The role of location in headquarters-subsidiaries relationships: An analysis of French multinationals in emerging markets

Hanane Beddi () and Ulrike Mayrhofer ()
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Hanane Beddi: MAGELLAN - Laboratoire de Recherche Magellan - UJML - Université Jean Moulin - Lyon 3 - Université de Lyon - Institut d'Administration des Entreprises (IAE) - Lyon
Ulrike Mayrhofer: MAGELLAN - Laboratoire de Recherche Magellan - UJML - Université Jean Moulin - Lyon 3 - Université de Lyon - Institut d'Administration des Entreprises (IAE) - Lyon

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Abstract: This paper examines the role of location in the relationships established between headquarters and foreign subsidiaries. The analysis focuses on new challenges faced by MNEs from mature economies, considering the growing importance of subsidiaries located in emerging countries. The empirical study is based on three in-depth case-studies of French multinationals. The authors conducted 31 interviews with managers from both the headquarters and foreign subsidiaries. The findings of the study indicate that headquarters-subsidiaries relationships are shaped by the location of subsidiaries in emerging economies, and more specifically by the cultural, administrative, geographic and economic distance between the headquarters and foreign subsidiaries.

Keywords: distance; French multinationals; emerging markets; location; distance. (search for similar items in EconPapers)
Date: 2010-12-09
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00690213v1
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Published in 36th Annual EIBA (European International Business Academy) Conference, Dec 2010, Portugal. 26 p

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-00690213

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