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In the shadow: the impact of language on structure, power and communication in the multinational

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  • Marschan-Piekkari, Rebecca
  • Welch, Denice
  • Welch, Lawrence

Abstract

The principal aim of this paper is to explore the impact of language on communication within large and geographically dispersed multinationals. Much of the earlier research emphasizes the importance of horizontal communication and team building as control and coordination mechanism in such organizations: yet the role of language is often forgotten. Based on an in-depth case study of one Finnish multinational, Kone and its diverse subsidiaries, it is argued that language imposes its own structure on communication flows and personal networks. Subsidiary staff with confined language skills tend to build supporting personal relationships with language mediators, while those with superior language capabilities are able to build broad contact networks within the multinational. The investigation also reveals that language is often used as an informal source of expert power in multinationals.

Suggested Citation

  • Marschan-Piekkari, Rebecca & Welch, Denice & Welch, Lawrence, 1999. "In the shadow: the impact of language on structure, power and communication in the multinational," International Business Review, Elsevier, vol. 8(4), pages 421-440, August.
  • Handle: RePEc:eee:iburev:v:8:y:1999:i:4:p:421-440
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    References listed on IDEAS

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    1. William G. Egelhoff, 1993. "Information-processing Theory and the Multinational Corporation," Palgrave Macmillan Books, in: Sumantra Ghoshal & D. Eleanor Westney (ed.), Organization Theory and the Multinational Corporation, chapter 8, pages 182-210, Palgrave Macmillan.
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