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Influential Factors within MNCs: From an Extended Agency Perspective

Ahlberg, Sara LU and Lindesvärd, Astrid LU (2015) FEKN90 20151
Department of Business Administration
Abstract
Purpose: The aim of this thesis is to give further understanding of the relationship between
subsidiaries and HQ by applying it to the broader agency theory perspective. By providing
empirical material from a case study, the purpose is to further enrich and complement the
agency theory applied to the context of subsidiary and HQ relationship.

Methodology: This study is a qualitative case study of the relationship between subsidiary
and headquarters with elements of both an inductive and deductive approach. Semi-structured
interviews with representatives from DNB’s three ventures in Warsaw, Oslo and Stockholm
were conducted. A theoretical framework was developed and revised by the empirical
findings.

Theoretical perspectives:... (More)
Purpose: The aim of this thesis is to give further understanding of the relationship between
subsidiaries and HQ by applying it to the broader agency theory perspective. By providing
empirical material from a case study, the purpose is to further enrich and complement the
agency theory applied to the context of subsidiary and HQ relationship.

Methodology: This study is a qualitative case study of the relationship between subsidiary
and headquarters with elements of both an inductive and deductive approach. Semi-structured
interviews with representatives from DNB’s three ventures in Warsaw, Oslo and Stockholm
were conducted. A theoretical framework was developed and revised by the empirical
findings.

Theoretical perspectives: In studying the relationship between subsidiary-HQ from an
agency perspective this thesis follows the narrow and broad perspective of agency theory,
applied to the relationship of subsidiary-HQ within an MNC. Most importantly it takes the
literature a step further as it introduces an extended agency perspective on the relationship,
consisting of three extensive variables that have never before been added to this kontext.

Empirical foundation: The empirical data consists of 25 semi-structured interviews with
employees from DNB HQ in Oslo, branch DNB Stockholm and subsidiary DNB Poland.

Conclusions: The result from this case study is a revised theoretical framework that indicates
that an extended perspective of the agency theory is applicable when studying the relationship
between subsidiary-HQ. Three additional factors were found to affect the relationship – trust,
attention and path dependency. Traditional agency theory measure goal congruence,
additionally this thesis argues that goal achievement and goal commitment should be added
when studying the relationship between subsidiary-HQ. (Less)
Please use this url to cite or link to this publication:
author
Ahlberg, Sara LU and Lindesvärd, Astrid LU
supervisor
organization
course
FEKN90 20151
year
type
H1 - Master's Degree (One Year)
subject
keywords
Headquarters (HQ), Subsidiary, Relationship, Goal alignment, Multi National Corporates (MNCs)
language
English
id
5473921
date added to LUP
2015-06-18 14:28:16
date last changed
2015-06-18 14:28:16
@misc{5473921,
  abstract     = {Purpose: The aim of this thesis is to give further understanding of the relationship between
subsidiaries and HQ by applying it to the broader agency theory perspective. By providing
empirical material from a case study, the purpose is to further enrich and complement the
agency theory applied to the context of subsidiary and HQ relationship.

Methodology: This study is a qualitative case study of the relationship between subsidiary
and headquarters with elements of both an inductive and deductive approach. Semi-structured
interviews with representatives from DNB’s three ventures in Warsaw, Oslo and Stockholm
were conducted. A theoretical framework was developed and revised by the empirical
findings.

Theoretical perspectives: In studying the relationship between subsidiary-HQ from an
agency perspective this thesis follows the narrow and broad perspective of agency theory,
applied to the relationship of subsidiary-HQ within an MNC. Most importantly it takes the
literature a step further as it introduces an extended agency perspective on the relationship,
consisting of three extensive variables that have never before been added to this kontext.

Empirical foundation: The empirical data consists of 25 semi-structured interviews with
employees from DNB HQ in Oslo, branch DNB Stockholm and subsidiary DNB Poland.

Conclusions: The result from this case study is a revised theoretical framework that indicates
that an extended perspective of the agency theory is applicable when studying the relationship
between subsidiary-HQ. Three additional factors were found to affect the relationship – trust,
attention and path dependency. Traditional agency theory measure goal congruence,
additionally this thesis argues that goal achievement and goal commitment should be added
when studying the relationship between subsidiary-HQ.},
  author       = {Ahlberg, Sara and Lindesvärd, Astrid},
  keyword      = {Headquarters (HQ),Subsidiary,Relationship,Goal alignment,Multi National Corporates (MNCs)},
  language     = {eng},
  note         = {Student Paper},
  title        = {Influential Factors within MNCs: From an Extended Agency Perspective},
  year         = {2015},
}