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Transcript of JOURNAL OF INTERNATIONAL BUSINESS RESEARCH Volume 10, Number 1 ISSN 1544-0222 PDF ISSN 1544-0230...

  • Volume 10, Number 1 ISSN 1544-0222 PDF ISSN 1544-0230

    JOURNAL OF INTERNATIONAL BUSINESS RESEARCH

    Balasundram Maniam, Editor Sam Houston State University

    Susan E. Nichols, Editorial Advisor San Diego State University - Imperial Valley Campus

    The Journal of International Business Research is owned and published by the DreamCatchers Group, LLC. Editorial Content is controlled by the Allied Academies, a non-profit association of scholars, whose purpose is to support and encourage research and the sharing and exchange of ideas and insights throughout the world.

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    Journal of International Business Research, Volume 10, Number 1, 2011

    Authors execute a publication permission agreement and assume all liabilities. Neither the DreamCatchers Group nor Allied Academies is responsible for the content of the individual manuscripts. Any omissions or errors are the sole responsibility of the authors. The Editorial Board is responsible for the selection of manuscripts for publication from among those submitted for consideration. The Publishers accept final manuscripts in digital form and make adjustments solely for the purposes of pagination and organization.

    The Journal of International Business Research is owned and published by the DreamCatchers Group, LLC, PO Box 1708, Arden, NC 28704, USA. Those interested in communicating with the Journal, should contact the Executive Director of the Allied Academies at [email protected]

    Copyright © 2011 by the DreamCatchers Group, LLC, Arden, NC

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    Journal of International Business Research, Volume 10, Number 1, 2011

    EDITORIAL REVIEW BOARD

    Olga Amaral San Diego State University Imperial Valley Campus

    M. Meral Anitsal Tennessee Tech University

    Kavous Ardalan Marist College

    Leroy Ashorn Sam Houston State University

    M. Douglas Berg Sam Houston State University

    Tantatape Brahmasrene Purdue University North Central

    Donald Brown Sam Houston State University

    James Cartner University of Phoenix

    Amitava Chatterjee Texas Southern University

    Eddy Chong Siong Choy Multimedia University, Malaysia

    Partha Gangopadhyay University of Western Sydney, Australia

    Hadley Leavell Sam Houston State University

    Stephen E. Lunce Texas A&M International University

    Amat Taap Manshor Multimedia University, Malaysia

    Mohan Rao University of Texas - Pan Am

    Khondaker Mizanur Rahman CQ University Australia

    Francisco F R Ramos Coimbra Business School, Portugal

    Anthony Rodriguez Texas A&M International University

    John Seydel Arkansas State University

    Vivek Shah Southwest Texas State University

    Kishor Sharma Charles Sturt University, Australia

    Henry C. Smith, III Otterbein College

    Stephanie A. M. Smith Otterbein College

    Victor Sohmen Umeå University, Sweden

    Prakash Vel University of Wollongong in Dubai

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    Journal of International Business Research, Volume 10, Number 1, 2011

    JOURNAL OF INTERNATIONAL BUSINESS RESEARCH

    TABLE OF CONTENTS

    EDITORIAL REVIEW BOARD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iii

    LETTER FROM THE EDITORS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . vi

    NEW MODEL OF SELECTING A CORPORATE MANAGER FOR STATE-OWNED ENTERPRISES . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Zhao Xian, Inner Mongolia University of Science and Technology Kuan-Chou Chen, Purdue University Calumet

    COUNTRY RISKS AND FDI: EMPIRICAL EVIDENCE FROM LATIN AMERICAN COUNTRIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Alejandro Palacios, Nova Southeastern University Thomas Griffin, Nova Southeastern University

    IS RELIGIOUS CULTURE A FACTOR IN NEGOTIATION: A CROSS-CULTURAL COMPARISON OF IRAN, TAIWAN AND THE UNITED STATES . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 Farideh A. Farazmand, Lynn University Yu-Te Tu, Chungyu Institute of Technology Hasan Daneefard, Tarbiat Modares University

    TOP 250 GLOBAL RETAILERS: ON-LINE FEATURES OF RETAILER WEBSITES . . . . . . . . . . . . . . . . . . . . . . . . . . . 45 Ismet Anitsal, Tennessee Tech University M. Meral Anitsal, Tennessee Tech University Tulay Girard, Penn State Altoona

