Evolving headquarters‐subsidiary dynamics in international R&D: the case of Japanese multinationals
Author: Asakawa, Kazuhiro
Source: R&D Management, Volume 31, Number 1, January 2001 , pp. 1-14(14)
Abstract:The paper identifies the evolving nature of headquarters‐subsidiary relations during the whole process of R&D internationalization. In‐depth data on five Japanese multinationals revealed that the role of overseas laboratories actually evolved over time, from the `starter' to the `innovator' and then to the `contributor'. Such a shift in role of overseas laboratories affected the nature of headquarters‐subsidiary relationship accordingly. `Semi‐connected freedom' was identified as an optimal condition for the overseas laboratories to reconcile the two competing pressures: need for local autonomy and need for internal information connectivity. Various managerial steps were suggested for the laboratories to reach that state: increase in process linkage, active broker's role, short‐term socialization, and project‐level socialization. Some practical and theoretical implications were drawn from this research, and future research direction was suggested.
Document Type: Original article
Publication date: 2001-01-01