The role of the institutions in organizational knowledge replication – lesson from MNC investing in emerging business environment

Abstract

The development of business activities in complex conditions of contemporary environment is a challenge for many companies using traditional strategies. It is partly due to the so called institutional voids. As a result, business models adjusted to mature market philosophy may require reconfiguration. An essential condition is identification of environment morphology which may turn out to be difficult for enterprises from outside a particular market. The purpose of this article is to determine the role of institutions in the replication of the organizational knowledge. Investing in emerging markets creates a perfect opportunity for deeper comprehension of interactions between organizations and the environment. In order to achieve the goal, the objective the results of our own research based on the case studies, were used. In the conclusions guidelines for dealing with businesses under uncertainty of the environment were formulated.