Successful reconfiguration and network evolution within the multinational company

Stefano Valdemarin and Ulrike Mayrhofer ()
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Stefano Valdemarin: ESSCA - ESSCA – École supérieure des sciences commerciales d'Angers = ESSCA Business School
Ulrike Mayrhofer: GRM - Groupe de Recherche en Management - EA 4711 - UNS - Université Nice Sophia Antipolis (1965 - 2019) - UniCA - Université Côte d'Azur

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Abstract: This article aims to contribute to a better understanding of how multinational companies can succeed the reconfiguration of their internal structures. The theoretical framework is based on the concept of reconfiguration as a dynamic capability, the Uppsala evolution model and the business network view. The authors conducted a case study on the reconfiguration of two vertically-related business units within the Solvay group, a world leader in the chemical industry. The empirical study is based on interviews, observations and secondary data. The paper shows how a multinational enterprise can succeed in reorganizing its internal structures to overcome internal liability of outsidership and become more competitive and profitable. The reconfiguration allowed Solvay to become a fully-integrated leader in the polyamide plastics industry. The paper explains how the internal reorganization has improved the competitiveness and profitability of the associated business units.

Keywords: Multinational companies; evolution; networks; reorganization; reconfiguration; Uppsala model (search for similar items in EconPapers)
Date: 2022
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Published in Journal of Organizational Change Management, 2022, 35 (3), pp.527-540

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-03549571

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