
Why exporting is still the main international business mode from emerging economies? evidence from institutional perspectives on the exporting RMG sector of Bangladesh.
Category:- Journal; Year:- 2021
Discipline:- Business Administration Discipline
School:- Management and Business Administration School
Abstract
This study was aimed at evaluating why exporting is still the main
mode of international business from emerging economies through investigating
the impact of institutional forces. Data were collected from ready-made
garments (RMG) industry of Bangladesh. Elements of regulatory, cognitive and
normative dimensions of institutions were developed based on Richard W. Scott's
institutional dimensions. This study has found that international firms from
emerging economies opted for exporting as a mode of international business
mainly because of the institutional voids in regulatory dimension. Complexities
in regulations and bureaucracies have been identified as major influencing
factors. Institutional voids resulting from cultural-cognitive and normative
dimensions pose lesser effect in choosing international business modes of
exporting. This research has made some apparent contribution to the
institutional theory.