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pankaj ghemawat > academic resources
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Academic Articles
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Find links to journal articles on globalization, business strategy, game theory, and related topics.
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Differences in Business Ownership and Governance around the World
Culture, the first element of the CAGE framework presented in the article “Distance Still Matters,” refers to the attributes of a society that are sustained by interactions among people, whereas the administrative element of CAGE refers to aspects that are sustained by state authority: governmental policies (and practices), laws and public institutions. As noted in that article, administrative attributes such as colonial-era ties, preferential trading arrangements, a common currency, political amity, policies of openness, and strong public institutions significantly boost trade. Similar influences also seem to apply to foreign direct investment and other cross-border flows of capital, of people and of information. And while administrative similarities account for most of these influences, selected administrative differences can also generate cross-border activity, e.g., through the exploitation of tax or regulatory differences.
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