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Knowledge Transfer to the Subsidiaries: A Case Study of Multinational Enterprise Operating in Overseas

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  • Jos¨¦ Moleiro Martins

    () (Instituto Superior de Contabilidade e Administra??o de Lisboa, PORTUGAL)

Abstract

The business opportunities in Southern Africa have justified any effort to learn more about the phenomenon of the transfer of knowledge to the local subsidiaries. We studied four cases with activities in the industrial sector. The results obtained indicate that an efficient transfer of knowledge from the source to the recipient depends on the source¡¯s ability to transfer this knowledge; the climate of cooperation between the source and the recipient; and the absorptive capacity of the recipient, where the intervention of the expatriates with a profound knowledge of the African reality is fundamental to the creation of a climate of trust.

Suggested Citation

  • Jos¨¦ Moleiro Martins, 2011. "Knowledge Transfer to the Subsidiaries: A Case Study of Multinational Enterprise Operating in Overseas," Review of Economics & Finance, Better Advances Press, Canada, vol. 1, pages 74-84, August.
  • Handle: RePEc:bap:journl:110406
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    References listed on IDEAS

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    1. Eric D. Darr & Linda Argote & Dennis Epple, 1995. "The Acquisition, Transfer, and Depreciation of Knowledge in Service Organizations: Productivity in Franchises," Management Science, INFORMS, vol. 41(11), pages 1750-1762, November.
    2. Leonard-Barton, Dorothy, 1988. "Implementation as mutual adaptation of technology and organization," Research Policy, Elsevier, vol. 17(5), pages 251-267, October.
    3. Veugelers, Reinhilde & Cassiman, Bruno, 1999. "Make and buy in innovation strategies: evidence from Belgian manufacturing firms," Research Policy, Elsevier, vol. 28(1), pages 63-80, January.
    4. Ingemar Dierickx & Karel Cool, 1989. "Asset Stock Accumulation and the Sustainability of Competitive Advantage: Reply," Management Science, INFORMS, vol. 35(12), pages 1514-1514, December.
    5. Keller, Wolfgang, 1996. "Absorptive capacity: On the creation and acquisition of technology in development," Journal of Development Economics, Elsevier, vol. 49(1), pages 199-227, April.
    6. Sumantra Ghoshal & Christopher A Bartlett, 1988. "Creation, Adoption and Diffusion of Innovations by Subsidiaries of Multinational Corporations," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 19(3), pages 365-388, September.
    7. Jansen, J.J.P. & van den Bosch, F.A.J. & Volberda, H.W., 2005. "Managing Potential and Realized Absorptive Capacity: How do Organizational Antecedents matter?," ERIM Report Series Research in Management ERS-2005-025-STR, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    8. Ingemar Dierickx & Karel Cool, 1989. "Asset Stock Accumulation and Sustainability of Competitive Advantage," Management Science, INFORMS, vol. 35(12), pages 1504-1511, December.
    9. Argote, Linda & Ingram, Paul, 2000. "Knowledge Transfer: A Basis for Competitive Advantage in Firms," Organizational Behavior and Human Decision Processes, Elsevier, vol. 82(1), pages 150-169, May.
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    More about this item

    Keywords

    Knowledge transfer; Multinational enterprise; Subsidiary; Mozambique; Absorptive capacity;

    JEL classification:

    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • M16 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - International Business Administration
    • N67 - Economic History - - Manufacturing and Construction - - - Africa; Oceania
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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