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    Journal of International Business Research, Volume 10, Number 1, 2011

    DOES INSTITUTIONAL THEORY EXPLAIN FOREIGN LOCATION CHOICES IN FRAGMENTED INDUSTRIES? . . . . . . . . . . . . . . . . . . . . 59 Richard S. Brown, Temple University

    EPS AS A MEASURE OF INTERCOMPANY PERFORMANCE: PHILIPPINE EVIDENCE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79 Cynthia P. Cudia, De La Salle University Gina T. Manaligod, De La Salle University

    THE SUCCESS OF IRELAND’S FOREIGN INVESTMENT PROMOTION STRATEGY: A RECONSIDERATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 91 William L. Casey, Jr., Babson College

    IMPLICATIONS OF IFRS ADOPTION ON THE ORGANIZATION AND HUMAN RESOURCE MANAGEMENT PRACTICES OF GLOBAL ACCOUNTING FIRMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 109

    Katherine Campbell, University of North Dakota Duane Helleloid, University of North Dakota

    PERSPECTIVES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 117 Tiffany Bishop, Sam Houston State University John Reinke, Sam Houston State University Tommy Adams, Sam Houston State University

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    Journal of International Business Research, Volume 10, Number 1, 2011

    LETTER FROM THE EDITORS

    We are extremely pleased to present the Journal of International Business Research, an official journal of the Academy of International Business Research. The AIBR is an affiliate of the Allied Academies, Inc., a non profit association of scholars whose purpose is to encourage and support the advancement and exchange of knowledge, understanding and teaching throughout the world. The JIBR is a principal vehicle for achieving the objectives of the organization. The editorial mission of this journal is to advance the knowledge and understanding of international business throughout the world. To that end, the journal publishes high quality, theoretical and empirical manuscripts which advance the discipline.

    The manuscripts contained in this volume have been double blind refereed. The acceptance rate for manuscripts in this issue, 25%, conforms to our editorial policies.

    Our editorial policy is to foster a supportive, mentoring effort on the part of the referees which will result in encouraging and supporting writers. We welcome different viewpoints because in differences we find learning; in differences we develop understanding; in differences we gain knowledge and in differences we develop the discipline into a more comprehensive, less esoteric, and dynamic metier.

    The Editorial Policy, background and history of the organization and of the Allied Academies, and calls for conferences are published on the Allied Academies website. Please visit our site and know that we welcome hearing from you at any time.

    Balasundram Maniam, Editor Sam Houston State University

    Susan E. Nichols, Editorial Advisor San Diego State University - Imperial Valley Campus

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    Journal of International Business Research, Volume 10, Number 1, 2011

    NEW MODEL OF SELECTING A CORPORATE MANAGER FOR STATE-OWNED ENTERPRISES

    Zhao Xian, Inner Mongolia University of Science and Technology Kuan-Chou Chen, Purdue University Calumet

    ABSTRACT

    Entrepreneurship as a critical human resource is a driving force to create value for enterprises. Therefore, selecting the best manager for state-owned enterprises becomes the important agenda in re-engineering state-owned enterprises in China. Yet there is no quantitative method for selecting the best manager for them. This article uses the Analytic Hierarchy Process (AHP) in selecting the best manager for state-owned enterprises and provides state-reformers a method or model to select the best possible candidate for the leading positions at an enterprise.

    INTRODUCTION

    As the leader of an enterprise, a manager plays a very important role in the innovation activities in the enterprise. Currently, managers in Chinese state-owned enterprises are nominated by the central or local governments. This administrative nomination system has been used for more than fifty years. With deepening of enterprise reform, the joint-stock system is introduced and the central government or local governments become a major stockholder in the enterprises. They no longer play managerial role. Instead they need to have some delegates in the board of directors. They desperately need professional managers to deal with routine managerial work. With reforms in labor market, manager market starts to emerge. However, as the major stakeholders in the enterprises, the governments do not have any quantitative method to select the best candidate for their firms. All criteria used for selecting manager are subjective and the decisions are made by higher officials in the governments. China needs to establish an effective manager market system in order to meet growing needs from the state-owned enterprises.

    FUNCTIONAL ANALYSIS OF ENTREPRENEURSHIP AND THE MAKINGS OF MANAGERS’ HUMAN CAPITAL

    When trying to understand a manager, many people have studied his/her personal tr