Expatriate managers and MNC's ability to control international subsidiaries: the case of Japanese MNCs

Yongsun Paik and Junghoon Derick Sohn

Journal of World Business, 2004, vol. 39, issue 1, 61-71

Abstract: Building upon the notion of behavioral means of control, this paper contends that the level of cultural knowledge of expatriates plays a critical role in determining the effectiveness of expatriates as a means of control over international subsidiaries of multinational corporations (MNCs). An empirical investigation with a sample of Japanese MNCs indicates that while expatriate personnel with adequate cultural knowledge of the host country contribute to the MNC's control ability, those without cultural knowledge do not.

Date: 2004
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