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The Full Canvas: Exploring the Bright and Dark Sides of International Business Strategy

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The New Frontiers of International Business

Part of the book series: Contributions to Management Science ((MANAGEMENT SC.))

Abstract

In this chapter, we survey the current state of international business (IB) theorizing and propose a future research agenda that takes into account both the “bright” and “dark” sides of international business strategy. We argue that, in recent years, IB scholarship has at times been too focused on opportunities presented by contemporary business phenomena, to the neglect of potential challenges, and sometimes vice versa. We identify ten contemporary phenomena that represent “grand challenges” in IB research and practice: (1) digital globalization; (2) headquarters-subsidiary relationships; (3) cultural diversity and global teams; (4) new forms of nationalism; (5) external disruptions and risk mitigation in global value chains; (6) the role of boards in firm governance; (7) environmental, social, and governance expectations and the rise of private equity; (8) global innovation ecosystem and institutional fracture; (9) contemporary CSR expectations; and (10) the role of the MNE in climate change mitigation. For each theme, we highlight both the bright and dark sides, thereby advocating for a “full canvas” approach to IB scholarship.

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Notes

  1. 1.

    Bounded rationality describes economic actors’ behavior that is “intendedly rational, but only limitedly so” (Simon, 1961: xxiv). Bounded reliability refers to the failure of economic actors to make good on open-ended promises, irrespective of intent (Kano & Verbeke, 2018). Bounded reliability represents an extension of the assumption of opportunism—a central construct in Williamsonian version of transaction cost economics, defined as “self-interest seeking with guile” (Williamson, 1981: 1545)—that also accounts for non-malevolent intentions.

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Authors and Affiliations

  1. Haskayne School of Business, University of Calgary, Calgary, AB, Canada

    Alain Verbeke, Liena Kano & Andrew Kent Johnston

  2. Henley Business School, University of Reading, Henley-on-Thames, UK

    Alain Verbeke

  3. Solvay Business School, Brussels, Belgium

    Alain Verbeke

  4. University of Calgary, Calgary, AB, Canada

    Alain Verbeke

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  1. Alain Verbeke
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Correspondence to Alain Verbeke .

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  1. St. Petersburg campus, University of South Florida, St. Petersburg, FL, USA

    Hemant Merchant

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Verbeke, A., Kano, L., Johnston, A.K. (2022). The Full Canvas: Exploring the Bright and Dark Sides of International Business Strategy. In: Merchant, H. (eds) The New Frontiers of International Business. Contributions to Management Science. Springer, Cham. https://doi.org/10.1007/978-3-031-06003-8_2

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