Conventional and reverse knowledge flows in multinational corporations

Q Yang, R Mudambi, Klaus E Meyer

Research output: Contribution to journalArticle

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Abstract

Leveraging knowledge from geographically disparate subsidiaries is a crucial source of competitive advantage for multinational corporations (MNCs). This study investigates the determinants of knowledge transfers to and from newly acquired subsidiaries in three transition economies in Central and Eastern Europe. It is hypothesized that the determinants of conventional knowledge transfers from MNC parents to subsidiaries and reverse knowledge transfers from subsidiaries to MNC parents are based on different transfer logics. A sample of 105 acquired subsidiaries revealed that organizational characteristics are important in conventional knowledge flows from headquarters, so that subsidiaries acquired with competence-creating objectives receive significantly larger inflows. Knowledge characteristics are important in reverse flows to headquarters so that subsidiaries whose knowledge is more relevant are able to transmit significantly larger outflows. Host country locations have significant moderating effects. The significance of the directional context in knowledge transfers is an important new finding.
LanguageEnglish
Pages882-902
Number of pages21
JournalJournal of Management
Volume34
Issue number5
DOIs
StatusPublished - 2008

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Knowledge flow
Subsidiaries
Multinational corporations
Knowledge transfer
Headquarters
Moderating effect
Organizational characteristics
Central Europe
Transition economies
Eastern Europe
Logic
Competitive advantage
Host country

Cite this

Conventional and reverse knowledge flows in multinational corporations. / Yang, Q; Mudambi, R; Meyer, Klaus E.

In: Journal of Management, Vol. 34, No. 5, 2008, p. 882-902.

Research output: Contribution to journalArticle

Yang, Q, Mudambi, R & Meyer, KE 2008, 'Conventional and reverse knowledge flows in multinational corporations' Journal of Management, vol. 34, no. 5, pp. 882-902. DOI: 10.1177/0149206308321546
Yang, Q ; Mudambi, R ; Meyer, Klaus E. / Conventional and reverse knowledge flows in multinational corporations. In: Journal of Management. 2008 ; Vol. 34, No. 5. pp. 882-902
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