A Process Model of Building Sustainable Competitive Advantage for Multinational Enterprises: An Empirical Case Study

Mengmeng Shan


School of Management, Shanghai University, Shanghai 200444 (China)

Jianxin You


School of Management, Shanghai University, Shanghai 200444, China; School of Economics and Management, Tongji University, Shanghai 200092 (China)

Yulu Wang


School of Business, Shanghai Dianji University, Shanghai 200433 (China)

Huchen Liu

huchenliu@foxmail.com
School of Management, Shanghai University, Shanghai 200444, China; School of Economics and Management, Tongji University, Shanghai 200092 (China)


Abstract

Multinational enterprises (MNEs) are the leading entities in the process of global economic integration, whose international expansion would be regulated and constrained by environmental issues. Drawing on theories of corporate social responsibility, corporate environmental behavior and legitimacy, this paper establishes a grounded process model that has both theoretical and practical significance. The model reveals that development of sustainable competitive advantage of MNEs is a gradual process that is dependent on the corporate environmental behavior and the legitimation of their behaviors. Via a real in-depth case study of Badische Anilin-Soda-Fabrik (BASF), one of the largest chemical companies in the world, the application and effectiveness of the proposed process model are demonstrated. Also, implications of this model and future directions for both research and practice are indicated.


Keywords:

multinational enterprises (MNEs), corporate social responsibility, corporate environmental behavior, corporate legitimacy, sustainable development

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Published
2015-01-05

Cited by

Shan, M., You, J., Wang, Y., & Liu, H. (2015). A Process Model of Building Sustainable Competitive Advantage for Multinational Enterprises: An Empirical Case Study. Problemy Ekorozwoju, 10(1), 67–78. Retrieved from https://ph.pollub.pl/index.php/preko/article/view/4929

Authors

Mengmeng Shan 

School of Management, Shanghai University, Shanghai 200444 China

Authors

Jianxin You 

School of Management, Shanghai University, Shanghai 200444, China; School of Economics and Management, Tongji University, Shanghai 200092 China

Authors

Yulu Wang 

School of Business, Shanghai Dianji University, Shanghai 200433 China

Authors

Huchen Liu 
huchenliu@foxmail.com
School of Management, Shanghai University, Shanghai 200444, China; School of Economics and Management, Tongji University, Shanghai 200092 China

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