Tony Fang
About me
Tony Fang, PhD, is Professor of Business Administration at Stockholm Business School (SBS) of Stockholm University.
Tony Fang received his PhD and Licentiate of Economics in Industrial Marketing, Industrial Economy, Linköping University, Sweden (1999, 1997) and his Master of Science (MSc) and Bachelor of Science (BSc) in Naval Architecture and Ocean Engineering from Shanghai Jiao Tong University, China (1987, 1984).
Tony Fang worked earlier at the Institute of International Business (IIB), Stockholm School of Economics (SSE) where he was Director for the SSE's International Graduate Program (IGP). He was a visiting scholar in the Department of Political Science at Massachusetts Institute of Technology (MIT) (1998; Host and mentor Professor Lucian W. Pye).
Tony Fang teaches at Bachelor, Master, and PhD levels and in executive programs. He supervises university students' graduation theses work every year. He has been supervisor for a number of doctoral students at SBS. Currently, he is the principal supervisor for a doctoral research on Volvo Cars under Chinese ownership.
Tony Fang’s research areas: re-conceptualizing culture in glocalization, internationalization of the firm, cross-cultural management and innovation, intercultural leadership and communication, inspiration from emerging economies, Swedish society and innovation, Nordic culture and management style, Chinese culture and negotiating style, cross-cultural approach to democracy, and so on.
Tony Fang has had a number of publications. As a school child he published his first academic article in mathematics entitled "On several theorems on tangent points of quadratic curve", Middle-School Mathematics, Fang, 1980). As a researcher Tony Fang has published books and articles. Several of Tony Fang's academic works:
- "International business under sanctions" (2023)
- "Global success of Swedish music" (2023)
- "The paradox and change of Russian cultural values" (2022)
- Globalization, political economy, business and society in pandemic times (2021)
- "Parachuting internationalization" (2017)
- "Yin Yang: a new perspective on culture" (2012)
- "Changing Chinese values: keeping up with paradoxes" (2008)
- "Negotiation: The Chinese style" (2006)
- "From Onion to Ocean" (2005)
- "A critique of Hofstede's fifth national culture dimension" (2003)
- Chinese business negotiating style (1999)
More information about Tony Fang's publications can be found at: http://scholar.google.com/citations?user=-ZGal1QAAAAJ&hl=sv
Every year Tony Fang reviews for a large number of academic journals and he is on the editorial board of some of them. Tony Fang has frequently served as an officially appointed academic opponent, discussant, and/or member of the evaluation committee of doctoral dissertations in Sweden and abroad. Tony Fang is also on board of several expert panels to nominate and evaluate researchers and their qualifications.
Maybe it is worth mentioning that prior to becoming an academic, Tony Fang worked at both Chinese (1987-1991) and Scandinavian (1993-1994) shipping companies. In his 20's Tony Fang was working as a seaman onboard large multipurpose general cargo container vessel sailing from China to Europe and vice versa.
Publications
A selection from Stockholm University publication database
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Explaining reshoring in the context of Asian competitiveness
2019. Daniella Fjellström, Tony Fang, Dina Chimenson. Journal of Asia Business Studies 13 (2), 277-293
ArticlePurpose
The purpose of this paper is to arrive at a different understanding of reshoring in Asia vis-à-vis the Western context of competitiveness, through a case study of the Swedish company FM Mattsson.
Design/methodology/approach
Empirical studies with semi-structured interviews have been conducted both in Sweden and China to gain an in-depth understanding of the case company’s reshoring activities.
Findings
The findings point at reshoring as a competitive means to respond to the dynamics of internal (firm-specific) and external (country-specific) factors. Reshoring comes as a dynamic process by reshuffling resources inside and outside of the firm that strives for continuous competitiveness. Organizations need to meet the challenges of changing environment, especially the dynamic business competition in Asia, and reshoring is a way.
