Our latest paper explores how 12 Pakistani offshore service providers succeeded in offsetting the negative implications of the country’s adverse political environment. The resulting dynamic framework furthers theory and practice beyond the study context https://rdcu.be/bovc8

1. Knowledge Connectivity in an Adverse
Context: Global Value Chains and
Pakistani Offshore Service Providers
Sinkovics, Noemi, Umair Shafi Choksy, Rudolf R. Sinkovics, and Ram
Mudambi (2019), "Knowledge connectivity in an adverse context –
global value chains and Pakistani offshore service providers,"
Management International Review, 59 (1), 131-170.
https://doi.org/10.1007/s11575-018-0372-0
Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 1

2. Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 2

3. Authors
Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 3

4. Authors
• Dr Noemi Sinkovics
» Lecturer in International Business and Management
The University of Manchester, Alliance Manchester Business School
Noemi.Sinkovics@manchester.ac.uk
www.manchester.ac.uk/research/noemi.sinkovics
http://orcid.org/0000-0002-5143-6870
• Dr Umair Shafi Choksy
» Lecturer in Strategy and International Business
University of Kent, Kent Business School
u.s.choksy@kent.ac.uk
https://www.kent.ac.uk/kbs/our-staff/profiles/choksy-umair.html
http://orcid.org/0000-0001-9862-533X
• Prof Rudolf R. Sinkovics
» Professor of International Business
The University of Manchester, Alliance Manchester Business School
Rudolf.Sinkovics@manchester.ac.uk
www.manchester.ac.uk/research/rudolf.sinkovics
http://orcid.org/0000-0002-4471-5054
• Prof Ram Mudambi
» Professor Strategic Management & Perelman Senior Research Fellow
Temple University, Fox School of Business
ram.mudambi@temple.edu
http://orcid.org/0000-0002-5396-5602Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 4

5. Context and motivation
Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 5

6. Research context and research question
• Phenomenon driven research
» Adverse political context in Pakistan
» Withdrawal of Western firms from PK, difficulty to travel in and
out
» Reluctance of Western firms to even listen to pitches (2007)
» Nevertheless, industry bounced back from 2010 onwards
• How did PK Offshore Service Providers gain access to the
Global OSP Value Chain despite these barriers?
• We are using an integrative framework to explore this
question
» Knowledge connectivity (Cano-Kollmann et al. 2016)
» GVC analysis framework (Gereffi and Fernandez-Stark 2016)
» Practice framework (Jones and Murphy 2011)
Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 6

7. Research design, method and
sample
Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 7

8. Methodology & research design
• Flexible pattern matching (Sinkovics, 2018)
• Definition of preliminary, tentative theoretical patterns
(propositions) to be matched to observed patterns in the data
Data analysis
Selection criteria
• Multiple case studies
• 12 OSPs linking into two value chain configurations
• Theoretical sampling
Design
• OSP set up in 2007 or after (to capture the effects of the 2007
political crisis)
• Good financial health at the time of selection
• Certain level of innovativeness (recognized by newspapers,
industry platforms, awards, service portfolio on firm’s website,
etc.) at time of selection
• Small and medium-sized firm with employee numbers in the
range of 20 to 300
Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 8

9. Two distinct value chains
Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 9

10. App idea or
need
Marketing/
Publishing on
apps store
Requirement
analysis
High-level
design
Low-level
design
Coding, test,
and support
Smartphone
app user
Architecture phase Implementation phase
B2C mobile apps value chain
Problem framing
capabilities
Problem solving
capabilities
Routine
capabilities
Supplier
capability
requirements
• Domain knowledge
• Industry knowledge
• Final user needs and experiences
Supplier
(application
development
and design
Client
(branding and
marketing -
ideas, R&D,
and design are
contingent)
App store
Knowledge transfer requirements
Value chain participants
Final
user
Developer
standards, publishing
rates, 30% margin
Project duration:
2 months – 1 year

11. App idea or
need
Requirement
analysis
High-level
design
Low-level
design
Coding, test,
and support
• Domain knowledge
• Industry knowledge
• Client company information
• Final user needs and experiences
Final user
Architecture phase Implementation phase
Problem framing
capabilities
Problem solving
capabilities
Routine
capabilities
Supplier
capability
requirements
Software
demos
Supplier
(application
development
and design
Client
(ideas, R&D,
and design are
contingent)
Employees,
customers/
clients
Knowledge transfer requirements Value chain participants
Project duration: 2< years
B2B software solutions value chain

12. Dynamic framework of the factors
shaping the degree of connectivity
and transformational global
sourcing over time
Sinkovics et al. MIR 2019 - https://doi.org/10.1007/s11575-018-0372-0 12

13. Patterns
Social performance
Perceptions
Relational power
Ease of coordination and
control through ICT
Assignment duration
Structural power
Patterns
Social performance
Perceptions
Disconnection
(break-out)
Upgrading
(step-up)
Complexity of
transaction
Supplier capability
Supplier’s
strategic intent
Effort to increase lead
firm decision maker’s
comfort zone
Codifiability of
knowledge
Investment in building
connectivity
Leadfirmside
Supplierfirmside
Decision
maker’s
comfort zone
Institutional environment in host country (labour cost, infrastructure, education and training facilities, political stability,
laws and regulations, etc.)
t0
t0+ nx
t0+ ny
Degree of connectivity
Degree of
transformational
sourcing
G1
G2
G3
P1
P2
P3
P4
P1
P2
P3
P4
BCM
JP1
JP2
CK1
CK2
G4
G5
G6