Developing subsidiary contribution to the MNC—Subsidiary entrepreneurship and strategy creativity
نویسندگان
چکیده
Article history: Received 28 January 2009 Received in revised form 8 March 2010 Accepted 9 March 2010 Available online 14 October 2010 Despite its theoretical and managerial significance, subsidiary entrepreneurship and its effects on subsidiary contribution remain underexplored in the literature. We propose that subsidiary entrepreneurship encourages more creative strategic responses to escalating environmental change. We explore the direct and mediating effects of subsidiary entrepreneurship on subsidiary contribution to the MNC, particularly subsidiary strategy creativity. We use structural equation modelling to test our propositions on data generated from surveying the population of Irish subsidiaries of foreign MNCs, and find strong support for our theoretical predictions. The managerial implications of subsidiary entrepreneurship in generating creative strategy, prompting strategic initiatives and improving performance are discussed. © 2010 Elsevier Inc. All rights reserved.
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