Firm Behavior, Competitive Advantage & Sustainable Development: Linkages, Parallels & Contradictions 1 Conference Program Sunday, 17 June Marriott Hotel 15:00 – 18:30 18:00 Conference Registration Welcome Reception 18:45 “Costa Rica: An Inside View” Moderator: Alberto Trejos Zuniga, Dean, INCAE Panelists: Eduardo Ulibarri, Editor, La Nacion, Costa Rica Rene Castro Salazar, Visiting Professor, INCAE Anabel Gonzalez, Vice Minister of Foreign Trade for Costa Rica Alonzo Arroyo, Partner, KPMG, Costa Rica Monday, 18 June Marriott Hotel 7:30 – 12:00 8:00 – 9:45 Conference Registration General Session Welcome Remarks Dilip Mirchandani, Director, EAM International / Rowan University, USA Roberto Artavia Loria, Rector, INCAE “The Academy of Management’s Global Journey: At the Crossroads” Rick Mowday, Former President, AOM / University of Oregon, USA Keynote Address Oscar Arias Sanchez, Former President of Costa Rica & 1987 Nobel Peace Prize Recipient 9:45 – 10:15 Break 10:15 General Session (cont’d) – “A Ground-Level View of Competitive Advantage & Sustainable Development” Chair: Daniel F. Twomey, Fairleigh Dickinson University, USA Moderator: Federico Golcher, Area Partner, Financial Advisory Services, KPMG Latin America Panelists: Victor Balcazar, General Manager, Citibank Randall Chinchilla, Corporate Affairs Manager, GBS/Procter & Gamble de Costa Rica Jack Hovarth, Site Leader & General Manager, GBS Procter & Gamble de Costa Rica Jorge E. Villalobos, General Manager, Unisys de Centro America S.A. Panelists will describe the realities of doing business in Central America including social and economic problems and needs. They will share their philosophy of management, what does and does not work, and a unique program designed to benefit the host country/community by forwarding social justice, economic viability, and ecological sustainability. Managing in a Global Economy IX Eastern Academy of Management & INCAE Costa Rica, June 2001 2 11:45 “Crossing Borders: Challenges for Teaching & Learning in a Global Economy” Marta B. Calas, University of Massachusetts in Amherst, USA Melissa W. Barringer, University of Massachusetts in Amherst, USA D. Anthony Butterfield, University of Massachusetts in Amherst, USA Robert Marx, University of Massachusetts in Amherst, USA Linda Smircich, University of Massachusetts in Amherst, USA Robert Schwartzwald, University of Massachusetts in Amherst, USA Luis Marentes, University of Massachusetts in Amherst, USA This symposium focuses on contemporary challenges for teaching, learning, and scholarship under conditions of globalization. The three parts will address specific aspects of these challenges and are joined by a common concern – the need to ‘cross borders’ physically, intellectually, and institutionally if these challenges are to be met. 13:00 – 14:30 Lunch 14:30 – 16:00 Concurrent Sessions Panel M 1.1 “The Ethics of Cyberveillance in a Global Context” Chair: Don Hellreigel, Texas A&M University, USA Moderator: Jeffery Thompson, Miami University, USA Panelists: Brizio Biondi-Morra, President, INCAE Irene Chow, Chinese University of Hong Kong Richard N. Dino, University of Connecticut, USA Eleanor O’Higgins, University College Dublin, Ireland Ali bin Khalifa Al Khalifa, University of Bahrain Whether one calls it ‘cyberveillance,’ ‘cybermonitoring,’ ‘cybersnooping,’ or ‘cyberspying,’ one thing is clear, the computer activities of employees are increasingly being monitored by their companies. What are the ethical implications of this practice? Are local customs, mores, and values in various parts of the world being violated? Session M 1.2 “Strategic Alliances” Facilitator: Tarek Hatem, University of Cairo, Egypt Determinants of Stability of Strategic Alliances Rangamohan V. Eunni, Boston University, USA Tomas Kohn, Boston University, USA U. Srinivasa Rangan, Babson College, USA In contrast to survival and longevity frequently used to measure the success of traditional inter-firm cooperative arrangements such as joint ventures, might stability be a superior measure of performance of strategic alliances? What factors affect alliance stability? The Globalisation of Telecommunications & The Internationalisation of KPN (Netherlands) Haico A. Ebbers, Nyenrode University, The Netherlands Emanuela Todeva, South Bank University, UK The demand for telecommunication services has increased rapidly during the last decade. Due to fast developing technologies and worldwide deregulation, competition has increased, especially in the area of international business services. This new environment creates many challenges to telecom companies and the need to reconsider their internationalization process. Shaping the Competition & Building Competitive Advantage in the Global Telecommunication Industry: The Case of British Telecommunications Plc Emanuela Todeva, South Bank University, UK Robin John, South Bank University, UK What drivers shape the global telecommunication industry and act as sources of competitive advantage for traditional telecommunication operators? Our analysis is based on a case study of British Telecommunications PLC and the cooperative