Parenting MNC networks through springboard subsidiaries: a dynamic model of evolution

José Plá Barber, Cristina Villar and Luis Silva Domingo
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José Plá Barber: University of Valencia
Cristina Villar: University of Valencia
Luis Silva Domingo: Universidad ORT Uruguay. Facultad de Administración y Ciencias Sociales.

No 100, Documentos de Investigación from Universidad ORT Uruguay. Facultad de Administración y Ciencias Sociales

Abstract: Drawing on the notion of springboard subsidiary, this study extends previous theoretical literature to provide empirical evidence on how headquarters configure relationships and organize activities with the subsidiary’s network, as well as the mechanisms to create added value by using this entry strategy. We conducted a qualitative study to explore the determinants, development and dynamic evolution of these units in European multinationals using Spain as a springboard subsidiary to manage its operations in Latin America. The paper also extends recent international business literature on extra-regional headquarters and parenting advantage within the multinational firm.

Keywords: springboard subsidiary; multinational firm; subsidiary-specific advantage; parenting advantage; regionalization theory. (search for similar items in EconPapers)
Pages: 32 pages
Date: 2015-02
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