Decoupling in international business: Evidence, drivers, impact, and implications for IB research

We argue that decoupling, defined as the process of weakening interdependence between two nations or blocs of nations, has been ongoing between China and the United States and is likely to accelerate, with major implications for IB and MNE strategies and management. We present data that the world has experienced deglobalization and China-US decoupling and discuss the dynamics underlying decoupling and their implications for IB. We propose an initial framework of variations in decoupling by industry characteristics, and we outline novel and important questions for IB research growing out of our analysis. We conclude with a brief exposition of possible alternative scenarios.

Automated summary

This article discusses the decoupling process between China and the United States and its implications for international business and multinational enterprise strategies and management. It presents data on deglobalization and China-US decoupling, and proposes a framework for analyzing variations in decoupling across different industries. The article also highlights the need for further research on this topic and presents possible alternative scenarios.