Edited by Philip Cooke and Luciana Lazzeretti
Edited by Bernard Fingleton
Spatial Dynamics in the Urban Century
Edited by Karima Kourtit, Peter Nijkamp and Roger R. Stough
A Global Perspective
Edited by Masatsugo Tsuji, Emanuelo Giovannetti and Mitsuhiro Kagami
Knowledge, Technology and Internationalization
Edited by Charlie Karlsson, Urban Gråsjö and Sofia Wixe
Cohesion, Results-Orientation and Smart Specialisation
Charlie Karlsson, Andreas P. Cornett and Tina Wallin
Ossi Pesämaa and Martin Svensson
Principal–agency theory has influenced the formation of corporate boards worldwide. However, the viability of such an outsider-owned model has also been questioned. Weak empirical support between the structure of corporate boards and the performance of firms, and examples of bankruptcies in companies such as Enron, Lehman Brothers and Worldcom, raise doubts about the efficiency of boards. Many Asian countries are dominated by another type of model – insider governance models – relying on families and close relationships instead. Based on the central tenets of principal–agent theory and macro-level data (2006–14), we analyse differences in board efficiency between emerging economies in Asia and western economies. The findings unveil a ‘cultural effect’ where board efficiency better predicts the insider-orientated governance model that is prevalent in eastern economies. The viability of principal–agency theory as a unifying model is discussed, and then practical implications and recommendations for further research are outlined.
Gary Cook, Yevgeniya Shevtsova and Hans Lööf
The chapter studies the impact of local and global external knowledge on the innovativeness and productivity of the multinational corporations across the UK. Using the global openness of a firm’s regional industry and its regional economy as proxies for global knowledge flows, the chapter provides new evidence of local and global knowledge spillovers. We find the evidence of positive cluster effects for both strength in the firm’s own industry and the scale and diversity of the industrial base in the firm’s NUTS2 area. We also find that the presence of foreign multinational enterprises (MNEs) in the firm’s line of activity and NUTS2 area has a negative effect on both its patenting and productivity growth. The impact of access to knowledge-intensive professional services is positive for foreign MNEs, except for the high-technology establishments, and positive and significant for the productivity growth in domestic MNEs.
One of the most salient features of the modern economy is the globalization of production, and one key actor contributing to this development is the multinational firm. Understanding where multinational firms locate and how they operate is at the heart of academic disciplines such as international business and, more recently, international trade. An important factor shaping the location decision is the role of bilateral distance between the home and host countries. In particular, researchers have shown that cultural, institutional, geographical and economic distance between home and host countries all have a bearing on the firm’s location decision. However, ongoing developments call into question current understanding of the role of bilateral distance. This chapter reviews the literature on the effect of bilateral distance between the home and host countries on the location behaviour of multinationals, highlighting key areas for future research to address.