Originality/value
This paper contributes to the literature by perceiving reshoring as a dynamic process of competitiveness development. Reshoring is not seen as one-off short-term decision-making on cost and location but as a long-term process in response to the dynamic internal and external challenges ahead.
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East Asian wisdom and relativity
2018. Chris Baumann, Hume Winzar, Tony Fang. Cross cultural & strategic management 25 (2), 210-230
ArticlePurpose The purpose of this paper is threefold. First, the paper demonstrates how inter-ocular testing (looking at the data) of Schwartz values from world values study (WVS) provides a surprisingly different picture to what the authors would expect from traditional mean comparison testing (t-tests, analysis of variance (ANOVA)). Second, the authors suggest that the ReVaMB model can be applied to an East Asian philosophical perspective. Relativity, the authors argue, is a factor when East Asian wisdom, philosophies and ideologies (Confucianism, Taoism, Buddhism and Legalism) drive outcomes such as work ethic. Third, the paper serves as an editorial to a special issue in CCSM on East Asian wisdom and its impact on business culture and performance in a cross-cultural context. Common themes are Yin Yang, how different cultures deal with paradox, and Zhong Yong, with accompanying concerns of how to conceptualise and deal with balance of opposites. Design/methodology/approach The authors adopted ten variables of the Schwartz values scales used in the WVS and subjected them to principle components analysis to reduce the number of variables. The authors found a two-factor solution: one relating to personal material success and adventure and excitement; another relating to success and personal recognition. The authors labelled these factors as Altruism and Hedonism. The analysis is based on an overall sample of 84,692 respondents in 60 countries. In addition to traditional statistical testing, the authors conduct inter-ocular testing. The authors also suggest that the ReVaMB model can be applied to East Asian wisdom. Findings Three recommendations help to arrive at more accurate conclusions when comparing groups: the authors recommend to aspire to consistent look and statistic. If the data distribution does not agree with the statistics, then the researcher should take a closer look. To avoid misinterpreting statistics and other analysis, the authors recommend inter-ocular testing, i.e. eyeballing data in a scientific fashion. The authors provide specific examples how to do that. The authors recommend to test for common-language effect size (CLE), and also recommend a new rule of thumb, i.e. a split of 60/40 as minimum difference to make any generalisation; 70/30 is worth considering. The rule of thumb contributes to better differentiation between real and not real differences. Originality/value The authors introduce two concepts: the inter-ocular test, which simply means to look at your data, and the Chinese word, ?? (Cujue) which roughly translates to illusion, wrong impression, or misconception. This study argues against accepting simplistic averages for data analysis. The authors provide evidence that an inter-ocular test provides a more comprehensive picture of data when comparing groups rather than simply relying on traditional statistical mean comparison testing. The word of caution is to avoid premature conclusions on group comparisons with statistical testing alone. The authors also propose an extension of the original ReVaMB model from a confucian orientation to a broad East Asian philosophical perspective. Culture does determine attitudes and behaviour which in turn contribute to the shaping of cultures, depending on situation, context, location and time. The context for a situation to occur should be tested as moderators, for example, between East Asian wisdom (Confucianism, Taoism, Buddhism and Legalism) and behavioural or attitudinal dimensions such as work ethic.
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Managing paradoxes, dilemmas, and change
2018. Rubens Pauluzzo (et al.). Cross cultural & strategic management 25 (2), 257-275
ArticlePurpose Drawing on Fang's (2012) Yin Yang theory of culture while taking up the roadmap proposed by Li (2016) for applying the epistemological system of Yin Yang balancing to complex issues in management research, in general, and to paradoxical issues, in particular, the purpose of this paper is to explore how organizations and individuals in the West can balance cultural paradoxes and manage culture dilemmas through the lens of Yin Yang wisdom. Design/methodology/approach The paper is based on a qualitative case study. Data are gathered through interviews, documents, and field observations in four subsidiaries of an Italian insurance multinational corporation and were analyzed according to the three parameters, i.e., situation, context, and time (Fang, 2012). Findings The findings show how the integration and learning from seemingly opposite cultures and sets of values lead the organization and individuals to balancing cultural paradox and managing cultural dilemma effectively. With regard to situation, the authors find that both organizations and customers choose the most relevant value(s) to take advantage of specific events or circumstances, and that different value orientations can coexist. As for context, the authors show that organizations can adapt their values either through suppression and/or promotion, which can foster individuals to find new balancing within the paradox. In terms of time, the authors show that the process of learning from other cultures over time can play a role in the shift of people's and organizations' choices of attitudes and value orientations. Originality/value The paper suggests the relevance and usefulness of adopting Yin Yang wisdom to uncover the dynamic process of cultural learning in Western scenarios.
