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The decline of global market leaders

Tian, X. and Slocum, J.W. (2015) The decline of global market leaders. Journal of World Business, 50 (1). pp. 15-25.

Link to Published Version: http://dx.doi.org/10.1016/j.jwb.2014.01.003
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Abstract

Integrating capability-based and institution-based views in a multilevel framework, we argue that managerial capability to acquire loans to finance business expansion has an inverted U-shaped relationship with global market leadership. The negative effect on global market leadership of excessive loan-acquiring capability is amplified under business-friendly market institutions that ease access to credit. Managerial capability to utilize resources productively positively moderates the relationship between loan-acquiring capability and global market leadership. The role of resource-utilizing capability is attenuated under business-friendly market institutions that facilitate overinvestment. The study helps explain recent decline of global market leaders in advanced market economies.

Publication Type: Journal Article
Publisher: Elsevier Inc.
Copyright: © 2014 Elsevier Inc.
URI: http://researchrepository.murdoch.edu.au/id/eprint/31834
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