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The MNC as an Externally Embedded Organization: An Investigation of Embeddedness Overlap in Local Subsidiary Networks.

Nell, Phillip C. and Ambos, Björn and Schlegelmilch, Bodo B. (2011) The MNC as an Externally Embedded Organization: An Investigation of Embeddedness Overlap in Local Subsidiary Networks. Journal of World Business, 46 (4). pp. 497-505. ISSN 1090-9516

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Abstract

MNCs have been conceptualized as differentiated networks that, in turn, are embedded in external networks. Previous research has predominantly focused on the embeddedness of established subsidiaries into their local environment, omitting to shed light on the phenomenon of headquarters linkages to the local context which creates embeddedness overlap. We develop a model of why MNCs develop overlapping linkages to local subsidiary networks even if the subsidiaries have grown out of the initial start-up phase. Using detailed information on 168 European subsidiaries, we find that MNCs build and maintain more overlapping network ties when subsidiaries are high performers, hold important resources, operate in turbulent environments, and are closely connected to multinational actors as opposed to purely domestic firms. (authors' abstract)

Item Type: Article
Keywords: External relationships / Multinationals / Embeddedness
Divisions: Departments > Welthandel > International Business > Nell
Version of the Document: Accepted for Publication
Variance from Published Version: Minor
Depositing User: Kerstin Kvapil
Date Deposited: 11 Apr 2016 14:09
Last Modified: 13 Apr 2016 15:21
FIDES Link: https://bach.wu.ac.at/d/research/results/53431/
URI: http://epub.wu.ac.at/id/eprint/4972

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