Returnee Entrepreneurs and the Performance Implications of Political and Business Relationships under Institutional Uncertainty

Wensong Bai, Pao Kao, Jie Wu* (Corresponding Author)

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

Abstract

Returnee entrepreneurs, despite their assumed advantages in possessing international experiences and advanced knowledge, suffer from liability of returnee due to a lack of relationships with political and business actors and experience institutional uncertainty in the home market as they move across different institutional environments. This study investigates how returnee entrepreneurs can strategically utilize relationships with political and business actors to achieve better performance and the conditional effect of institutional uncertainty. Based on a survey of 200 Chinese returnee entrepreneurs, we find that business relationships play a dominant role in influencing business performance and that this role is even stronger under institutional uncertainty. Political relationships support the formation of business relationships and are associated with business performance via the mediation of business relationships. Our study contributes to developing a nuanced understanding of the complementary effect of political and business relationships on returnee venture performance in emerging economies.
Original languageEnglish
Pages (from-to)245-256
Number of pages12
JournalJournal of Business Research
Volume128
Early online date23 Feb 2021
DOIs
Publication statusE-pub ahead of print - 23 Feb 2021

Keywords

  • Returnee Entrepeneur
  • Political Relationships
  • Business Relationships
  • Business performance
  • Institutitonal Uncertainty
  • Emerging market

Fingerprint Dive into the research topics of 'Returnee Entrepreneurs and the Performance Implications of Political and Business Relationships under Institutional Uncertainty'. Together they form a unique fingerprint.

Cite this