Subsidiary Capabilities in an Era of Regionalization
نویسندگان
چکیده
We explore the effects of regional distance on the capabilities of multinational enterprise (MNE) subsidiaries, with an empirical application to a sample of 50 foreign subsidiaries operating in Canada. We conclude that subsidiaries of outsider MNEs face a liability of inter-regional foreignness as compared to insider MNE subsidiaries. However, such liability tends to diminish over time, though at a different pace for the various value chain activities considered.
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