relationships formed by them in response to the increasingly dynamic and competitive environment. The Role of Costs in International Joint Ventures Firm Behavior, Competitive Advantage & Sustainable Development: Linkages, Parallels & Contradictions 3 Ali bin Khalifa Al Khalifa, University of Bahrain Eggert Peterson, University of Bahrain An examination of the various operational and environmental costs associated with the decision to internationalize to see how managers’ perception of the importance of these costs is influenced by experiential factors. Session M 1.3 “Conflict & Collaboration Across Borders: Gaining Understanding Experientially” (conducted in two parts as M 1.3 & then M 2.4) Chair: Sandra Morgan, University of Hartford, USA A Framework for Fostering Effective International Teams Experientially William P. Ferris, Western New England College, USA Dale Finn, University of New Haven, USA Susan M. Schor, Pace University, USA James A.F. Stoner, Fordham University at Lincoln Center, USA How can effective ‘international teams’ consisting of different nationalities be developed? Session participants will engage in an experiential exercise to show how culturally diverse teams can, and usually do, generate greater synergy than homogeneous teams when the task involves developing knowledge about differences in cultural norms, customs, and habits. Understanding & Transcending Team Member Differences: A Felt-Experience Exercise Sanjiv S. Dugal, University of Rhode Island, USA Matthew Eriksen, University of New Haven, USA This felt-experience exercise facilitates self-understanding through an understanding of the ‘other.’ It reveals the images in our head that drive our perceptions, conceptions, and interpretations of the world and others. It may be used as a diversity exercise or as a basic building block for a community of inquiry. Discussant: David C. Baldridge, University of Connecticut, USA 16:00 – 16:30 Break 16:30 – 18:00 Concurrent Sessions Panel M 2.1 “Global Automobile Alliances” Chair: Heinz Weihrich, University of San Francisco, USA Merging Daimler with Chrysler Through the Tows Matrix Kai-Uwe Seidenfuss, Executive Director, Daimler-Chrysler-Mitsubishi Motors, Singapore Bernard Wagemann, Bavarian University of Applied Science, Germany A situational analysis of Chrysler and Daimler-Benz before the merger applying the TOWS Matrix followed by a discussion of their combined strengths and weaknesses as a merged Daimler-Chrysler company showing alternative post-merger strategies. Consolidations & Alliances in Global Automobile Manufacturing Refik Culpan, Pennsylvania State University in Harrisburg, USA Several consolidations and alliances in the automobile manufacturing industry are examined to uncover problems in implementation of such strategies, and advantages that can be gained by building competencies. Managing in a Global Economy IX Eastern Academy of Management & INCAE Costa Rica, June 2001 4 Session M 2.2 “Change, Learning & Leading” Facilitator: Claudia Harris, North Carolina Central University, USA Leadership for Sustainable Advantage: A Comparison of Methods for Introducing New Knowledge at the Top Marta A. Geletkanycz, Boston College, USA This study empirically examines two approaches to incorporating new knowledge and perspectives at the executive-team level. Findings show that the most popular methods – executive mobility and external orientation – yield dramatically different effects on long-term performance. Implications for strategic leadership and competitive advantage in an era of dynamic change are discussed. Strategy & National Economic Development: The Causes of the Irish Economic Resurgence Richard C. FitzPatrick, Manhattan College, USA Lawrence P. Huggins, Manhattan College, USA The Republic of Ireland’s recent economic success has become the envy of the European Union, prompting the characterization, “The Celtic Tiger.” What is the strategic basis of this upsurge? The economic boom is almost a textbook application of strategy formulation and implementation. Sustainable Development: Challenges for the Global Manager Terence P. Curran, Siena College, USA Sustainable development deserves the global manager’s attention. With origins in UN reports and national policy declarations, it provides an umbrella for a wide variety of environmental concerns. Specific concerns are outlined for the U.S. and South Korea. Problems and solutions are reviewed, and issues for the global manager are presented. The Challenge of Energy Management & Sustainable Development in Latin America Allan Cahoon, University of Calgary, Canada Global energy development is often perceived as challenging the conventional view of corporate social responsibility and sustainable development. What are the unique challenges faced in promoting such practices in Latin America? Session M 2.3 “Impact of HRM Practices on Employee Retention, Satisfaction, Performance & Coping with Change” Facilitator: Richard T. Barth, University of Northern British Columbia, Canada Working in the Best Firms: What Does it Mean for Minorities, Women & Turnover Rates? Turgut Guvenli, Minnesota State