Abstract
This study extends quantitative and conceptual studies that have clarified and assessed the underlying factors influencing multinational corporations (MNCs) international business strategy choices relating to global integration and local responsiveness with the use of cross–level and in-depth interviews. Top management perceptions from nine Chinese MNCs (CMNCs) with operations in Australia are detailed and it is argued a contingency approach tends to prevail within firms with organisational, industrial, and environmental contingencies predominating.
Highlights
Global integration is a potential source of competitive advantage for organizations undertaking worldwide activities for it can generate efficiencies from specialization of individual units and facilitate substantial interchange among units (Fan, Zhu, and Nyland, 2012)
As one focus of the present study is to find the determinants of the global integration and local responsiveness dimensions, empirical studies concerning such determinants will be reviewed
There remains a dearth of research that explores problems and/or phenomena-centred issues (e.g., multinational corporations (MNCs) from developing countries investing in advanced economies and the relevant impact on IB), which would reveal cultural distinctiveness of the way MNCs reconcile global integration and local responsiveness
Summary
Global integration (or unification) is a potential source of competitive advantage for organizations undertaking worldwide activities for it can generate efficiencies from specialization of individual units and facilitate substantial interchange among units (Fan, Zhu, and Nyland, 2012). Addressed is the fact that when studying factors affecting global integration and local responsiveness prior studies have centred on MNCs from advanced economies and/or their subsidiaries in emerging markets. This concentration leaves open the question of the relevance of OECD centred findings to MNCs from emerging markets and their subsidiaries in advanced economies. It begins with a review of the literature review relating to the underlying determinants identified by previous empirical and conceptual studies. Implications are drawn from data analysis, and limitations and directions for future studies are advanced
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