s41267-022-00522-w.pdf (459.1 kB)
Download fileA review of the internationalization of state-owned firms and sovereign wealth funds: Governments’ nonbusiness objectives and discreet power
journal contribution
posted on 2023-02-20, 17:13 authored by Alvaro Cuervo-Cazurra, Anna GrosmanAnna Grosman, William L MegginsonWe review and bridge the literature on the internationalization of state-owned firms and sovereign wealth funds to provide a novel understanding of how governments’ nonbusiness objectives affect foreign investments. We explain how governments as foreign investors behave differently from private ones because they need to balance politicians’ nonbusiness objectives and firms’ business goals. This results in competing arguments on whether the government helps or hinders internationalization. Building on the review, we provide suggestions as to how to extend research topics and theories of the firm by incorporating these nonbusiness objectives in the internationalization decision. Finally, we capture how governments may use state-owned multinationals and sovereign wealth funds to nudge host country governments by introducing the concept of discreet power, outlining the beginning of a unified approach to how governments use their foreign investments to achieve nonbusiness goals.
Funding
Lloyd Mullin Research Fellowship
History
School
- Loughborough University London
Published in
Journal of International Business StudiesVolume
54Issue
1Pages
78-106Publisher
Palgrave Macmillan (part of Springer Nature)Version
- VoR (Version of Record)
Rights holder
© The AuthorsPublisher statement
This is an Open Access Article. It is published by Palgrave Macmillan (part of Springer Nature) under the Creative Commons Attribution 4.0 International Licence (CC BY). Full details of this licence are available at: https://creativecommons.org/licenses/by/4.0/Acceptance date
2021-11-15Publication date
2022-05-11Copyright date
2022ISSN
0047-2506eISSN
1478-6990Publisher version
Language
- en