This article explores the contributions of Central and Eastern Europe (CEE) to the development of international business (IB) and management theories, focusing on three main theoretical perspectives: organizational economics theories (TCT and agency theory [AT]), resource-based theories (RBT), and institutional theories (IT). The authors discuss how these theories have been applied to understand key issues such as foreign investors' entry strategies, local incumbents' restructuring strategies, and entrepreneurs' entry and growth strategies. They highlight the importance of contextual influences, particularly institutions, in shaping business strategies and the challenges of incorporating these factors into existing theories. The article also outlines future research directions, emphasizing the need to further develop and test propositions concerning the link between institutions, transaction costs, and firm performance. The authors conclude by suggesting that CEE research has significantly advanced the understanding of how contextual variables moderate the applicability of existing theories and the development of new perspectives, particularly in the area of institutional theory.This article explores the contributions of Central and Eastern Europe (CEE) to the development of international business (IB) and management theories, focusing on three main theoretical perspectives: organizational economics theories (TCT and agency theory [AT]), resource-based theories (RBT), and institutional theories (IT). The authors discuss how these theories have been applied to understand key issues such as foreign investors' entry strategies, local incumbents' restructuring strategies, and entrepreneurs' entry and growth strategies. They highlight the importance of contextual influences, particularly institutions, in shaping business strategies and the challenges of incorporating these factors into existing theories. The article also outlines future research directions, emphasizing the need to further develop and test propositions concerning the link between institutions, transaction costs, and firm performance. The authors conclude by suggesting that CEE research has significantly advanced the understanding of how contextual variables moderate the applicability of existing theories and the development of new perspectives, particularly in the area of institutional theory.