Ideological polarization and corporate lobbying activity: The contingent impact of corruption distance

This study examines how ideological polarization and corruption jointly impact MNEs' lobbying decision-making. Building on resource dependence theory, we argue that the ideological polarization of the host country's politics encourages MNEs to engage in lobbying. Furthermore, we suggest that this effect is strengthened by increased corruption distance between the home and host countries. Testing our hypotheses on a sample of 353 firms from 41 countries, we reveal that the host country's political environment affects corporate lobbying activity, moderated by the corruption distance from the home country.

Automated summary

This study examines the impact of ideological polarization and corruption on MNEs' lobbying decision-making. The results suggest that the political environment of the host country affects corporate lobbying activity, and this effect is moderated by the corruption distance between the home and host countries.