Publication Type

Journal Article

Version

publishedVersion

Publication Date

12-2024

Abstract

Multinational platforms (MNPs), such as TikTok, Grab, and Airbnb, are facing sig nificant legitimacy challenges in foreign markets. While some of these challenges are similar to those experienced by conventional multinational enterprises (MNEs), the platform-based business models of MNPs, which create value primarily through networks of external users and complementors, rather than through hierarchically controlled foreign subsidiaries, lead to unique legitimacy challenges and open up novel strategies for overcoming them. We explore how MNPs can leverage legiti macy spillovers from their complementors to overcome legitimacy challenges and establish credibility in new markets. We propose that effective governance and stra tegic management of complementor relationships can significantly enhance MNPs’ legitimacy across diverse institutional contexts. Our findings contribute to the lit erature on digital platform internationalization, offering new insights and strategic tools for MNP managers to navigate the complex global landscape

Keywords

platform, legitimacy, legitimacy spillover, liability of foreignness, multinational enterprise

Discipline

Business | Corporate Finance | Technology and Innovation

Research Areas

Operations Management; Strategy and Organisation

Publication

Asia Pacific Journal of Management

Volume

42

Issue

4

First Page

2151

Last Page

2170

ISSN

0217-4561

Identifier

10.1007/s10490-024-10004-2

Publisher

Springer

External URL

https://www.cambridge.org/core/journals/international-and-comparative-law-quarterly/article/salamislicing-and-issue-estoppel-foreign-decisions-on-the-governing-law/61B23E23D3315F0F1CD21CB34C7B8AC0#article

Additional URL

https://doi.org/10.1007/s10490-024-10004-2

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