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Embeddedness of innovation receivers in the multinational corporation: Effects on business performance

  • Hallin, Christina
  • Holm, Ulf
  • Sharma, Dharma Deo
Registered author(s):

    This paper investigates how relationship embeddedness in MNC subsidiaries' corporate and external networks influences the contribution of innovation transfer to the recipient subsidiary's business performance. OLS regressions using data on the intra-MNC transfer of 224 innovations indicate that the embeddedness of a subsidiary's relationships in the corporate and external network positively affects the received innovation's contribution to business performance. More detailed analysis demonstrates that the positive link between a subsidiary's embeddedness in the external network and the contribution to business performance of receiving an innovation is negatively affected when the innovation is unique compared with other innovations on the market.

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    File URL: http://www.sciencedirect.com/science/article/pii/S0969593110001113
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    Article provided by Elsevier in its journal International Business Review.

    Volume (Year): 20 (2011)
    Issue (Month): 3 (June)
    Pages: 362-373

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    Handle: RePEc:eee:iburev:v:20:y:2011:i:3:p:362-373
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    15. Gabriel Szulanski & Robert J. Jensen, 2004. "Overcoming stickiness: An empirical investigation of the role of the template in the replication of organizational routines," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 25(6-7), pages 347-363.
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