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Characteristics of Low-Autonomy Foreign Subsidiaries: Value Chains, Staffing, and Intra-Organizational Relationships
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2012 (English)In: Journal of International Business and Economics, ISSN 1544-8037, E-ISSN 2378-9174, Vol. 13, no 1, p. 65-95Article in journal (Refereed) Published
Abstract [en]

This paper examines several characteristics of foreign subsidiaries with low autonomy. Data derived from a survey of 381 MNC subsidiaries located in Denmark, Germany and the UK demonstrate that low-autonomy subsidiaries are highly embedded in their respective MNC networks and that they establish a high number of intra-organizational relationships. Furthermore, such subsidiaries are typically managed by nationals of the MNC’s headquarters home country. Despite the fact that such subsidiaries have low autonomy, they employ a high proportion of professional staff members. We find a negative relationship between lower autonomy and the production activities carried out by the subsidiary. In fact, low-autonomy subsidiaries appear to be specialized in that they focus on a few value-chain activities and they typically serve as marketing outlets.

Place, publisher, year, edition, pages
2012. Vol. 13, no 1, p. 65-95
Keywords [en]
subsidiaries, autonomy, staffing, networks, Business Administration, Företagsekonomi
National Category
Business Administration
Research subject
Economy, Business administration
Identifiers
URN: urn:nbn:se:lnu:diva-107939OAI: oai:DiVA.org:lnu-107939DiVA, id: diva2:1611218
Note

Ej belagd 211129

Available from: 2021-11-13 Created: 2021-11-13 Last updated: 2021-11-29Bibliographically approved

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http://urn.kb.se/resolve?urn=urn:nbn:se:hj:diva-21150

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Stephan, Andreas

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  • fi-FI
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  • nn-NB
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  • Other locale
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Output format
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  • asciidoc
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