Sentiments that Affect Sociopolitical Legitimation of TNCs in Bangladesh, India, and Pakistan: Sustainable Strategic Management from an Institutional Perspective

Our study investigates the transnational enterprises' (TNCs’) socio-political legitimization in Bangladesh, India, and Pakistan with a view to ensuring sustainability in the institutional context. We took institutional perspective as a theoretical lens, used a grounded theory method, and employed nine cases as a methodological tool in this study. We explore and conceptualise three types of sentiments, abbreviated as ‘REN-sentiments’, that cause tensions between TNCs and socio-political actors in the process of legitimization. The REN-sentiments comprise ‘religiosity and ideology’, ‘nationalism and patriotism,’ and ‘ecological balance’, and suggest that tensions stemming from these three sentiments can be managed and often turned into opportunities if appropriate strategies are applied. Eight types of strategies derived from the nine case studies are presented in order to mitigate, manage, and cash in on the REN-sentiments in South Asian markets. These strategies include collaboration strategy, local development strategy, strategy of alignment with socio-political actors, local name and staffing strategy, hibernation strategy, sentiment-focused strategy, isomorphism strategy, and openness strategy.