In April 2004, the Royal Netherlands Academy of Sciences published a report and held a
discussion on the future of sociology. As the main priority for research it identified the
subject of internationalization and cross-cultural understanding. Clearly, under present
conditions of globalization, emerging economies, immigration, political upheaval, and
violent confrontations between ideologies and religions, an understanding of different
cultures is of crucial importance in dealing with problems of conflict and rivalry. This
book satisfies that priority, in the area of management and organization. Thus, it is very
timely. While it has suffered from neglect, in comparison with the more domestic areas of
research, the subject of internationalization and cross-cultural comparison in manage-
ment and organization is not new. Authors writing on ‘business systems’, ‘varieties of
capitalism’ and ‘societal effects’ have conducted extensive cross-cultural studies in this
area for some time. However, this work has, understandably for an emerging field, been
fairly descriptive and taxonomic, and causal explanations have been scarce. The present
volume aims to provide a more causally explanatory account, not only identifying cross-
cultural differences, but also trying to explain them. In particular, it offers a fruitful
combination of cultural and institutional approaches, with elements of economic theory
and insights derived from the field of business strategy.
This book is intended as a text for advanced students and scholars. It will be of
interest to a wide range of students and scholars, in management and organization, busi-
ness, economics and sociology. It yields a comprehensive account of relevant topics, on
different levels, across a wide range of countries, including some countries in transition,
and some underdeveloped countries. In the environment of the firm it discusses the wider
economic, institutional and cultural environment and, somewhat closer to the firm, inno-
vation systems and networks, and regional clusters. Within the firm, it deals with
corporate governance, personnel management, production management, organizational
structure, strategy and internationalization processes. Particularly useful, from a concep-
tual, theoretical point of view, is its attempt to combine and integrate cultural and
institutional approaches, from both an economic and a sociological perspective. This book
looks not only at institutional differences, but also at institutional change. An important
theme, of course, is convergence between economic systems: will cross-national differ-
ences disappear or will they persist, and, if so, how? This theme runs through the book
and is reviewed at the end. In short, the book is well designed, with a good range of rel-
evant subjects and issues, on different levels of analysis. The book is also well informed,
being based on sound and thorough research. Above all, it is to be commended for taking
a critical approach, and avoiding hype, stereotype and cliché.
Professor Bart Nooteboom
Erasmus University
The Netherlands
Foreword
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