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Perceived fairness, decision control, and commitment in international joint venture management teams
Author(s) -
Johnson James P.,
Korsgaard M. Audrey,
Sapienza Harry J.
Publication year - 2002
Publication title -
strategic management journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 11.035
H-Index - 286
eISSN - 1097-0266
pISSN - 0143-2095
DOI - 10.1002/smj.277
Subject(s) - international joint venture , business , joint venture , procedural justice , organizational justice , control (management) , perspective (graphical) , bargaining power , supplier relationship management , organizational commitment , marketing , business administration , microeconomics , economics , management , psychology , supply chain management , supply chain , perception , neuroscience , artificial intelligence , computer science
Previous research examining the effectiveness of international joint ventures (IJVs) has focused on differences in the backgrounds and bargaining power of IJV parent firms, while little attention has been given to the IJV itself. This study takes a different perspective by examining the relationship between IJV parent firms and the IJV. Specifically, we examine how IJV and parent involvement in strategic decision‐making influences the IJV management team's commitment to the IJV and to the parent firms. We hypothesize that the IJV management team tends to be more committed to the IJV than to the parent firms, and that there is a strong positive relationship between procedural justice, strategic decision control, and organizational commitment. A field study involving 51 IJVs supported our hypotheses. We discuss the implications of organizational commitment and procedural justice for managing IJVs. Copyright © 2002 John Wiley & Sons, Ltd.