University, USA Rajib Sanyal, The College of New Jersey, USA Which are the ‘best’ firms to work for? Are all ‘best’ firms the same? In this paper, we report that there is great variation among firms with respect to size and industry, as well as the employment of women and minorities. Managing Change in Organizations: Strategy for Competitive Advantage Alesa Svetic, GEA College of Entrepreneurship, Slovenia Many Slovenian managers do not yet understand the importance of strategy for implementing increased operational efficiency. This session shows how to design a strategy for restructuring activities through planning, implementation, and coping with change. Employee Involvement in Unionized Settings: Determinants of Worker Support Cedric E. Dawkins, Ashland University, USA Previous research has examined links between demographic and attitudinal variables and support for Employee Involvement programs. Employee involvement, however, occurs within the context of stakeholder group interaction. Consequently, what the various groups think about how the other will react to change impacts their support. Firm Behavior, Competitive Advantage & Sustainable Development: Linkages, Parallels & Contradictions 5 Work At Night: A Study on Job Satisfaction in European Maritime Pilotage Annett H. Cascorbi, University of the Federal Armed Forces, Germany Michel E. Domsch, University of the Federal Armed Forces, Germany This empirical international study examines job satisfaction in European maritime pilotage. The differences between the organizational systems according to national law and physical as well as social impacts of the job profile on the individual are described. Recommendations regarding organizational action parameters for job satisfaction are made. Session M 2.4 “Conflict & Collaboration Across Borders: Gaining Understanding Experientially” (conducted in two parts, first as M 1.3 & now M 2.4) Chair: Sandra Morgan, University of Hartford, USA Universal RaceCars, AG: An Experiential Exercise Kimberly A. Eddleston, University of Connecticut, USA John F. Veiga, University of Connecticut, USA David D. Palmer, University of Connecticut, USA Rowena Ortiz-Walters, University of Connecticut, USA Universal RaceCars is a role-play exercise that requires groups of students to develop short- and long-term strategies for dealing with changing business situations within a multinational company. Each group represents an independent business unit that operates in a separate country with distinct patterns of social and business culture. Research-Teaching Link: A Conflict Management Exercise Uzoamaka P. Anakwe, Pace University, USA This exercise adapts a research survey for use in the classroom. The survey consists of qualitative and quantitative components examining relevant aspects of conflict management. Students work in small groups and a class discussion follows. This type of exercise works well in reinforcing the conflict management concept in students’ minds. Discussant: 20:00 David C. Baldridge, University of Connecticut, USA General Session – “Leveraging Costa Rica’s Ecological Resources Through Eco-Tourism” Michael Kaye, President, Costa Rica Expeditions Gustavo Segura, Manager, Lapa Rios Eco-Hotel Tuesday, 19 June 7:30 – 8:30 8:30 – 12:30 Registration (Marriott Hotel) Corporate Visits Metrozone Export Free Zone (pre-registered participants) Metrozone is a leading Free Zone and Industrial Park located near Heredia in Costa Rica. It offers an on-site customs office, import and export services, customs brokerage, construction services, personnel recruitment, and many other general services. Firms located within the industrial park enjoy exemption of import tariffs, sales and consumer taxes, income tax (for a number of years) and some other tax incentives. Metrozone currently hosts operations from several industries including electronics, medical products, medical services, and other services. Some firms operating in Metrozone are Reliability Inc., Photocircuits Corp., Sawtec Inc., Sara Lee Corp., Lasersight Technology Inc., Federal Express, and BTicino (Legrand). Managing in a Global Economy IX Eastern Academy of Management & INCAE Costa Rica, June 2001 6 Intel (pre-registered participants) Intel Costa Rica consists of an industrial complex for the assembly and testing of electronic components that required an initial investment of more than $300 million and employs more than 1,850 Costa Ricans. The complex has two manufacturing plants with state-of-the-art assembling and testing technology. In the CR1 plant, the Pentium II, Celeron and Pentium III microprocessors are manufactured. In the CR3 plant, the encapsulating of the microprocessor is conducted using different technologies. Intel Corporation conducted a comprehensive research process in several countries around the world before deciding to install the A6/T6 project (microprocessors assembly and testing) in Costa Rica. The well known political and democratic stability of Costa Rica, its high education indices, and its efforts to bring foreign investment that support economic and technological development were among the reasons