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MNEs and foreign partner strategic alliance in Middle East emerging Arab markets

Dissertation (MBA)--University of Pretoria, 2023

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Main Author: Chomse, Sorina
Other Authors: Chen, Jeff
Format: Thesis
Language:English
Published: University of Pretoria 2024
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access_status_str Open Access
author Chomse, Sorina
author2 Chen, Jeff
author_browse Chen, Jeff
Chomse, Sorina
author_facet Chen, Jeff
Chomse, Sorina
author_sort Chomse, Sorina
collection Thesis
dc_rights_str_mv © 2023 University of Pretoria. All rights reserved. The copyright in this work vests in the University of Pretoria.
description Dissertation (MBA)--University of Pretoria, 2023
format Thesis
id oai:repository.up.ac.za:2263/95575
institution University of Pretoria (South Africa)
language English
last_indexed 2026-06-10T12:37:19.710Z
license_str Other — see source repository
provenance_str_mv Harvested via OAI-PMH from UPSpace — University of Pretoria Institutional Repository
publishDate 2024
publishDateRange 2024
publishDateSort 2024
publisher University of Pretoria
publisherStr University of Pretoria
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source_str UPSpace — University of Pretoria Institutional Repository
spelling oai:repository.up.ac.za:2263/95575 MNEs and foreign partner strategic alliance in Middle East emerging Arab markets Chomse, Sorina Chen, Jeff Principal agent theory Business to business relationships Middle East North Africa Strategic alliance Qualitative research Dissertation (MBA)--University of Pretoria, 2023 Purpose: This article seeks to advance, build upon and extend our understanding of the evolution of business-to-business relationships as part of internationalisation strategy, exploring and drawing on the theoretical lens of psychological contract theory within the principal agent context. This article aims to extend our understanding of the role and explore implications that psychological contracts play in developing trust and long-term personal manufacturer-distributor/ agent relationships between Western and Middle East and North Africa (MENA) Arab region corporations. The research presents an integration of psychological contract theory borrowed from deeply rooted constructs of Human Resource Management (HRM) and added to the field of Strategy and International Business to the Principal Agent Theory model. The paper aims to present a model which helps to explain the overall relationship between Western and MENA corporations that can be applied to build trust, commitment, and co-operation between firms as a strategic approach to achieving successful internationalisation strategies and competitive advantage. A proposed agenda for future research lays the foundation for strategy and international business scholars to advance the principal agency theory within the psychological contract theory. Findings: The results of the study present trust as the fundamental major key factor upon which business relations and dealings are built in MENA Arabic speaking countries. Positive psychological contracts are characterised through a multiplier model that presents the key elements that build trust. Research Implications: The findings of the study provide insights and a deeper understanding of the psychological dimensions and aspects that influence business partnerships. The aim is to advance and broaden the widely acknowledged and iconic principal agency theory by integrating language, culture and contextual nuance considerations that exist between Western multinational enterprises (MNEs) and their local partners in the Middle East North Africa (MENA) region to internationalisation strategies. Practical Implications: The framework and trust multiplier model developed in this study can be utilised by management as part of their internationalisation strategy to build strong relationships between Western MNEs entering the MENA region. pagibs2024 2024-04-16T08:58:06Z 2024-04-16T08:58:06Z 2024-04-17 2024-04-17 Mini Dissertation * A2024 http://hdl.handle.net/2263/95575 en © 2023 University of Pretoria. All rights reserved. The copyright in this work vests in the University of Pretoria. application/pdf University of Pretoria
spellingShingle Principal agent theory
Business to business relationships
Middle East North Africa
Strategic alliance
Qualitative research
Chomse, Sorina
MNEs and foreign partner strategic alliance in Middle East emerging Arab markets
title MNEs and foreign partner strategic alliance in Middle East emerging Arab markets
title_full MNEs and foreign partner strategic alliance in Middle East emerging Arab markets
title_fullStr MNEs and foreign partner strategic alliance in Middle East emerging Arab markets
title_full_unstemmed MNEs and foreign partner strategic alliance in Middle East emerging Arab markets
title_short MNEs and foreign partner strategic alliance in Middle East emerging Arab markets
title_sort mnes and foreign partner strategic alliance in middle east emerging arab markets
topic Principal agent theory
Business to business relationships
Middle East North Africa
Strategic alliance
Qualitative research
url http://hdl.handle.net/2263/95575
work_keys_str_mv AT chomsesorina mnesandforeignpartnerstrategicallianceinmiddleeastemergingarabmarkets