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International business negotiations in Brazil
2017. Tony Fang, Josephine Schaumburg, Daniella Fjellström. The journal of business & industrial marketing 32 (4), 591-605
ArticlePurpose - The purpose of this study was to explore an innovative strategy for studying the Brazilian negotiator's unique and paradoxical characteristics from a cultural point of view to acquire a better understanding of the nature of international business negotiations in Brazil. Design/methodology/approach - The study is of a qualitative nature, using a multiple-case study design at three levels (small-, medium-and large-scale negotiations). Interviews were conducted with Brazilian and German managers to capture the emic-etic view of the Brazilian negotiator. The Strategic Trinity Model was developed to assess the behavior of the Brazilian negotiator in agreement with three metaphors: African Capoeirista, Portuguese Bureaucrat and Indigenous Warrior. Findings - The three roles African Capoeirista, Portuguese Bureaucrat and Indigenous Warrior comprised similar as well as contradicting characteristics. The Brazilian negotiator chose naturally and even paradoxically from these role features, effectively negotiating any given situation, context and time. During the pre-and post-negotiation phases, traits of the African Capoeirista and Indigenous Warrior were the most salient. During the formal negotiation phase, however, the characteristics of the African Capoeirista and Portuguese Bureaucrat dominated. Research limitations/implications - International business negotiations in Brazil call for an in-depth comprehension of the paradoxical roles that local negotiators take on to achieve better negotiation outcomes. Originality/value - The present study unveiled the contradicting Brazilian negotiating style in international business negotiations, thus acquiring a better understanding of the negotiation process in the Brazilian market.
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Parachuting internationalization
2017. Tony Fang (et al.). Cross cultural & strategic management 24 (4), 554-589
ArticlePurpose - The purpose of this paper is to propose a parachuting internationalization metaphor as an alternative strategy that firms may choose to enter foreign markets compared to Uppsala Model and Born Global Model. This proposed new metaphor seeks to integrate the Uppsala and the Born Global Models to show that firms can attain success in the age of globalization if they are adept at devising creative strategies that help them overcome the challenges in a psychically distant environment. Design/methodology/approach - This is a research paper that develops theoretical perspectives inspired by the Yin Yang thinking as well as the thick descriptive multiple case studies. Findings - Parachuting internationalization embraces essential elements of the Born Global and the Uppsala Models and refers to a firm's strategic targeting of markets with great potentials, correct positioning, swift actions, and fast learning, thus enabling the firm to circumvent the conventional wisdom of liability of foreignness, cultural distance, and psychic distance. Parachuting internationalization is essentially a GLOCAL approach which can be implemented in practice in terms of global vision, location, opportunity, capital, accelerated cultural learning and quick action, and logistics. Research limitations/implications - The parachuting internationalization metaphor is derived from interviews with four Scandinavian firms' experiences that have entered into the Chinese market. This research reveals that two seemingly opposite approaches, i.e., the Born Global and the Uppsala Models, can be fruitfully combined and reconciled to generate a third novel approach. Originality/value - To date, there has been little attempt to reconcile and/or integrate the Born Global and the Uppsala Models of internationalization. The paper enriches the ongoing debate on the internationalization of firms in the international business literature that has relied primarily on the Uppsala Model or Born Global Model. The study shows that a third way, i.e. the parachuting internationalization is both theoretically innovative and practically feasible.