why Intel selected Costa Rica. Atlas Appliance Company (pre-registered participants) Atlas is an appliance manufacturer, founded in Costa Rica in the 1960s. It took advantage of the creation of the Central American Common Market and soon expanded regionally to become the leader in its segment. In the 1990s, it invested heavily in state-of-the-art technology for flexible manufacturing. Since 1995, it has entered markets outside Central America that include the Caribbean, South America, and Mexico. In 1996, Electrolux acquired twenty percent of the company stock as part of a broad partnership that included access to the former’s technology and supplier base. Atlas recently acquired La Indeca, a Salvadorian company that was the second largest appliance manufacturer in the region. 12:30 – 13:30 13:30 Lunch (Marriott Hotel) Free Time Wednesday, 20 June 8:30 – 12:00 Corporate Visits Cafe Britt (all participants) Pablo Vargas, General Manager Steve Aronson, Founder Cafe Britt was founded in 1985 as the first gourmet coffee roaster in Costa Rica. Before Cafe Britt, it was virtually impossible to find a memorable cup of coffee in our Costa Rica. The fact was all the best coffee was being exported. Today, Cafe Britt is well known and recognized as Costa Rica’s #1 gourmet coffee. Theirs is the coffee served to diplomats, and is most often chosen for special events throughout the country. Nearly every fine restaurant, hotel, and tourist attraction is proud to serve Cafe Britt, which is processed from the most exquisite coffee cherries, harvested, milled, sun-dried, and roasted right here in Costa Rica. On the award-winning Cafe Britt Coffee Tour you will discover the secret of what transforms a ripe coffee fruit into a delicious cup of gourmet coffee. Professional actors guide you through the production stages from tending the trees to the careful handpicking at harvest time. You will observe and participate in the traditions and history of coffee! Your tour will conclude with a first hand experience of how the pros distinguish a fine coffee by taste and smell. INCAE Campus 12:00 – 13:30 Lunch Firm Behavior, Competitive Advantage & Sustainable Development: Linkages, Parallels & Contradictions 13:30 7 Welcome to INCAE Alberto Trejos Zuniga, Dean, INCAE Eduardo L. Montiel, Professor, INCAE, Nicaragua General Session – “Central America: Challenges and Opportunities for Sustainable Development” Arturo Condo, INCAE Center for Latin American Development, Costa Rica Alberto Trejos Zuniga, Dean, INCAE Lawrence Pratt, INCAE Center for Latin American Development, Costa Rica “INCAE at the Forefront of Research in Latin America” INCAE Center for Latin American Development Faculty, Costa Rica “Coffee & Costa Rica: Evolution & Innovation” Luis Lopez, INCAE Center for Latin American Development, Costa Rica Arturo Condo, INCAE Center for Latin American Development, Costa Rica Steve Aronson, Café Britt, Costa Rica 15:00 “Emergence of Costa Rican High Technology Industry: A Case Demonstrating the Relationship Between Sustainable Economic Development & Competitive Advantage” Joel Harmon, Fairleigh Dickinson University, USA Rosemarie Twomey, Fairleigh Dickinson University, USA Mauricio Naranjo, G.M., Cisco Systems, Costa Rica Joe Bellah, G.M., Abbott Labs, Costa Rica Rodrigo Ayala, G.M., Microsoft, Costa Rica 16:15 – 16:45 Break 16:45 – 18:00 Concurrent Sessions Session W 1.1 “Corporate Governance & the Role of the Board of Directors” Facilitator: James L. Darroch, York University, Canada Corporate Governance & Corporate Social Performance Jean B. McGuire, Concordia University, Canada Marie-France Turcotte, University of Quebec in Montreal, Canada Sandra Dow, University of Quebec in Montreal, Canada Does corporate governance promote shareholder interests over those of a wider range of stakeholders? We found corporate governance has little impact, and little relationship between firm ownership and incentive compensation, on firm social performance, but high CEO salaries showed a positive relation to the index of social concerns. Cooperative vs. Wholly-Owned Foreign Entry: The Influence of the Board of Directors Roger J. Kashlak, Loyola College, USA / The University of Auckland, New Zealand Hugh D. Sherman, Ohio University, USA Maheshkumar P. Joshi, St. Joseph’s University, USA We first investigate the relationship between board of director characteristics and international expansion in information-based industries, and then the linkage between board characteristics and cooperative and wholly-based foreign activities. Differences in board characteristics are found for firms choosing cooperative foreign expansion as opposed to those choosing wholly-owned expansion. Managing in a Global Economy IX Eastern Academy of Management & INCAE Costa Rica, June 2001 8 Corporate Governance in the Emerging Markets: The Case of Board of Directors in Venezuela from 1997 to 1999 Maximiliano González F., Tulane University, USA / IESA, Venezuela The composition of boards of directors in a small sample of Venezuelan companies are characterized in our study. Evidence suggests that Venezuela’s firm performance, representing