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Resource allocations, knowledge network characteristics and entrepreneurial orientation of multinational corporations

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  • Williams, Christopher
  • Lee, Soo Hee

Abstract

This paper analyses entrepreneurial orientation (EO) in multinational corporations (MNCs) and develops a new typology of MNC EO based on combining R&D and asset growth investment intensities as orthogonal resource allocations. A cluster analysis of US MNCs on these two dimensions reveals three types of entrepreneurial stance: conservative, aggressive-asset growth and balanced. Internal knowledge network characteristics are shown to vary by stance, with more aggressive stances linked to knowledge governance supportive of the entrepreneurship process. In linking entrepreneurial orientation to the knowledge network of the MNC, this paper identifies factors important to the strategic management and on-going renewal of MNCs. In addition, the vector of R&D investment vs. asset growth investment is an indicator of entrepreneurial aggression and presents a new method of understanding the international strategies of MNCs.

Suggested Citation

  • Williams, Christopher & Lee, Soo Hee, 2009. "Resource allocations, knowledge network characteristics and entrepreneurial orientation of multinational corporations," Research Policy, Elsevier, vol. 38(8), pages 1376-1387, October.
  • Handle: RePEc:eee:respol:v:38:y:2009:i:8:p:1376-1387
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    References listed on IDEAS

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    Cited by:

    1. Arkadiusz Świadek, 2015. "Aktywność innowacyjna przedsiębiorstw zagranicznych i krajowych," Gospodarka Narodowa, Warsaw School of Economics, issue 2, pages 145-162.
    2. Dachs, Bernhard & Peters, Bettina, 2014. "Innovation, employment growth, and foreign ownership of firms," Research Policy, Elsevier, vol. 43(1), pages 214-232.
    3. Christopher Williams & Ana Colovic & Jiqing Zhu, 2016. "Foreign Market Knowledge, Country Sales Breadth And Innovative Performance Of Emerging Economy Firms," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(06), pages 1-25, August.
    4. Cacciolatti, Luca & Lee, Soo Hee, 2016. "Revisiting the relationship between marketing capabilities and firm performance: The moderating role of market orientation, marketing strategy and organisational power," Journal of Business Research, Elsevier, vol. 69(12), pages 5597-5610.
    5. Franc Vidic, 2013. "Entrepreneurial Orientation (EO) and Knowledge Creation (KC)," International Journal of Business and Economic Sciences Applied Research (IJBESAR), Eastern Macedonia and Thrace Institute of Technology (EMATTECH), Kavala, Greece, vol. 6(2), pages 103-124, September.
    6. Williams, Christopher & Lee, Soo Hee, 2011. "Entrepreneurial contexts and knowledge coordination within the multinational corporation," Journal of World Business, Elsevier, vol. 46(2), pages 253-264, April.

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