4.5 Article

A vulnerable victim or a tacit participant? Extending the field of multinationals and corruption research

Journal

INTERNATIONAL BUSINESS REVIEW
Volume 31, Issue 1, Pages -

Publisher

ELSEVIER
DOI: 10.1016/j.ibusrev.2021.101890

Keywords

Corruption distance; CSR; Developing countries; Governance; Institutional environment; MNEs

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Funding

  1. National Natural Science Foundation of China [71832012]

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The review focuses on corruption in the multinational context, highlighting common themes around the challenges facing MNEs and the active role MNEs play in corrupt practices. It challenges the predominantly western perspectives that often create a false dichotomy between the global north and global south, emphasizing implications for theorizing based on recent comparative institutional theorizing.
Are multinational enterprises (MNEs) makers or takers of corruption? This review focuses on corruption in the multinational context to highlight issues specific to MNEs, and captures 139 articles from 75 English journals over the period of 1999-2020. Our review not only highlights common themes around the contextual challenges facing MNEs, but also how a key strand of the literature focuses attention on the role of MNEs as active agents in corrupt practices. It is often implied that corruption is something endemic to the emerging markets, which MNEs from the north have to cope with if they have to do business there, rather than what significant numbers of such firms actively instigate or sustain. Hence, we challenge predominantly western perspectives informed by institutional-economic analyses that too often, pose a false dichotomy between the global north and global south. We draw out the implications for theorizing based on recent comparative institutional theorizing.

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