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The Internationalization of Chinese Firms and Negative Media Coverage
2017. Tony Fang, Dina Chimenson. Thunderbird International Business Review 59 (4), 483-502
ArticleChinese firms are internationalizing at an unprecedented speed. One profound phenomenon linked to this active Chinese firms internationalization process is that the process tends to be confronted with negative media coverage of China and Chinese firms in Western countries. How to understand and cope with the negative image of China and Chinese firms, as they are often seen in the Western media, emerges as a relevant and timely research topic in the study of the internationalization of Chinese firms. The purpose of this article is to stimulate ideas for further research on the relations between the internationalization of Chinese firms and the media coverage. We use the case of Geely's acquisition of Volvo Cars, which was to a large extent negatively reported in the Swedish media during 2008-2013, as inspiration to identify the interesting research themes and questions. Given the increasing anti-globalization trend, we hypothesize that Chinese firms will have to face up to the reality of negative media coverage in many Western countries for the foreseeable future, at least in the firms' initial establishment phases. We end our paper with the managerial implications.
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Understanding Chinese culture and communication
2014. Tony Fang. Global Leadership Practices, 171-187
ChapterChina is one of the world’s oldest civilizations with a splendid culture. But what is the uniqueness of Chinese culture that transcends the Chinese society from its “blue gowns” and “bound feet” times (Little, 1902) to today’s China with increasingly sophisticated information technology and with popular TV shows such as “Super Girls” (超女Chaonü) and “You are the One” (非诚勿扰 Fei cheng wu rao) followed live by tens of millions of Chinese fans? What is the same uniqueness of Chinese culture that has contributed to making China’s market economy differ from Western market economy in the same way Chinese Communism differs from the former Soviet (or Eastern Bloc) Communism?
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Impression of China National Centre for Performing Arts
2013. Tony Fang. Management and Organization Review 9 (2), 264-264
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Yin Yang
2012. Tony Fang. Management and Organization Review 8 (1), 25-50
ArticleIn this article I propose a Yin Yang perspective to understand culture. Basedon the indigenous Chinese philosophy of Yin Yang, I conceptualize culture as possessinginherently paradoxical value orientations, thereby enabling it to embrace opposite traitsof any given cultural dimension. I posit that potential paradoxical values coexist in anyculture; they give rise to, exist within, reinforce, and complement each other to shapethe holistic, dynamic, and dialectical nature of culture. Seen from the Yin Yangperspective, all cultures share the same potential in value orientations, but at the sametime they are also different from each other because each culture is a unique dynamicportfolio of self-selected globally available value orientations as a consequence of thatculture’s all-dimensional learning over time.
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Chinese Communication Characteristics
2011. Tony Fang, Guy Olivier Faure. International Journal of Intercultural Relations 35, 320-333
ArticleResearch on Chinesecommunication has so far focused on the understanding of the impact of traditional Confucian cultural values on Chinesecommunicationcharacteristics. While this Confucian-oriented Chinesecommunication style remains meaningful and in many situations powerful in Chinese society and in communication between Chinese and western professionals, the paradox inherent in Chinese culture and communication has rarely been researched. Moreover, China's three decades of rapid economic progress and unprecedented interactions with the rest of the world have contributed to an emergent Chinesecommunication style, which differs from the traditional one. Based on the philosophical principle of Yin Yang, this paper provides a framework to capture the paradox and change of Chinesecommunicationcharacteristics in today's changing Chinese society. Implications for how to communicate effectively with the Chinese from practitioners’ point of view are also discussed.
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Two books: Globalization of Chinese enterprises (by Ilan Alon and John R. McIntyre, eds.), and Chinese Multinationals (by Jean-Paul Larçon, ed.), International Business Review, 20(1), 113-115.