an emerging economy, is in large part effected in the same way by board composition as in the more developed economies. Session W 1.2 “Global Management: Similarities & Differences” Facilitator: Martin J. Gannon, University of Maryland, USA Cultural Myths in Stories about Human Resource Development: Analyzing the CrossCultural Transfer of American Models to Germany & The Côte d’Ivoire Carol D. Hansen, Georgia State University, USA Cross-cultural transferability of human resource development assumptions in the form of myths to a foreign setting are examined. The reaction of German and Ivorian business communities to the myths that shape American HR models of employee and organizational development form a descriptive basis for practice with theoretical implications. An International Comparison of Managerial Values & HR Decision-Making: How are Canadian Managers Different from Irish & Australian Managers Sudhir K. Saha, Memorial University of Newfoundland, Canada David O’Donnell, The Intellectual Capital Research Institute of Ireland Thomas N. Garavan, University of Limerick, Ireland Stan Mensik, Curtin University of Technology, Australia How similar or different are Canadian, Australian, and Irish managers when they go about making managerial decisions about human resources? What are their managerial beliefs and values? Are they related to the HR decisions they make? Executive & MBA Perceptions of the Importance of Skills for Managing in the Global Economy & Related Course Offerings: Do They Match? Eileen E. Kaplan, Montclair State University, USA Carl Rodrigues, Montclair State University, USA International company executives and MBA students were surveyed to determine what international skills are necessary for long-term survival and success in the global economy. International business offerings were then examined in twelve MBA programs to ascertain whether they are consistent with the perceptions of the executives and students. Who Wants To Be An Entrepreneur? A Comparative Study of Poland & The United States Jane K. Giacobbe-Miller, University of Massachusetts in Amherst, USA Melissa W. Barringer, University of Massachusetts in Amherst, USA Daniel J. Miller, Central Connecticut State University, USA Using data collected from entrepreneurs and managerial employees in the United States and Poland, this study examines the factors theoretically related to entrepreneurial job choice. Combined sample findings suggest these choices are related to family entrepreneurial history, risk propensity, locus of control, values, age, and sex. Panel W 1.3 “Issues in e-Commerce” Facilitator: dt ogilvie, Rutgers University, USA An Integrative & An Interdisciplinary Approach to Teaching e-Commerce Shohreh A. Kaynama, Towson University, USA Sharma Pillutla, Towson University, USA This session discusses the planning and implementation of an e-Commerce course using the Internet to create a dynamic teaching environment. The course was developed by a team-based approach using a web-based tool called Course Info™ to enhance communication and collaboration and provide a more accurate assessment of learning effectiveness. Firm Behavior, Competitive Advantage & Sustainable Development: Linkages, Parallels & Contradictions 9 Legal Aspects of e-Commerce K.A. Ogilvie, Esq., USA This presentation will cover various legal aspects of e-commerce including jurisdictional issues, the legal enforceability of e-commerce transactions, including authenticity and reliability issues, and domain name disputes. Electronic Value Chain Governance Structures Howard S. Rasheed, University of South Florida, USA This presentation develops a model for internet-based electronic commerce using transaction cost economic theory and resource-based theory to explain how a firm’s resources and exchange attributes affect interorganizational governance structure for specific value chain functions. A New Look at e-Commerce Business Models dt ogilvie, Rutgers University, USA A discussion of e-Commerce business models from a creativity and complexity theory perspective. 18:00 Return to Marriott Thursday, 21 June 8:30 – 10:00 Th 1.1 Concurrent Sessions “Globalization, Strategy & Sustainable Development” Facilitator: Barbara A. Ribbens, Western Illinois University, USA Global Competitiveness, Firm Behavior & Sustainable Development: A Behavioral Perspective Daniel F. Twomey, Fairleigh Dickinson University, USA When will the most powerful global businesses become part of the solution rather than part of the problem? Businesses cannot help solve world problems with the competitive perspective that contributed to those problems! This paper offers a new perspective that enhances firm competitiveness and its leadership in sustainable development. The Convergence of Sustainable Development & Globalization: Influences on Strategy Implementation in the Wine Industry Linda W. Ross, Rowan University, USA To what extent has sustainable development become part of environmental strategies by the U.S. wine industry? What are the drivers for adoption of strategies fostering sustainable development? Our analysis of trends in globalization