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In Search of Centre of Excellence: Network Embeddedness and Subsidiary Roles in Multinational Corporations

Ulf Andersson and Mats Forsgren
MIR: Management International Review
Vol. 40, No. 4 (2000 4th Quarter), pp. 329-350
Published by: Springer
Stable URL: http://www.jstor.org/stable/40836151
Page Count: 22
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In Search of Centre of Excellence: Network Embeddedness and Subsidiary Roles in Multinational Corporations
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Abstract

In this paper the authors explore the role of a subsidiary as a centre of excellence within the multinational corporation (MNC). It is argued that such a role can be based on the characteristics of a subsidiary's internal resources, its relationships with the rest of the MNC and the business context of which the subsidiary is a part. Based on the perspective of an MNC as a Network the latter aspect is especially focused. Through an analysis of 98 subsidiaries the importance of the subsidiary's embeddedness, in terms of business relationships with specific customers and suppliers for its role as a centre of excellence, is investigated.

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