The dynamic view of institutional theory raises new questions on how institutional change influences firms’ strategies and success. As prior research has disagreed over the effect of pro-market reforms on firm’ performance, the conflicting findings lead to the argument that prior studies mainly focused on the scope of pro-market reforms, without acknowledging that the process of institutional change matters. However, how does the process of institutional change in the European Union influences firm performance remains unanswered. The purpose of this study is to further disentangle the process of institutional change and understand how the speed, predictability, and synchronization of institutional change defines the level of institutional fragility and influence firm performance in the European Union. We argue that an institutional environment is deemed fragile when different institutional dimensions are not progressing equally and thus causing additional friction, conflict, and complexity. Our results show that a predictable and synchronized process of institutional change is preferable to further improving firm performance in the EU. We contribute to the literature on the dynamics of institutional change and firm performance by proposing a disentangled process of institutional change in the EU.

In the past two decades, cluster policies have become key tools for fostering competitiveness and economic development globally. The EU's Next Generation EU program and Spain's Strategic Projects for Economic Recovery and Transformation (PERTE) exemplify these efforts. These policies, encompassing project calls and grants at various levels, target specific company populations meeting economic significance and associativity criteria.

Cluster management organizations (CMOs) play crucial roles in these policies, guiding project development and cluster activities. Despite progress, significant challenges persist in CMO management, particularly in company internationalization.

This work analyzes biases and barriers in cluster policy implementation, focusing on Spain and internationalization. Data from 108 CMOs representing over 13,000 members reveal heterogeneous spatial and productive dispersion across Spain, explaining the varied international strategies of clusters. These findings enhance our understanding of cluster policies and can influence future policy decisions.

Prior studies examining the impact of government-created advantages on Outward Foreign Direct Investments have overcome to apply it to Inward Foreign Direct Investments (FDI). This paper advocates that this lack of association is due to insufficient data to capture policies that produce incentives. Drawing upon New Institutional Economics, the paper argues that the Turkish government is incentive-driven and improves the FDI attraction in the country. Next, the paper constructs Regulation, Promotion & Service (Marketing), and Supervision Policies (indices) based on two criteria: the department number and the policy content. The sample consists of 173 IFDI policies concluded between 1980 and 2022 by the Turkish government. Last, the study articulates four research hypotheses. Results indicate that Regulation, Promotion, and Service Policies improve Turkish IFDI, whereas, Supervision Policies do not affect the Turkish IFDI level. Managerial Implications and Avenues for Future Research are presented.

Using a historical case study, we explore how international legal challenges can trigger unexpected consequences for local industries, leading to member mobilization and industry restructuring. It examines the case of the Canadian wine kit manufacturing industry's response to a legal challenge from French Institut National des Appellations d’Origine (INAO) over the use of geographical trademarks of French wines on Canadian wine kits following the introduction of Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement. We show how the adoption of TRIPS exposed Canadian wine kit manufacturers to a legal challenge from France. How the manufacturers responded by creating a peak organization - Canadian Home Wine and Trade Association (CHWTA) to represent their interest in the litigation, and how this peak organization, once the dispute was resolved, strategically pivoted towards a more aggressive market expansion activities. We contribute to research in international business and non-market strategy by highlighting the impact of international legal challenges on local industries and explicating the role of peak organizations in industry mobilization and strategic adaptation.

Based on an integrated conceptual model combining institutional theory and strategic asset seeking we study the effects of formal institutional distance and Technological prowess on the probability of completion of cross-border M&As.

This study uses cross-sectional firm-level secondary data from developed and developing Asian acquisitions of EU28 and US target companies during the period from 2010 to 2019. The determinants of M&A completion are analyzed using a logit model to test the hypotheses.

The likelihood of M&A completion by Asian companies showed to be lower in the case of higher institutional distance between acquirer and target countries. It is higher in the higher tech target industries, which points to a clear asset seeking motivation.The direction of the institutional distance between the acquirer and the target country matters. If the Asian acquirer has a lower formal institutional profile than its EU or US target, this enhances the probability of M&A completion in higher technology intensive target industries. This effect can not be acknowledged for Asian acquirers originating from a country with a higher institutional profile than its target.