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Addressing dual embeddedness : The roles of absorptive capacity and appropriability mechanisms in subsidiary performance

Cenamor, J. LU orcid ; Parida, V. ; Oghazi, P. ; Pesämaa, O. and Wincent, J. (2019) In Industrial Marketing Management 78. p.239-249
Abstract

This study examines how subsidiaries can manage dual embeddedness with both local partners and a multinational enterprise. Specifically, we examine the role of absorptive capacity and appropriability mechanisms on subsidiary performance. We analyse how absorptive capacity and appropriability enable subsidiaries to successfully address knowledge challenges related to internal and external networks. We conducted an empirical analysis on a sample of 165 subsidiaries. Our results suggest that absorptive capacity has a direct, positive effect on subsidiary performance, which is greater in emerging countries. The study also found an indirect effect of absorptive capacity on subsidiary performance, which is mediated through appropriability... (More)

This study examines how subsidiaries can manage dual embeddedness with both local partners and a multinational enterprise. Specifically, we examine the role of absorptive capacity and appropriability mechanisms on subsidiary performance. We analyse how absorptive capacity and appropriability enable subsidiaries to successfully address knowledge challenges related to internal and external networks. We conducted an empirical analysis on a sample of 165 subsidiaries. Our results suggest that absorptive capacity has a direct, positive effect on subsidiary performance, which is greater in emerging countries. The study also found an indirect effect of absorptive capacity on subsidiary performance, which is mediated through appropriability mechanisms. These findings extend the literature on international networks, dual embeddedness and absorptive capacity.

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author
; ; ; and
publishing date
type
Contribution to journal
publication status
published
subject
keywords
absorptive capacity, appropriability mechanisms, dual embeddedness, emerging countries
in
Industrial Marketing Management
volume
78
pages
239 - 249
publisher
Elsevier
external identifiers
  • scopus:85021130911
ISSN
0019-8501
DOI
10.1016/j.indmarman.2017.06.002
language
English
LU publication?
no
id
a997da8d-b379-488d-9105-bac31f865725
date added to LUP
2018-01-25 17:24:35
date last changed
2022-04-25 04:56:19
@article{a997da8d-b379-488d-9105-bac31f865725,
  abstract     = {{<p>This study examines how subsidiaries can manage dual embeddedness with both local partners and a multinational enterprise. Specifically, we examine the role of absorptive capacity and appropriability mechanisms on subsidiary performance. We analyse how absorptive capacity and appropriability enable subsidiaries to successfully address knowledge challenges related to internal and external networks. We conducted an empirical analysis on a sample of 165 subsidiaries. Our results suggest that absorptive capacity has a direct, positive effect on subsidiary performance, which is greater in emerging countries. The study also found an indirect effect of absorptive capacity on subsidiary performance, which is mediated through appropriability mechanisms. These findings extend the literature on international networks, dual embeddedness and absorptive capacity.</p>}},
  author       = {{Cenamor, J. and Parida, V. and Oghazi, P. and Pesämaa, O. and Wincent, J.}},
  issn         = {{0019-8501}},
  keywords     = {{absorptive capacity; appropriability mechanisms; dual embeddedness; emerging countries}},
  language     = {{eng}},
  pages        = {{239--249}},
  publisher    = {{Elsevier}},
  series       = {{Industrial Marketing Management}},
  title        = {{Addressing dual embeddedness : The roles of absorptive capacity and appropriability mechanisms in subsidiary performance}},
  url          = {{http://dx.doi.org/10.1016/j.indmarman.2017.06.002}},
  doi          = {{10.1016/j.indmarman.2017.06.002}},
  volume       = {{78}},
  year         = {{2019}},
}