Subsidiary participation in global services: local antecedents and performance outcomes

Abstract

Purpose

The purpose of the study is to determine the local antecedents of subsidiary participation in global services and, subsequently, the impact on local performance.

Design/methodology/approach

The study is based on a survey with the local subsidiaries of 14 manufacturers engaged in global services as part of their servitisation strategy.

Findings

Findings show support for considering the local ability for global services as an antecedent for local subsidiary participation in global services and the local service performance as an outcome. In addition, the results reject our hypotheses related to the specific roles of local opportunity and motivation for global services.

Originality/value

This study provides novel insights on the global service operations of manufacturers by highlighting the perspective of subsidiaries engaged in the local service delivery and development of global services. This perspective sets the conditions of the global-local collaboration in the context of global service strategy with local service delivery.

Citation

Pana, M., Cheng, Y., Farooq, S. and Kreye, M.E. (2024), "Subsidiary participation in global services: local antecedents and performance outcomes", Journal of Manufacturing Technology Management, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JMTM-01-2024-0007