How do emerging multinational enterprises release subsidiary initiatives located in advanced economies?

We revisit the relationship between headquarters and subsidiaries under the context of emerging multinational enterprises (EMNEs) and develop a new model for releasing the subsidiary initiative, a significant form of corporate entrepreneurship activities hosted in advanced economies. Drawing upon...

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Main Authors: Yang, Xiaoming, Li, Sunny, Jiang, Fuming
Format: Journal Article
Published: Elsevier 2021
Online Access:http://hdl.handle.net/20.500.11937/82349
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author Yang, Xiaoming
Li, Sunny
Jiang, Fuming
author_facet Yang, Xiaoming
Li, Sunny
Jiang, Fuming
author_sort Yang, Xiaoming
building Curtin Institutional Repository
collection Online Access
description We revisit the relationship between headquarters and subsidiaries under the context of emerging multinational enterprises (EMNEs) and develop a new model for releasing the subsidiary initiative, a significant form of corporate entrepreneurship activities hosted in advanced economies. Drawing upon institutional theory and corporate entrepreneurship theory, we argue that mutual trust between headquarters and subsidiaries serves as a mediating mechanism linking formal institutional distance and subsidiary initiatives. Meanwhile, we propose that communication effectiveness between headquarter and subsidiary plays as a moderator upon such relationships. Communication between the headquarters and the subsidiary positively moderates the relationship from formal institutional distance to trust. A sample including 232 EMNEs with headquarters in China and subsidiaries in advanced economies largely support our model on subsidiary initiative. Our model provides a solution to the global integration-local responsiveness paradox
first_indexed 2025-11-14T11:20:13Z
format Journal Article
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institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T11:20:13Z
publishDate 2021
publisher Elsevier
recordtype eprints
repository_type Digital Repository
spelling curtin-20.500.11937-823492023-03-20T03:28:34Z How do emerging multinational enterprises release subsidiary initiatives located in advanced economies? Yang, Xiaoming Li, Sunny Jiang, Fuming We revisit the relationship between headquarters and subsidiaries under the context of emerging multinational enterprises (EMNEs) and develop a new model for releasing the subsidiary initiative, a significant form of corporate entrepreneurship activities hosted in advanced economies. Drawing upon institutional theory and corporate entrepreneurship theory, we argue that mutual trust between headquarters and subsidiaries serves as a mediating mechanism linking formal institutional distance and subsidiary initiatives. Meanwhile, we propose that communication effectiveness between headquarter and subsidiary plays as a moderator upon such relationships. Communication between the headquarters and the subsidiary positively moderates the relationship from formal institutional distance to trust. A sample including 232 EMNEs with headquarters in China and subsidiaries in advanced economies largely support our model on subsidiary initiative. Our model provides a solution to the global integration-local responsiveness paradox 2021 Journal Article http://hdl.handle.net/20.500.11937/82349 10.1016/j.intman.2021.100836 http://creativecommons.org/licenses/by-nc-nd/4.0/ Elsevier fulltext
spellingShingle Yang, Xiaoming
Li, Sunny
Jiang, Fuming
How do emerging multinational enterprises release subsidiary initiatives located in advanced economies?
title How do emerging multinational enterprises release subsidiary initiatives located in advanced economies?
title_full How do emerging multinational enterprises release subsidiary initiatives located in advanced economies?
title_fullStr How do emerging multinational enterprises release subsidiary initiatives located in advanced economies?
title_full_unstemmed How do emerging multinational enterprises release subsidiary initiatives located in advanced economies?
title_short How do emerging multinational enterprises release subsidiary initiatives located in advanced economies?
title_sort how do emerging multinational enterprises release subsidiary initiatives located in advanced economies?
url http://hdl.handle.net/20.500.11937/82349