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Multinationals’ Strategies and the Economic Development of Small Economies: A Tale of Two Transitions

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  • Robert Pearce

    (University of Reading)

Abstract

and Key Results The processes of globalisation open up new potentials for MNE participation in the development of small economies. Thus the pursuit of global competitiveness by MNEs, operating through a range of strategic motivations, can be supported by different types of affiliates that can be based on the potentials of small economies. Efficiency seeking operations of MNEs can benefit from cost-effective inputs of small economies (as, for example, in export processing zones) and activate their export potentials. Knowledge seeking by MNEs can be generated interdependently with the creation of localised systems of innovation that support bases of sustainable development in small economies.

Suggested Citation

  • Robert Pearce, 2009. "Multinationals’ Strategies and the Economic Development of Small Economies: A Tale of Two Transitions," Management International Review, Springer, vol. 49(1), pages 81-94, February.
    • Handle: RePEc:spr:manint:v:49:y:2009:i:1:d:10.1007_s11575-008-0126-5
    DOI: 10.1007/s11575-008-0126-5
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    References listed on IDEAS

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    1. Julian Birkinshaw, 1996. "How Multinational Subsidiary Mandates are Gained and Lost," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 27(3), pages 467-495, September.
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    5. repec:rdg:wpaper:em-dp2006-35 is not listed on IDEAS
    6. Robert Pearce, 2006. "Globalisation and development: an international business strategy approach," Economics Discussion Papers em-dp2006-35, Department of Economics, University of Reading.
    7. Julian M Birkinshaw & Allen J Morrison, 1995. "Configurations of Strategy and Structure in Subsidiaries of Multinational Structure," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 26(4), pages 729-753, December.
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    Cited by:

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    2. Pisoni, Alessia & Fratocchi, Luciano & Onetti, Alberto, 2013. "Subsidiary autonomy in transition economies: Italian SMEs in Central and Eastern European countries," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 18(3), pages 336-370.
    3. Meyer Susanne & Berger Martin, 2014. "Internationalisation of research and development activities of small and medium-sized enterprises in Austria: Strategic drivers for spatial organisation," ZFW – Advances in Economic Geography, De Gruyter, vol. 58(1), pages 1-17, October.

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