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Article
Publication date: 15 April 2024

Taewoo Roh, Byung Il Park and Shufeng (Simon) Xiao

This study aims to explore how subsidiary capabilities collectively configure for performance. Additionally, it seeks to examine whether these configurations of capabilities can…

Abstract

Purpose

This study aims to explore how subsidiary capabilities collectively configure for performance. Additionally, it seeks to examine whether these configurations of capabilities can provide equifinal solutions through developing a comprehensive research framework that focuses on subsidiaries in China.

Design/methodology/approach

With a data set collected through a questionnaire from 172 Korean multinational enterprises (MNEs) in China, this study used a fuzzy-set qualitative comparative analysis to detect the capability conditions and configurations. These configurations represent combinations of various subsidiary capabilities linked to high performance.

Findings

This study identified several complex pathways with distinct configurations for high subsidiary performance. The findings demonstrate the importance of configurations over individual conditions. Thus, the results highlight that the effectiveness of diverse capabilities, which are widely believed to singularly contribute to the high performance of MNE subsidiaries, depends on how each combines with other capabilities. Overall, the findings provide a richer and fine-grained understanding of the role and relative importance of various forms of MNE subsidiary capabilities and how the joint effect of these subsidiaries contributes to high performance.

Practical implications

This study suggests that MNE managers should comprehensively understand how subsidiary capabilities are configured to produce subsidiary performance outcomes. This specifically illustrates the importance of understanding the mutually conflicting yet collectively exhaustive results of multi-selective solutions and aims to align with China’s industrial and regional heterogeneity.

Originality/value

By examining the role of MNE subsidiary capability configurations, which may collectively influence the subsidiary’s performance, this study contributes to the literature. It elucidates how MNE subsidiaries may achieve superior performance by developing and possessing various capabilities tailored to the local context.

Details

Chinese Management Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-614X

Keywords

Article
Publication date: 1 October 1997

Yongjiang Shi, Michael Gregory and Michael Naylor

Introduces a practical tool ‐ an international manufacturing configuration “map” ‐ for the identification of international manufacturing network patterns and assessment of related…

2886

Abstract

Introduces a practical tool ‐ an international manufacturing configuration “map” ‐ for the identification of international manufacturing network patterns and assessment of related strategic capabilities. Describes the research work and its application‐oriented research method. Builds on the frameworks developed in different industries in the first stage of the project and explains how a “map” can represent typical international manufacturing network configurations and relationships. Introduces a practical process for using the map, involving the identification of current network configurations of main product lines and the strategic capabilities of the configurations. Presents an industrial example and describes its practical industrial application. Draws conclusions about the applicability of the technique and its potential as part of an understanding of international manufacturing system analysis and design.

Details

Integrated Manufacturing Systems, vol. 8 no. 5
Type: Research Article
ISSN: 0957-6061

Keywords

Article
Publication date: 19 November 2008

Hemant Merchant

Empirical studies of the shareholder valuation impact of firms’ international joint venture (IJV) participation have usually emphasized firm‐specific factors, but rarely extended…

1105

Abstract

Empirical studies of the shareholder valuation impact of firms’ international joint venture (IJV) participation have usually emphasized firm‐specific factors, but rarely extended their analysis to location‐specific factors. This is a crucial omission because the two sets of factors are interconnected vis‐a‐vis their influence on firms’ performance. Yet, previous work has neither identified how the two sets of factors complement each other nor investigated the effect of these complementarities on the shareholder value of firms who enter into IJVs. This study attempts to fill these gaps. It develops a typology of IJVs and then performs cluster analysis on a sample of 241 equity IJVs. Results indicate eight clusters in the data, including three clusters with positive shareholder value. In deriving support for its six hypotheses, the study highlights both value‐creating and value‐neutral configurations of firm‐ and location‐specific variables.

Details

Multinational Business Review, vol. 16 no. 3
Type: Research Article
ISSN: 1525-383X

Keywords

Article
Publication date: 1 August 1997

Bert Meijboom and Bart Vos

Questions on configuration and co‐ordination are seldom integrated in research on international manufacturing and location decisions. Suggests a way in which these two aspects…

3480

Abstract

Questions on configuration and co‐ordination are seldom integrated in research on international manufacturing and location decisions. Suggests a way in which these two aspects can be linked by combining concepts from international business and manufacturing strategy. Elaborates the practical relevance of this integration in the experiences of Dutch investors locating plants in Thailand. Simultaneous attention to configuration and co‐ordination enhances the understanding of the functioning of foreign plants in international networks and yields some important implications for managers responsible for international location issues.

