal eudaimonic well-being and sociability increase the likelihood of social entrepreneurship more than commercial entrepreneurship whereas societal hedonic well-being, adaptability, and self-control increase that of commercial entrepreneurship more than social entrepreneurship, implying that culturally contextualized emotional intelligence shapes commercial and social entrepreneurship differently across nations. Our findings offer policy implications for country-specific programs that tap into societal emotional competencies for entrepreneurship pedagogy, sustainability goals, and emotional intelligence-based training for entrepreneurs.Plain English SummaryEmotional intelligence operates above and beyond just the individual. It can manifest itself as culturally contextualized emotional competencies and present as national framework conditions affecting social and commercial entrepreneurship. Our study proposes that the four components of emotional intelligence, such as well-being, self-control, adaptability, and sociability, are societal-level reserves of psychological capital that influence individual-level social and commercial entrepreneurship in different ways. Analyzing Global Entrepreneurship Monitor (GEM) data from 24 countries, we show that while societal eudaimonic well-being and sociability components of culturally contextualized emotional intelligence increase the likelihood of social entrepreneurship more than commercial entrepreneurship, the hedonic well-being, adaptability, and self-control increase the likelihood of commercial entrepreneurship more than social entrepreneurship. Our findings can inform government policies to develop country-specific programs to tap societal reserves of emotional competencies specifically to drive both commercial and social entrepreneurship.

This article examines the extent to which culturally endorsed transformational leadership theories (CLTs) and the sustainability of society, both considered societal level institutional indicators, impact the emergence of social entrepreneurship. Using 107,738 individual-level responses from 27 countries for the year 2009 obtained from the Global Entrepreneurship Monitor (GEM) survey, and supplementing with country-level data obtained from Global Leadership and Organizational Behavior Effectiveness (GLOBE) and Sustainability Society Foundation (SSF), our findings from multilevel analysis show that transformational CLTs and sustainability conditions of society positively influence the likelihood of individuals becoming social entrepreneurs. Further, the effectiveness of transformational CLTs matters more for social entrepreneurship when the sustainability of society is low, which suggests the interaction between cultural leadership styles and societal sustainability. This article contributes to comparative entrepreneurship research by introducing strong cultural antecedents of social entrepreneurship in transformational CLTs and societal sustainability. We discuss various implications and limitations of our study, and we suggest directions for future research.

The purpose of this conceptual article is to understand how the interplay of national-level institutions of culturally endorsed leadership styles, government effectiveness, and societal trust affects individual likelihood to become social entrepreneurs. We present an institutional framework comprising cultural leadership styles (normative institutions), government effectiveness (regulatory institutions), and societal trust (cognitive institutions) to predict individual likelihood of social entrepreneurship. Using the insight of culture–entrepreneurship fit and drawing on institutional configuration perspective we posit that culturally endorsed implicit leadership theories (CLTs) of charismatic and participatory leadership positively impact the likelihood of individuals becoming social entrepreneurs. Further, we posit that this impact is particularly pronounced when a country’s regulatory quality manifested by government effectiveness is supportive of social entrepreneurship and when there exist high levels of societal trust. Research on CLTs and their impact on entrepreneurial behavior is limited. We contribute to comparative entrepreneurship research by introducing a cultural antecedent of social entrepreneurship in CLTs and through a deeper understanding of their interplay with national-level institutions to draw the boundary conditions of our framework.

Hybrid businesses that combine profit and social objectives at their core play an important role in their communities. In this article, we use insights from paradox theory to examine the influence of entrepreneurs’ cultural value orientations and ethnicity on distinct forms of hybrid businesses. We use a unique random sample of international small- and medium-sized privately owned businesses in Canada. After controlling for alternative explanations and using propensity scores to match the samples of Indigenous and non-Indigenous entrepreneurs, we consistently find that entrepreneurs’ self-expression values and Indigenous ethnicity are positively associated with a higher degree of hybridity in the businesses they start. Our findings contribute to the conversations on the micro-foundations of organizational paradox and to the literature on the factors that influence different hybrid organizational forms. Besides, our findings also add to the literature that examines hybridity in the context of internationalized businesses. The rationality and culture of the entrepreneur affect organizational paradox. Entrepreneurs with self-expressive values and identified with an Indigenous ethnicity have higher proclivities to form ideal hybrids and embrace paradoxical organizational forms.

We examine the impact of firm ownership (public vs. private) and the perception of the reputation of the quality of suppliers of the country from where products are sourced on time-to-recall of defective products from the market. Operationalizing time-to-recall as the time that has elapsed from the date of first sale in the market to the date it was recalled, we test the influence of the interplay between firm ownership and perception of the reputation of the quality of suppliers of the country on time-to-recall using data on 400 toy recalls issued in the USA during 2007–2018. We find that time-to-recall is shorter for publicly traded firms than it is for private firms. This effect is more pronounced when the products are sourced from countries with poor perception of the reputation of the quality of suppliers. We discuss the research and managerial implications of our findings.

In recent years, there have been several highprofile recalls of hybrid products (those where organizations in multiple countries take part in the design, component sourcing, manufacturing, and marketing of a product). If consumers perceive a global firm to be responsible for the recall, then it will reduce their brand equity. Therefore, global firms may respond in ethically questionable ways to justify themselves to important stakeholders and avoid blame. Understanding how stakeholders attribute blame for crises involving hybrid products is important to shed light on the unethical manner in which global firms might avoid blame in such situations. The research reported here shows that in a hybrid product crisis, consumers show a bias in favor of the brand company and against the manufacturing company. This bias is more pronounced when the country of manufacture has an unfavorable image or when consumers lack familiarity with the recalled brand. Ambiguous recall announcements by companies that fail to provide a specific and clear reason for the product defect prompt consumers to assume that a manufacturing flaw caused the product defect. As a result, consumers reduce their attribution of blame for the brand company, and thus its brand equity is maintained.

PurposeThis study aims to investigate the effects of firm characteristics and crisis characteristics on remedies offered to consumers by firms in the event of a product recall crisis.Design/methodology/approachPublished data on 868 product recalls in the US toy industry from 1988 to 2011 have been used to investigate the effects of firm experience in product recalls, type of firm (company versus intermediary) and product recall severity in predicting remedies offered to consumers in the event of a product recall.FindingsThe findings show that firm recall experience, firm type and recall severity are negatively associated with recall remedies offered. Specifically, firms offer lower remedies if they have higher recall experience, if they are upstream firms in the supply chain (farther from consumers) and if the recall is more severe.Research limitations/implicationsThis study focuses on the toy industry and does not consider product complexity, firm reputation and the role of external regulatory agencies in the prediction of remedies offered by firms. Future research may extend this study to include the above factors.Practical implicationsOffering a high remedy to consumers of a recalled product may be a responsible decision by a firm, but it may also attract shareholder wrath. The study has implications for managing multiple goals in product recall crisis management.Originality/valueStudies focused on issues of interest to consumers during a recall crisis, such as swift recalls and appropriate remedies, are limited. This study contributes to the understanding of the antecedents of recall remedies.