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Multinational manufacturing subsidiaries in Scotland: Strategic role and economic impact

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  • Taggart, J. H.

Abstract

This paper analyses and evaluates the roles played by Scottish affiliates of manufacturing multinational corporations, makes a brief assessment of their overall impact on the Scottish economy, and indicates a changed agenda for policy makers. A number of determinants of subsidiary strategy are tested and validated, and an initial attempt is made to describe pattern of evolution in subsidiary strategy. The difficulties involved in creating linkages between research-derived typologies of corporate and subsidiary strategy are highlighted, and the key role of R&D as a determinant of strategy evolution at subsidiary level is again emphasized.

Suggested Citation

  • Taggart, J. H., 1996. "Multinational manufacturing subsidiaries in Scotland: Strategic role and economic impact," International Business Review, Elsevier, vol. 5(5), pages 447-468, October.
  • Handle: RePEc:eee:iburev:v:5:y:1996:i:5:p:447-468
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    References listed on IDEAS

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    1. Kendall Roth & Allen J Morrison, 1992. "Implementing Global Strategy: Characteristics of Global Subsidiary Mandates," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 23(4), pages 715-735, December.
    2. Jon I Martinez & J Carlos Jarillo, 1991. "Coordination Demands of International Strategies," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 22(3), pages 429-444, September.
    3. Young, S. & Hood N. & Hamill J., 1985. "Decision-making in foreign-owned multinational subsidiaries in the United Kingdom," ILO Working Papers 992395053402676, International Labour Organization.
    4. Hood, N & Young, S, 1976. "U.S. Investment in Scotland-Aspects of the Branch Factory Syndrome," Scottish Journal of Political Economy, Scottish Economic Society, vol. 23(3), pages 279-294, November.
    5. repec:ilo:ilowps:239505 is not listed on IDEAS
    6. Amemiya, Takeshi, 1981. "Qualitative Response Models: A Survey," Journal of Economic Literature, American Economic Association, vol. 19(4), pages 1483-1536, December.
    7. Kendall Roth & Allen J Morrison, 1990. "An Empirical Analysis of the Integration-Responsiveness Framework in Global Industries," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 21(4), pages 541-564, December.
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    Citations

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    Cited by:

    1. Robert Pearce, 2001. "Multinationals and Industrialisation: The Bases of 'Inward Investment' Policy," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 8(1), pages 51-73.
    2. Kappen, Philip, 2011. "Competence-creating overlaps and subsidiary technological evolution in the multinational corporation," Research Policy, Elsevier, vol. 40(5), pages 673-686, June.
    3. Ana Teresa Tavares & Stephen Young, 2006. "Sourcing patterns of foreign-owned multinational subsidiaries in Europe," Regional Studies, Taylor & Francis Journals, vol. 40(6), pages 583-600.
    4. Marin, Anabel & Bell, Martin, 2010. "The local/global integration of MNC subsidiaries and their technological behaviour: Argentina in the late 1990s," Research Policy, Elsevier, vol. 39(7), pages 919-931, September.
    5. Hogenbirk, Annelies.E. & van Kranenburg, Hans.L., 2006. "Roles of foreign owned subsidiaries in a small economy," International Business Review, Elsevier, vol. 15(1), pages 53-67, February.
    6. Achcaoucaou, Fariza & Miravitlles, Paloma & León-Darder, Fidel, 2017. "Do we really know the predictors of competence-creating R&D subsidiaries? Uncovering the mediation of dual network embeddedness," Technological Forecasting and Social Change, Elsevier, vol. 116(C), pages 181-195.
    7. Zander, Ivo, 1999. "Whereto the multinational? The evolution of technological capabilities in the multinational network," International Business Review, Elsevier, vol. 8(3), pages 261-291, August.
    8. Neil Hood & James Taggart, 1999. "Subsidiary Development in German and Japanese Manufacturing Subsidiaries in the British Isles," Regional Studies, Taylor & Francis Journals, vol. 33(6), pages 513-528.
    9. Crone, Mike & Roper, Stephen, 1999. "Knowledge Transfers from Multi-national Plants in Northern Ireland," ERSA conference papers ersa99pa053, European Regional Science Association.
    10. Blomkvist, Katarina & Kappen, Philip & Zander, Ivo, 2017. "Gone are the creatures of yesteryear? On the diffusion of technological capabilities in the ‘modern’ MNC," Journal of World Business, Elsevier, vol. 52(1), pages 1-16.
    11. Ivarsson, Inge & Jonsson, Thommy, 2003. "Local technological competence and asset-seeking FDI: an empirical study of manufacturing and wholesale affiliates in Sweden," International Business Review, Elsevier, vol. 12(3), pages 369-386, June.
    12. Dellestrand, Henrik & Kappen, Philip, 2011. "Headquarters Allocation of Resources to Innovation Transfer Projects within the Multinational Enterprise," Journal of International Management, Elsevier, vol. 17(4), pages 263-277.
    13. Pearce, Robert D., 1999. "Decentralised R&D and strategic competitiveness: globalised approaches to generation and use of technology in multinational enterprises (MNEs)," Research Policy, Elsevier, vol. 28(2-3), pages 157-178, March.
    14. repec:spr:manint:v:46:y:2006:i:2:d:10.1007_s11575-006-0046-1 is not listed on IDEAS
    15. Pearce, Robert & Papanastassiou, Marina, 1999. "Overseas R&D and the strategic evolution of MNEs: evidence from laboratories in the UK," Research Policy, Elsevier, vol. 28(1), pages 23-41, January.
    16. Naveen Kumar Jain & Tanvi Kothari & Vikas Kumar, 2016. "Location Choice Research: Proposing New Agenda," Management International Review, Springer, vol. 56(3), pages 303-324, June.
    17. Williams, David, 2003. "Explaining employment changes in foreign manufacturing investment in the UK," International Business Review, Elsevier, vol. 12(4), pages 479-497, August.
    18. Pearce, Robert, 1999. "The evolution of technology in multinational enterprises: the role of creative subsidiaries," International Business Review, Elsevier, vol. 8(2), pages 125-148, April.
    19. Anabel Marin & Elisa Giuliani, 2007. "Global and local knowledge linkages: the case of MNE subsidiaries in Argentina," SPRU Working Paper Series 155, SPRU - Science Policy Research Unit, University of Sussex Business School.

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