of the wine industry suggests implications for the promotion of sustainable environmental strategy. In Search of Culturally Sensitive Approaches to Sustainability Drew L. Harris, Longwood College, USA Ecological sustainability proclamations, programs, and agreements made at international and national levels often fail at implementation, perhaps from cultural insensitivity. This paper uses Hofstede’s dimensions of culture and The Natural Step, a successful Swedish-based sustainability effort, to develop a framework for assessing and developing sustainability efforts sensitive to national culture. New Applicants for the EU and the Problem of Ecological Standards Bernard Wagemann, Bavarian University of Applied Science, Germany An overview of the general political, economic, financial, and ecological criteria for countries applying to the EU. The financial and economic risks resulting from vast ecological investments and the resulting lower competitiveness this may cause will be examined. Managing in a Global Economy IX Eastern Academy of Management & INCAE Costa Rica, June 2001 10 Panel Th 1.2 “International HR: State-of-the-Art in Research & Practice” Chair: Carol D. Hansen, University of Georgia, USA Panelists: Heather Hopfl, University of Northumbria & The Bolton Institute, UK Christine Lotze, Philosophy.1B, USA Kaveh Naficy, Philosophy.1B, USA Sudhir K. Saha, Memorial University of Newfoundland, Canada As organizations internationalize, the issue of how to develop and manage the needs and expectations of multinational personnel is critical to maintaining competitive advantage. How can organizations effectively prepare their people to deliver a consistent level of service and quality globally? We address this issue from research and practice perspectives. Th 1.3 “Multinationals, Competitive Strategy & Bargaining Relationships” Facilitator: Theodore Peridis, York University, Canada Multiple Competitive Strategies & Firm Performance: Further Evidence Moses Acquaah, University of North Carolina in Greensboro, USA Masoud Yasai-Ardekani, University of Wisconsin in Milwaukee, USA This study examines incremental performance benefits of pursuing multiple or combination competitive strategies. Our findings support Porter’s argument that low-cost and differentiation are incompatible. The results indicate the incremental contribution to performance of combining differentiation-based and low-cost strategy is negative, and thus, the pursuit of both results in lower performance than the pursuit of low-cost strategy alone. Centralized or Decentralized MNC’s: Some Arguments Reviewed Michel A.E. Vandenput, University of Nijmegen, The Netherlands In this presentation, we will review several different approaches multinational firms can use to decide whether they should implement centralization or decentralization when redesigning their structures. MNC-Government-NGO Bargaining in Infrastructure Privatization: A Stakeholder/Agency Approach to International Business-Government Relations Research Jonathan P. Doh, American University, USA Hildy Teegen, George Washington University, USA How has the emergence of NGOs affected corporate strategy, public policy, and businessgovernment relations? Recent experience in several countries suggests that NGOs are an increasingly important factor in ensuring privatization success or averting failure. We argue for development of a new theoretical direction to incorporate NGOs into the business-government bargaining process. Th 1.4 “Cross-Cultural Dynamics at the Individual, Group & Organizational Levels” Facilitator: TBA The Implications of Inter-Group Inequality for Cross-Cultural Management Research Alison M. Konrad, Temple University, USA Gerald Ross, III, Temple University, USA We will present a comprehensive review of the 1995-2000 literature in cross-cultural management and attempt to make the case that this literature should attend more closely to the dynamics of inter-group inequality. Our goal is for cross-cultural management research to give greater voice to the concerns of historically disadvantaged groups. Politeness & the Clash of Interaction Orders in Cross-Cultural Communication David A. Morand, Pennsylvania State University in Harrisburg, USA Cross-cultural variation in politeness behaviors comprise an important dimension of cross-cultural organizational behavior. Research shows cultures have evolved differential norms for treating face which are at the heart of many cross-cultural communication problems. A conceptual framework will be presented with suggestions for organizational theorists and managers interested in cross-cultural communication. Firm Behavior, Competitive Advantage & Sustainable Development: Linkages, Parallels & Contradictions 11 Information & Effort Exchange in Multi-Cultural Teams: Cultural Diversity’s Impact on Team Member Exchange & Performance Kimberly A. Eddleston, University of Connecticut, USA Rowena Ortiz-Walters, University of Connecticut, USA What factors impact team member information and effort exchange in multicultural groups and what are the effects of these exchanges on performance? Results demonstrate that increases in team information and effort exchange positively impact performance and that such increases are more important to the performance of culturally heterogeneous teams. Demography, Identity & Organizational Commitment Jorge A. Gonzalez, University of Wisconsin in Milwaukee, USA What is the relationship between demographic diversity and organizational commitment? Based on social identity theory, the influence of perceived diversity climate and demographic identity centrality in this relationship is explored and organizational identification is discussed as a mediating variable between diversity and organizational commitment. 