Goergen, Marc, Brewster, Chris and Wood, Geoffrey (2013) The effects of the national setting on employment practice : the case of downsizing. International Business Review, Volume 22 (Number 6). pp. 1051-1067. doi:10.1016/j.ibusrev.2013.02.001

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Abstract

Although there is now a sizeable body of academic literature that tries to explain cross-country differences in terms of corporate control, capital market development, investor protection and politics, there is as yet very little literature on the degrees of protection accorded to other corporate stakeholders such as employees, based on a systematic comparison of firm level evidence. We find that both theories of legal origin and the varieties of capitalism approach are poor predictors of the relative propensity of firms to make redundancies in different settings. However, the political orientation of the government in place and even more so the nature of the electoral system are relatively good explanators of this propensity. In other words, political structures and outcomes matter more than more rigid institutional features such as legal origin. We explore the reasons for this, drawing out the implications for both theory and practice.

Item Type:	Journal Article
Divisions:	Faculty of Social Sciences > Warwick Business School > Strategy & International Business Faculty of Social Sciences > Warwick Business School
Journal or Publication Title:	International Business Review
Publisher:	Elsevier
ISSN:	0969-5931
Official Date:	December 2013
Dates:	Date Event December 2013 Published
Volume:	Volume 22
Number:	Number 6
Page Range:	pp. 1051-1067
DOI:	10.1016/j.ibusrev.2013.02.001
Status:	Peer Reviewed
Publication Status:	Published
Access rights to Published version:	Restricted or Subscription Access

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