Emergent Global Institutional Logic in the Multinational
نویسنده
چکیده
The following paper conceptualizes how the dominant institutional logic of the multinational corporation (MNC) is influenced by the local institutional logic of its wholly-owned foreign subsidiaries. It is argued that when both the density and institutional distance of the subsidiaries are high and resource interdependency exists, deinstitutionalization will occur. Institutional behaviours will either be rejected or replaced, or dissipate altogether. Through radical or convergent change, discourse between the local and dominant logics will lead to the emergence of a global institutional logic within the MNC.
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