2011. Tony Fang. International Business Review 20 (1), 113-115
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Understanding Paradoxes in Middle Eastern Arab Culture
2011. Randy Shoai, Tony Fang.
Conference -
Asian management research needs more self-confidence: Reflection on Hofstede (2007) and beyond.
2010. Tony Fang. Asia Pacific Journal of Management 27 (1), 155
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Cross-cultural management is at crossroads
2010. Tony Fang.
Conference -
Inherit Hofstede and go beyond Hofstede: Cross-cultural management at the crossroads
2010. Tony Fang.
Conference -
Open Source Strategy Against Software Piracy
2010. T Pykäläinen, D Yang, Tony Fang.
Conference -
Sourcing in an Increasingly Expensive China
2010. Tony Fang, Caroline Gunterberg, Emma Larsson. Journal of Business Ethics 97 (1), 119-138
ArticleChina has long enjoyed its position as the world's cheapest production country. However, this position is being shaken due to the increasingly rising costs in China in pace with China's rapid economic development. China's New Labour Contract Law which took effect from 1 January 2008 has further pushed the labour costs in China in general. The purpose of this article is to arrive at an in-depth understanding of why foreign firms conduct sourcing in China where sourcing is becoming increasingly expensive. The experiences of four Swedish companies in the textile and clothing industry (TCI) conducting sourcing in China are presented. Our findings show that sourcing in China is becoming both cost- and strategy-driven. Companies purely chasing the cheapest production would most probably consider leaving China, whereas companies with a long-term strategic intent and a high level of business ethics and corporate social responsibility (CSR) practices will retain all or most of their sourcing activities on the Chinese soil despite the rising costs.
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The spirit of Chinese society and innovation
2010. Tony Fang, A Kriz. Innovation driven research education
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Alleviating piracy through open source strategy: An exploratory study of business software firms in China
2009. Tony Fang, D Yang, T Pykäläinena. The Journal of strategic informations systems 18 (4), 165-177
ArticleThis paper advances the existing knowledge of anti-piracy strategies by proposing an open source strategy (OS strategy) to alleviate software piracy based on a qualitative, case-based, exploratory study of eight software firms operating in China. The paper shows that the OS strategy is conditionally adoptable, depending on how users are willing to pay for services (market conditions); how critical and complex software is required for upgrading and modifications (software conditions); and how firms can avoid resources overloading and/or shortage (firm conditions). The paper also identifies several new indicators to assess the effectiveness of the OS strategy against piracy. Managerial implications about how to improve business in piracy-ridden environment are discussed.
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Cross cultural management in the age of globalization
2009. A Bird, Tony Fang. International Journal of Cross Cultural Management 9 (2), 139-143
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Changing Chinese values
2008. Guy Olivier Faure, Tony Fang. International Business Review 17 (2), 194-207
ArticleThe impact of China's modernization during the past three decades (1978-2008) on the changes of Chinese behaviours is salient. However, these changes have had an even greater impact on Chinese values. Indeed, China seems to have never given up its single most important cultural characteristic, the ability to manage paradoxes. Ancient Chinese society was an oxymoron melting pot. In the current age of globalization, Chinese society has retained and reinforced this unique feature even in the most significant sociocultural changes. Through the analysis of eight pairs of paradoxical values, referring to business and society at large, the article argues that life in contemporary China has undergone significant cultural change. Nonetheless, in terms of the thinking process, modern Chinese society remains anchored to the classical Yin Yang approach.
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Changing success and failure factors in business negotiations with the PRC
2008. Tony Fang, Verner Worm, Rosalie L. Tung. International Business Review 17 (2), 159-169
ArticleThis article studies the factors that could affect success and failure in business negotiations with the People's Republic of China (PRC). By comparing this study with two earlier studies on the same subject conducted in the 1980s and 1990s, respectively, the article suggests that both success and failure factors in negotiating with the PRC are in transition. The article emphasizes the importance of trust, professionalism, technology, and price competition in negotiating with the Chinese in post-WTO China. Future research and managerial implications are discussed.
