Knowledge-Sharing Subsidiaries in Central and Eastern Europe

Abstract

This paper investigates reverse knowledge transfer of foreign multinational subsidiaries in Central and Eastern Europe (Czech Republic, Poland and Hungary) in the light of the current political and economic transformations of these former communist countries. The study examines whether foreign subsidiaries in the region share their knowledge base with their sister-subsidiaries and parent company, and the role of various factors in this knowledge sharing. These factors include subsidiary initiative, subsidiary autonomy, local dynamism and corporate embeddedness. A proprietary dataset is used for statistical analysis.