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Knowledge and Organization in the Theory of the Multinational Corporation: Some Foundational Issues

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  • Nicolai Foss

Abstract

This paper addresses the interaction of knowledge and organization in IB research, particularly research on the MNC. The argument is advanced that although the MNC literature is quite advanced with respect to its treatment of firm-level knowledge, several closely connected problems remain. In particular, there has been an over-emphasis on knowledge flows and an under-emphasis on knowledge stocks; the micro-foundations of MNC knowledge are unclear; and there is a no clear understanding of the causal relations between knowledge stocks and flows and organizational control. A control theory approach that may resolve some of these problems is then sketched. Copyright Springer 2006

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  • Nicolai Foss, 2006. "Knowledge and Organization in the Theory of the Multinational Corporation: Some Foundational Issues," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 10(1), pages 3-20, March.
    • Handle: RePEc:kap:jmgtgv:v:10:y:2006:i:1:p:3-20
    DOI: 10.1007/s10997-005-3545-8
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    References listed on IDEAS

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    1. Anna Grandori, 2001. "Neither Hierarchy nor Identity: Knowledge-Governance Mechanisms and the Theory of the Firm," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 5(3), pages 381-399, September.
    2. Aidan R. Vining, 2003. "Internal Market Failure: A Framework for Diagnosing Firm Inefficiency," Journal of Management Studies, Wiley Blackwell, vol. 40(2), pages 431-457, March.
    3. Peter J. Buckley & Mark Casson, 1991. "The Future of the Multinational Enterprise," Palgrave Macmillan Books, Palgrave Macmillan, edition 0, number 978-1-349-21204-0.
    4. Peter J Buckley, 1990. "Problems and Developments in the Core Theory of International Business," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 21(4), pages 657-665, December.
    5. Julian Birkinshaw & Robert Nobel & Jonas Ridderstråle, 2002. "Knowledge as a Contingency Variable: Do the Characteristics of Knowledge Predict Organization Structure?," Organization Science, INFORMS, vol. 13(3), pages 274-289, June.
    6. Nicolai J. Foss, 1996. "Knowledge-Based Approaches to the Theory of the Firm: Some Critical Comments," Organization Science, INFORMS, vol. 7(5), pages 470-476, October.
    7. Nicolai J. Foss, 2003. "Bounded rationality and tacit knowledge in the organizational capabilities approach: an assessment and a re-evaluation," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 12(2), pages 185-201, April.
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    Cited by:

    1. Tippmann, Esther & Sharkey Scott, Pamela & Mangematin, Vincent, 2014. "Subsidiary managers’ knowledge mobilizations: Unpacking emergent knowledge flows," Journal of World Business, Elsevier, vol. 49(3), pages 431-443.
    2. Keupp, Marcus Matthias & Gassmann, Oliver, 2009. "Why do transnational approaches to international innovation fail?," Research in International Business and Finance, Elsevier, vol. 23(2), pages 206-222, June.
    3. Kasper, Helmut & Lehrer, Mark & Mühlbacher, Jürgen & Müller, Barbara, 2013. "On the different “worlds” of intra-organizational knowledge management: Understanding idiosyncratic variation in MNC cross-site knowledge-sharing practices," International Business Review, Elsevier, vol. 22(1), pages 326-338.
    4. Brendan Boyle & Stephen Nicholas & Rebecca Mitchell, 2016. "The Value of International Assignees’ Knowledge of Interpersonal Networks: Knowledge of People, Networks and Politics and Knowledge Flows in Multinational Enterprises," Management International Review, Springer, vol. 56(3), pages 425-454, June.
    5. Esther Tippmann & Pamela Sharkey Scott & Vincent Mangematin, 2014. "Subsidiary managers’ knowledge mobilizations: Unpacking emergent knowledge flows," Post-Print hal-00864324, HAL.
    6. Karl Breunig & Katja Hydle, 2013. "Remote control: measuring performance for value creation and governance of globally distributed knowledge work," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 17(3), pages 559-582, August.
    7. Liu, Min-Shi, 2012. "Impact of knowledge incentive mechanisms on individual knowledge creation behavior—An empirical study for Taiwanese R&D professionals," International Journal of Information Management, Elsevier, vol. 32(5), pages 442-450.
    8. Martinkenaite, Ieva & Breunig, Karl Joachim, 2016. "The emergence of absorptive capacity through micro–macro level interactions," Journal of Business Research, Elsevier, vol. 69(2), pages 700-708.
    9. Francesco Ciabuschi & Henrik Dellestrand & Philip Kappen, 2011. "Exploring the Effects of Vertical and Lateral Mechanisms in International Knowledge Transfer Projects," Management International Review, Springer, vol. 51(2), pages 129-155, April.
    10. repec:hal:gemwpa:hal-00864324 is not listed on IDEAS
    11. Henk W. Volberda & Nicolai J. Foss & Marjorie A. Lyles, 2010. "PERSPECTIVE---Absorbing the Concept of Absorptive Capacity: How to Realize Its Potential in the Organization Field," Organization Science, INFORMS, vol. 21(4), pages 931-951, August.

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