Dear friends and colleagues,

Here are some articles on corporate governance that have been accepted at Global Strategy Journal. You can find other forthcoming paper in the early view tab of the journal (https://onlinelibrary.wiley.com/toc/20425805/0/0).

Best wishes,

Gabriel Benito, Alvaro Cuervo-Cazurra, and Ram Mudambi

Co-editors of Global Strategy Journal

Finance and the multinational company: Building bridges between finance and global strategy research

Jonas Puck, Igor Filatotchev

This paper argues for, and contributes to, a stronger integration of research on finance and international business/global strategy. We perform bibliometric analysis of journal publications between 2010 and 2016 and show that papers published in the two domains relate to very different underlying literatures which, so far, have had a limited overlap. We further argue based on a qualitative review of the literature that both fields offer substantial novel perspectives, models, and theories to each other that have the potential to enrich our theoretical understanding of relevant research questions in both domains. We map various pathways for further integration of international business/global strategy and finance fields and discuss different ways how to better connect the two fields and their different research perspectives and research methodologies.

Global strategic context and CEO appointments: The importance of a global mind‐set

Yannick Thams, Aya Chacar, Margarethe Wiersema

The appointment of a new CEO is among the most pivotal and visible decisions made by a board of directors. While prior research has surveyed the impact of performance and governance‐related factors on CEO selection decisions, our understanding of the implications of a firm's global context is limited. This article explores the influence of home country globalization, international diversification, and the undertaking of major cross‐border acquisitions on the appointment of a CEO with a global mind‐set. Using a sample of European and U.S. firms from the Global 500 ranking from 2005 to 2010, we find that companies are likely to match the characteristics of new CEOs with their global strategic contexts.

Board leadership structures in international joint ventures

Jeffrey J. Reuer, Elko Klijn

We examine board leadership structures in international joint ventures (IJVs) and investigate the determinants of CEO duality (i.e., the CEO also serves as chair). In contrast to corporate governance research emphasizing principal‐agent conflicts in corporations, we argue that duality in IJVs can impair the board's execution of its responsibilities when the chair reflects the interests of one of the partners. We consider how unique characteristics of IJVs as organizational forms can exacerbate such governance challenges. In addition, we investigate how formal and relational governance mechanisms supporting IJVs might mitigate these concerns and lead parent firms to adopt unified board leadership structures. By joining the IJV and corporate governance literatures, we identify some of the distinctive properties and determinants of this facet of IJV governance.

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Institutional differences and arbitration mechanisms in international joint ventures

Shivaram Devarakonda, Elko Klijn, Jeffrey Reuer, Valérie Duplat

We theoretically and empirically study the effects of legal institutions on the inclusion of arbitration provisions in international joint venture (IJV) contracts. Legal institutions offer a public trilateral forum to handle interpartner disputes. However, these institutions function differently across countries, which can impede IJV partners from resolving disputes effectively through court systems. Alternatively, partners can take advantage of private trilateral resolution mechanisms in the form of arbitration. We argue and demonstrate that differences among partners' home country legal institutions regarding the legal traditions, as well as the importance of procedures and costs imposed in these countries for enforcing contracts, increase the likelihood of choosing arbitration over litigation. We also compare results for partners' recourse to IJV boards as a private, bilateral means of addressing conflicts.