Details

International Journal of Operations & Production Management, vol. 17 no. 8
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 21 July 2021

Jelena Jovanovic and Dirk Morschett

Although many manufacturers depend on international sales, and product-related services continue to increase in importance, little is known about how manufacturers should deliver…

Abstract

Purpose

Although many manufacturers depend on international sales, and product-related services continue to increase in importance, little is known about how manufacturers should deliver their product-related services across borders. This paper examines the international configuration decision of industrial service offerings across borders by investigating the impact of different service characteristics and the servitization strategy on this decision. Additionally, the paper sheds light on how digitalization and administrative heritage impact this decision.

Design/methodology/approach

116 industrial goods manufacturers from Switzerland and Germany were surveyed.

Findings

Servitization leads companies to centralize their service resources in their home countries. However, most service characteristics do not impact decisions regarding centralization, except for knowledge intensity, which leads to more centralization of resources. This implies that the resource configuration does not depend on each service individually but on the overall service strategy. Furthermore, the digital readiness of the host country directly and positively impacts resource centralization. Notwithstanding other variables, larger companies tend to decentralize service resources more than smaller companies.

Originality/value

This paper is among the first to study the international configuration impact of servitization and of individual service characteristics, thereby adding important knowledge regarding the provision of product-related services in the international context. Additionally, different aspects of digitalization are included to analyze its impact on companies and host countries.

Details

Journal of Service Management, vol. 32 no. 5
Type: Research Article
ISSN: 1757-5818

Keywords

Article
Publication date: 27 April 2012

Colin Turner

The aim of this article is to explore the rise of firms making a strategic virtue of virtuality. This trend underlines the increased diversity of internationalisation trajectories…

3827

Abstract

Purpose

The aim of this article is to explore the rise of firms making a strategic virtue of virtuality. This trend underlines the increased diversity of internationalisation trajectories within the modern international economy where multinational companies (MNCs) use third parties in a “strategic” manner to support a stated value proposition. To highlight this diversity, the article identifies a particular strategic type: virtual global strategy.

Design/methodology/approach

The article uses configural analysis to identify the particular strategic type of virtual global strategy. Based on the identification of this type, the article offers evidence from the corporate telecommunications market where this strategy has emerged.

Findings

The evidence offered suggests there are limits to the strategic value of a virtual global strategy. Not only are the conditions for its existence rare, but also even in those sectors where it is feasible many firms will seek a degree of hybridity as there is still value in some degree of physical presence either at the regional or local level.

Practical implications

The emergence of these innovative strategies challenges the understanding of the form and nature of internationalisation. Not only does it highlight that there is value in virtuality, but also challenges conventional understanding of the nature of commitment within host markets.

Originality/value

The value of the article lies in understanding the increasingly diverse set of trajectories linked to internationalisation and the ability of firms to make a strategic virtue of virtuality within international markets.

Details

European Business Review, vol. 24 no. 3
Type: Research Article
ISSN: 0955-534X

Keywords

Book part
Publication date: 24 June 2015

Afonso Fleury, Yongjiang Shi, Maria Tereza Leme Fleury, Silas Ferreira, Jose Henrique Cordeiro and Xingkun Liang

Despite the seminal works of authors like Bartlett, Ghoshal, Nohria, Doz, Williamson, among others, because they focused on mature multinationals, newcomers in international

Abstract

Despite the seminal works of authors like Bartlett, Ghoshal, Nohria, Doz, Williamson, among others, because they focused on mature multinationals, newcomers in international markets find scarce information about the design and implementation of international operations networks. In this paper we analyze the internationalization process of Brazilian and Chinese firms to understand the evolution of their networks, a process influenced by factors inexistent in studies about developed country multinationals, namely global production networks (GPNs) and country-of-origin effects. The key characteristics of their international operations networks seem to be well described by a stage-based approach where emerging country multinationals start as local optimizers and then evolve by taking different strategic positions within the GPN to which they are connected. That upgrading is possible when the implementation of the international operations network reaches a certain level of maturity.