10:00 – 10:30 Break 10:30 – 12:00 Concurrent Sessions Panel Th 2.1 “A Prototype of a Multi-Media, Multi-Campus Collaborative Distance Learning Course” Chair: Mzamo Mangaliso, University of Massachusetts in Amherst, USA Moderator: Zengie Mangaliso, Westfield State College, USA Ben Kahn, Massachusetts College of Liberal Arts, USA Nancy Ovitsky, Massachusetts College of Liberal Arts, USA Bradford Knipes, Westfield State College, USA Mary T. Rogers, Framingham State College, USA Th 2.2 “Sustainable Development & Emerging Economies” Facilitator: Emanuela Todeva, South Bank University, UK Transnational Subsidiary Evolution & Host Country Development: The Maquiladora Example John D. Sargent, The University of Texas Pan America, USA Recent literature has reviewed MNC subsidiaries’ evolution over time. Three primary drivers have been identified as the head office, the local host country environment, or subsidiary managers. We argue that entrepreneurial subsidiary managers have been the primary drivers responsible for the positive changes in the profile of Mexico’s maquiladora industry. Sustainable Societies: Searching for the Ideal Web of Sustainability for the Marshall Islands Barbara A. Ribbens, Western Illinois University, USA Gordon Rands, Western Illinois University, USA Using an open systems derived web-like model of sustainability for organizational applications by Starik and Rands (1995), we scale this concept up to a societal level. To illuminate these relationships, we identify a set of ideal goals for the Marshall Islands society to develop a sustainable web of relationships. Madagascar: A Study of a Developing Nation Claudia Harris, North Carolina Central University, USA Madagascar’s history, natural environment, agricultural methods, culture, and economy will be described in comparison with the general characteristics of developing nations. Suggestions will then be made for economic development in Madagascar, given its unique characteristics. Managing in a Global Economy IX Eastern Academy of Management & INCAE Costa Rica, June 2001 12 Th 2.3 “Privatization, Logistics, Economic Development & Organization Change” Facilitator: Dilip Mirchandani, Rowan University, USA Estimating Willingness to Pay for Water Services & Profitability in Small Water Projects: A Case Study of Four Communities in El Salvador, Central America Felipe Perez-Pineda, INCAE, Nicaragua The contingent valuation method is used to estimate the value people place on improved water quality and sanitation. The high willingness to pay for these services suggests that medium-sized water supply projects in El Salvador are profitable from the private perspective, and therefore, may likely be attractive for potential investors. Logistics Practices: Characterization from the Venezuelan Experience Angel Diaz Matalobos, ESC-ISLI, France Candido Perez Costela, IESA, Venezuela An empirical analysis identifying key characteristics and logistics opportunities in Venezuela is presented in this session. One finding is that conservative approaches to logistics in a protected market whose environment is changing faster than preferred by the responsible actors limits the application of modern logistics practices. Radical Organizational Changes: The Example of Services Multinationals in Transition Economies Bertrand Venard, ESSCA, France Many service enterprises are currently trying to expand their activities to a global level. We will explain why “destabilized” employees in services companies refuse radical organizational change, which is being carried out by their new multinationals. Session Th 2.4 Works in Progress Interactive Session Chair: Th 2.5 Alison M. Konrad, Temple University, USA Arab Women Entrepreneurs: Oxymoron or Emerging Reality? Kathleen Dechant, University of Connecticut, USA Ebithaj Al-Ali, University of Bahrain Entrepreneurialism has been named a defining trend of the 21 st century global business arena. Women have become a vital part of this growing trend. Can Arab women be included among those who can successfully carve out careers as business owners? An Investigation of Cross-Cultural Differences in the Effective Implementation of ProMES Anthony R. Paquin, Illinois Institute of Technology, USA Maria L. Sanchez-Ku, Texas A&M University, USA Organizations expanding internationally are finding that productivity strategies and interventions that have been successful within their national boundaries have proven less effective in other countries. We review