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Sino-Western business negotiations revisited
2008. Rosalie L. Tung, Verner Worm, Tony Fang. Organizational Dynamics 37 (1), 60-74
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The changing Chinese culture and business behaviour
2008. Tony Fang, S Zhao, V Worm. International Business Review 17 (2), 141-145
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Assessing the impact of culture on relationship creation and network formation in emerging Asian markets
2006. R Fletcher, Tony Fang. European Journal of Marketing 40 (3/4), 430-446
ArticlePurpose– The purpose of this article is to develop an alternative approach to researching the impact of culture on relationship creation and network formation in Asian markets.Design/methodology/approach– A conceptual approach is taken.Findings– The paper has argued that in Asian markets culture can be better understood on the basis of cultural groupings (e.g. ethnic grouping) than on politically defined and artificially created national boundaries. The assessment and comparison of cultural differences and similarities in Asia can be conducted by using an “enlarged” emic approach. Given the idiosyncratic nature of relationships and the increasing significance of the emic contexts enriched by globalisation, the proposed approach is likely to generate a better understanding of the impact of culture on relationship creation and network formation in emerging Asian markets.Practical implications– Managers doing business in emerging Asian markets need to go beyond traditional national culture stereotypes to capture cultural diversities and paradoxes in terms of, for example, ethnic culture, regional culture, professional culture, and emerging global culture groupings within and across national borders.Originality/value– Differing from the “either/or” nature of the mainstream scholarship which tends to bipolarise national cultures, this paper emphasises the “both/and” character of Asian cultures which intrinsically embrace paradoxes in philosophies, values, and behaviours. The paper has suggested that an “enlarged” emic approach to cross‐cultural clustering and comparison be used in Asian contexts to better understand the workings of relationship creation and network formation in emerging Asian markets.
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Den kinesiske erhvervskultur
2006. Tony Fang. Jeg skal til Kina, 37-53
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From "Onion" to "Ocean": Paradox and change in national cultures.
2006. Tony Fang. Academy of International Business (AIB) annual meeting, Beijing, June 23-26.
Conference -
Negotiation
2006. Tony Fang. Journal of Business & Industrial Marketing 21 (1), 50-60
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Att göra affärer i dagens Kina
2005. Tony Fang.
Book (ed)En introduktion om vad det innebär för svenska företag att göra affärer i Kina och en presentation av det kinesiska samhället, dess politik, ekonomi, och kultur ur ett svensk-kinesiskt perspektiv.
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Chinese business style
2005. Tony Fang. Challenges for China's development, 156-172
ConferenceThe existing knowledge of Chinese business style is based largely on the perception of China as one single homogeneous land and the Chinese as doing business in “the Chinese style”. This “one China, one style” approach had its advantages and was acceptable at a time when Western companies started embarking on their China mission. But, after many years of extensive operations on Chinese soil, Western managers have come to realize that there exist “many Kingdoms” within the Middle Kingdom and there is a variety of “Chineseness” among the Chinese. How to understand and cope with the diverse patterns of Chinese business behaviour within China poses an increasing challenge to management. The purpose of this chapter is to conduct an exploratory study of the diversity of Chinese business styles from a regional subcultural perspective. A survey was conducted among Swedish companies to identify the differences in Chinese business negotiating style between Beijing, Shanghai, and Guangzhou. The profiles of businesspeople from the three regions are discussed and compared with each other. The chapter concludes with a number of theoretical and managerial implications.
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From “onion” to “ocean”
2005. Tony Fang. International Studies of Management and Organization 35 (4), 71-90
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Strategic change towards global sourcing
2005. Tony Fang, Björn Axelsson. Developing sourcing capabilities, 305-322
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The moon and the sun of culture.
2004. Tony Fang. The Academy of International Business (AIB), Competitive Paper. Stockholm, July 10-13.
Conference -
Why did the Telia-Telenor merger fail?