Details

Emerging Economies and Multinational Enterprises
Type: Book
ISBN: 978-1-78441-740-6

Keywords

Open Access
Article
Publication date: 9 September 2020

Jagjit Singh Srai, Gary Graham, Patrick Hennelly, Wendy Phillips, Dharm Kapletia and Harri Lorentz

The emergence of distributed manufacturing (DM) is examined as a new form of localised production, distinct from previous manifestations of multi-domestic and indigenous…

8546

Abstract

Purpose

The emergence of distributed manufacturing (DM) is examined as a new form of localised production, distinct from previous manifestations of multi-domestic and indigenous production.

Design/methodology/approach

Supply network (SN) configuration and infrastructural provisioning perspectives were used to examine the literature on established localised production models as well as DM. A multiple case study was then undertaken to describe and explore the DM model further. A maximum variation sampling procedure was used to select five exemplar cases.

Findings

Three main contributions emerge from this study. First, the research uniquely brings together two bodies of literature, namely SN configuration and infrastructure provisioning to explore the DM context. Second, the research applies these theoretical lenses to establish the distinctive nature of DM across seven dimensions of analysis. Third, emerging DM design rules are identified and compared with the more established models of localised production, drawing on both literature and DM case evidence.

Practical implications

This study provides a rich SN configuration and infrastructural provisioning view on DM leading to a set of design rules for DM adoption, thus supporting practitioners in their efforts to develop viable DM implementation plans.

Originality/value

The authors contribute to the intra- and inter-organisational requirements for the emerging DM context by providing new perspectives through the combined lenses of SN configuration and infrastructural provisioning approaches.

Details

International Journal of Operations & Production Management, vol. 40 no. 6
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 13 May 2019

Farveh Farivar, Jane Coffey and Roslyn Cameron

The purpose of this paper is to investigate which sociocultural and work conditions have the potential to change international graduates’ career mobility intentions and encourage…

Abstract

Purpose

The purpose of this paper is to investigate which sociocultural and work conditions have the potential to change international graduates’ career mobility intentions and encourage international graduates to stay in the host country when the initial intention was to leave the host country after graduating.

Design/methodology/approach

Data were collected via a web-based survey from international graduates and analyses suggest 129 (20 percent) of respondents changed their initial career mobility intentions. Data were analyzed using fuzzy-set qualitative comparative analysis.

Findings

Although previous studies report some pull–push factors such as attractive payment rates and work experience as being important in attracting potential workforce participants, these factors have no influence on changing the career mobility intentions of international graduates. In contrast, the work environment (WE) seems to be a strong condition for changing career mobility decisions. Results also reveal that the influence of sociocultural conditions on initial career mobility intention is more complicated than work conditions and varies from case to case.

Practical implications

The present study adopts the theoretical assumption that migration and mobility is a transition that forms over time and the findings suggest that international graduates’ global career mobility intentions depend on the WE. Therefore, government, higher education and industry development policy makers need to take this factor into account if they are interested in attracting and retaining global talent.

Originality/value

The majority of previous studies have focused on which push–pull factors encourage the recently graduated international student workforce to move or stay in a country while the current study argues which conditions have the potential to change initial career mobility intentions.

Article
Publication date: 1 August 2001

Susan Clemmons and Steven John Simon

The dominant market for enterprise resource planning (ERP) vendors has traditionally been the largest of multinational corporations. Until recently, most vendors (SAP, PeopleSoft…

4922

Abstract

The dominant market for enterprise resource planning (ERP) vendors has traditionally been the largest of multinational corporations. Until recently, most vendors (SAP, PeopleSoft, Oracle, etc.) have promoted a “one size fits all” solution built on “industry best practices.” This approach forced organizations to either conform to the “best practices” and configurations suggested by vendors and implementation consultants or embark on extremely costly reconfiguration of their ERP package. The study reviews the concepts of control, coordination, and their trade‐offs plus Bartlett and Ghoshal’s topology of firm strategy. Human resource issues are introduced as examples of organization elements that may or may not conform to the enterprise design structure within coordination and control. Finally, the concepts of control and coordination and the Bartlett and Ghoshal topology are combined to create a firm strategic orientation which is then matched to an ideal ERP configuration or enterprise information architecture.

Details

Business Process Management Journal, vol. 7 no. 3
Type: Research Article
ISSN: 1463-7154

Keywords

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