the degree of success the Productivity Measurement and Enhancement System (ProMES) has had in different settings. Discussants: Miles K. Davis, George Washington University, USA Heidi Vernon, Northeastern University, USA Th 2.6 An Analysis of Aggression From & Satisfaction With Performance Appraisal Practices in a Multi-Cultural Organization Deanna Geddes, Temple University, USA Adiara N. Kone, Temple University, USA We analyze the relationship between aggressive behaviors of employees after receiving negative performance appraisals and attempt to determine if employees perceive a low rating as influenced by differences in demographics between themselves and their manager. Firm Behavior, Competitive Advantage & Sustainable Development: Linkages, Parallels & Contradictions 13 The Effects of Entrepreneurial Education on Psychological Attributes & Academic Performance Howard S. Rasheed, University of South Florida, USA Does entrepreneurship education contribute to the development of entrepreneurial characteristics among young people? Does it contribute to improved student academic performance? It is expected that the findings of this study will help establish best practices in instructional materials program modality and exemplary entrepreneurship education. Discussants: D. Anthony Butterfield, University of Massachusetts in Amherst, USA David A. Morand, Pennsylvania State University in Harrisburg, USA 12:00 – 13:30 Lunch 13:30 – 15:00 Concurrent Sessions Panel Th 3.1 “Crossing Borders in our Classrooms & in Ourselves” Chair: Joan Weiner, Drexel University, USA Panelists: William P. Ferris, Western New England College, USA Ellen Greenberg, American University in Bulgaria Chris Poulson, California State Polytechnic University in Pomona, USA Carlos Sequeira, INCAE Center for Latin American Development, Costa Rica James A.F. Stoner, Fordham University at Lincoln Center, USA Th 3.2 “Leveraging Information Technology for Growth, Development & Control” Facilitator: Eduardo L. Montiel, INCAE, Nicaragua Framing Information Technology as an Organizational Issue in a Developing Country Uzoamaka P. Anakwe, Pace University, USA Murugan Anandarajan, Drexel University, USA Magid Igbaria, Claremont Graduate University, USA / Tel Aviv University, Israel Alan B. Eisner, Pace University, USA We present IT as an organizational issue by examining the relationship between management support, task structure, and microcomputer usage in Nigeria and review the obstacles of IT associated with developing economies. Information Management of ISO 9001: A DSS Framework Alireza Lari, Fayetteville State University, USA Shohreh A. Kaynama, Towson University, USA What is the role of information management in the ISO 9001 implementation? We propose a conceptual design of a DSS model to streamline operations, automate collection of information, and improve efficiency. Our model intends to assist managers in taking proper corrective and preventive actions for continuous improvement. Strategic Choices in Electronic Supply Chain Management: The Case of the Chemical Industry John W. Clarry, The College of New Jersey, USA How are chemical firms creating electronic supply linkages? This paper examines the different choices of networks based on strategies, product, and parent nationality. Managing in a Global Economy IX Eastern Academy of Management & INCAE Costa Rica, June 2001 14 Th 3.3 “Operating in National & Global Work Settings” Facilitator: David D. Palmer, University of Connecticut, USA Comparing Business Cultures: Thailand & The United States F. Gerard Adams, Northeastern University, USA Heidi Vernon, Northeastern University, USA How do the cultural perspectives of business people in Thailand and in the United States compare? The questionnaire upon which our study is based uses Hofstede’s five categories, but extends it to make distinctions among shared social values and beliefs, individual preferences, and behavioral practices in a corporate setting. Empowering the Downtrodden: Is the Value of the Black Economic Empowerment Movement in South Africa Recognized by Investors? Todd M. Alessandri, University of North Carolina in Chapel Hill, USA Sylvia S. Black, University of North Carolina in Chapel Hill, USA William E. Jackson, III, University of North Carolina in Chapel Hill, USA One South African movement has been Black Economic Empowerment (BEE) where firms sell equity stakes to black investors. Yet, it is unclear whether investors reward this Corporate Social Responsibility (CSR). We examine the abnormal returns upon announcement of BEE deals. We find capital markets are rewarding firms for CSR contrary to research suggesting no relationship between CSR and financial performance. Attitudes Toward Women in Management in the Arab Gulf Region Darryl B. Lanoue, Eckerd College, USA Are there gender differences in attitudes towards women in management in the Arab Gulf states? How do they compare to those observed in western countries? 18:00 19:00 Buses Depart Marriot for Closing Dinner Closing Dinner at the Museo de los Ninos (Children’s Museum) Entertainment by the Asociacion Folklorica Castro Madriz