Time Order as Psychological Bias

Incorrectly perceiving the chronology of events can fundamentally alter people’s understanding of the causal structure of the world. For example, when astronomers used the “eye and ear” method to locate stars, they showed systematic interindividual errors. In the current study, we showed that temporal-order perception may be considered a psychological bias that attention can modulate but not fully eradicate. According to Titchener’s law of prior entry, attention prioritizes the perception of an event and thus can help compensate for possible interindividual differences in the perceived timing of an event by normalizing perception in time. In a longitudinal study, we tested the stability of participants’ temporal-order perception across and within sensory modalities, together with the magnitude of the participants’ prior-entry effect. All measurements showed the persistence of stable interindividual variability. Crucially, the magnitude of the prior-entry effect was insufficient to compensate for interindividual variability: Conscious time order was systematically subjective, and therefore traceable on an individual basis.

The effects of own- and other-prior entry modes in the internationalization of Japanese multinational companies in the electronic sector

Purpose – This paper goes above and beyond the prior research on entry mode by considering the organizational approach and examines entry mode selection between wholly-owned subsidiaries and joint venture by taking into account the existence of different types of joint ventures. In this way, this paper seeks to investigate whether or not a relationship exists between the first entry strategy decision of a particular firm and the prior foreign market entries made by other firms. Moreover, considering that foreign market entry is not a one-time decision, this study analyses whether or not prior entry in a particular country has influence on the choice of repeated entries in the same country. Design/methodology/approach – This paper uses data of 1,470 subsidiaries established by Japanese electronics firms in 64 countries. The propositions are tested by applying a statistical t-test to compare the mean differences between the analyzed cases. Findings – The findings revealed the legitimacy effect on the entry mode selection. Firms tend to follow the prior entry strategies of its rivals in the case of first time investors, while for subsequent investments, both prior entries made by the parent firm and competitors have great influence on the market access in a particular country. It suggests that the effect of market competition cannot be neglected when examining entry mode selection. Furthermore, there is a need to consider entry strategy as a dynamic rather than a static decision-making process. Originality/value – The findings from this study are useful for scholars interested in advancing the knowledge on entry mode strategies of multinational companies.