2004. Tony Fang, Camilla Fridh, Sara Schultzberg. International Business Review 13 (5), 573-594
ArticleThe purpose of this article is to examine through a case study of the merger of Telia–Telenor why firms from apparently similar national cultures can fail to form a co-operative venture. Telia and Telenor were the largest telecom operators in Sweden and Norway, respectively. Both were government-owned with a strong monopoly over their respective national markets for a long time. Despite perceived similarities between the negotiating parties in national culture, corporate practice, and language, the negotiation eventually went askew and the ongoing merger ended in December 1999 after only two months in existence. We describe the process of the Telia–Telenor merger negotiation and analyze it from a cross-cultural management perspective. Our major finding is that historical sentiments, feelings and emotions, if not handled well, can cause fatal damage to cross-cultural business ventures.
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A critique of Hofstede’s fifth national culture dimension
2003. Tony Fang. International Journal of Cross Cultural Management 3 (3), 347-368
ArticleUsing indigenous knowledge of Chinese culture and philosophy, this article critiques Geert Hofstede’s fifth national culture dimension, i.e. ‘Confucian dynamism’, also referred to as ‘long-term orientation’. The basic premise on which the dimension is founded is scrutinized and the way in which this index has been constructed is assessed in detail. It is argued that there is a philosophical flaw inherent in this ‘new’ dimension. Given this fatal flaw and other methodological weaknesses, the usefulness of Hofstede’s fifth dimension is doubted. The article concludes by calling for new visions and perspectives in our cross cultural research.
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Negotiating with the Chinese
2003. Pervez N. Ghauri, Tony Fang. International business negotiation, 411-434
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The "coop-comp" Chinese negotiation strategy
2003. Tony Fang. Trust and antitrust in Asian business alliances, 121-150
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The failure of Telia-Telenor merger negotiation
2003. Tony Fang, C Fridh, S Schultzberg. The First International Biennale on Negotiation, NEGOCIA, Paris, December 11-12.
Conference -
Trust in Chinese relational networks: Moving from guanxi to xinren
2003. Tony Fang, A Kriz. The 2003 IMP Annual Meeting, University of Lugano, September 4-6, www.impgroup.org
Conference -
Culture as a driving force for interfirm adaptation: A Chinese case
2001. Tony Fang. Industrial Marketing Management 30 (1), 51-63
ArticleThe concept of interfirm adaptation is a critical component in the IMP (industrial marketing and purchasing) paradigm. The existing wisdom points to the “five metaphors” (investment, decision making, political process, learning, and evolution) as the cognitive map for understanding the mechanisms of interfirm adaptations. This article, however, reveals that culture can be a significant force driving interfirm adaptations. An empirical case of a Chinese shipyard negotiating large shipbuilding projects with Scandinavian ship owner and classification society is used to illustrate the role that culture plays in interfirm adaptations. The article concludes by suggesting adding a new metaphor—the culture metaphor—to the list of the metaphors to better understand the workings of interfirm adaptation in business relationships.
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Negotiating with the Chinese: A socio-cultural analysis
2001. Pervez Ghauri, Tony Fang. Journal of world business (Print) 36 (3), 303--325
ArticleChina has been one of the most favorite markets for Western firms for the last decade. However, doing business with China is considered difficult, mainly because negotiating with Chinese counterparts is quite complex. This paper analyses the negotiation process with China from a socio-cultural perspective. A Swedish multinational, Ericsson, is followed for several years and its negotiation process for different Chinese projects in the telecommunication industry is studied in depth. Based on these cases and literature a model is developed and some conclusions are drawn. Finally, managerial implications presented as four Ps: Priority, Patience, Price and People sum up the essence of Chinese business negotiation process.
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Cross-cultural challenges to the IMP paradigm: Evidence from China
2000. Tony Fang, A Kriz. Paper presented at the 16th IMP annual conference, Bath, U.K., September 7-9.
Conference