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| Author: | Tan, J. Wang, L. |
| Title: | MNC strategic responses to ethical pressure: an institutional logic perspective |
| Journal: | Journal of Business Ethics
2011 : FEB I, VOL. 98:3, p. 373-390 |
| Index terms: | multinational companies business ethics theories |
| Freeterms: | institutional logic |
| Language: | eng |
| Abstract: | This study aims to examine how multinational corporations (MNCs) balance ethical pressures from both the home and host countries. Drawing on theories from institutional theory, international business, and business ethics, a theoretical framework is built to explain the ethical behaviour of MNCs. The institutional logic concept is applied to explore how MNCs with established logics and principles grown in the home country respond to local ethical expectations in the host country. The core values from the peripheral components of a MNC's institutional logic are differentiated. It is proposed that a MNC will exercise distinctive ethical strategies under different scenarios and choose the 'right' core value configuration and peripheral components that align with institutional environment in host countries. |
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