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Feedback‐seeking behavior within multinational corporations

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  • Anil K. Gupta
  • Vijay Govindarajan
  • Ayesha Malhotra

Abstract

Notwithstanding their concern with intra‐MNC control mechanisms, scholars have overlooked the complementary phenomenon of self‐regulatory behavior by subsidiaries. In this paper, we take the first steps towards addressing this gap by advancing and testing hypotheses dealing with the determinants of a major element of self‐regulatory behavior at the subsidiary level, i.e., the performance‐oriented feedback‐seeking behavior of subsidiary presidents. Utilizing data from 374 subsidiaries of 75 MNCs, we test hypotheses regarding the impact of subsidiary task and organizational context on the feedback‐seeking behavior of subsidiary presidents. The results of this study can be summarized as follows: (i) subsidiary presidents do engage in proactive performance‐oriented feedback‐seeking behavior; (ii) they vary in the extent to which they engage in such behavior; and (iii) these variations in feedback‐seeking behavior are at least partially systematic. Copyright © 1999 John Wiley & Sons, Ltd.

Suggested Citation

  • Anil K. Gupta & Vijay Govindarajan & Ayesha Malhotra, 1999. "Feedback‐seeking behavior within multinational corporations," Strategic Management Journal, Wiley Blackwell, vol. 20(3), pages 205-222, March.
    • Handle: RePEc:bla:stratm:v:20:y:1999:i:3:p:205-222
    DOI: 10.1002/(SICI)1097-0266(199903)20:33.0.CO;2-H
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    Cited by:

    1. Crespo, Cátia Fernandes & Lages, Luis Filipe & Crespo, Nuno Fernandes, 2020. "Improving subsidiaries' innovation through knowledge inflows from headquarters and peer subsidiaries," Journal of International Management, Elsevier, vol. 26(4).
    2. Galli, Davide & Torelli, Riccardo & Tibiletti, Veronica, 2021. "Signaling the Adoption of the Benefit Corporation Model: A Step towards Transparency," OSF Preprints ar28u, Center for Open Science.
    3. Yaokuang Li & Li Ling & Daru Zhang & Juan Wu, 2021. "Lead investors and information disclosure: A test of signaling theory by fuzzy‐set qualitative comparative analysis approach," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 42(4), pages 836-849, June.
    4. Chi-Lin Yang & Tsai-Yin Lin & Chien-Wei Chen & Min-Hsien Chiang, 2018. "Information and timing of new product preannouncement and firm value," Australian Journal of Management, Australian School of Business, vol. 43(1), pages 111-131, February.
    5. Xufei Ma & Andrew Delios & Shu Yu, 2020. "Innovation in MNC’S strategy and structure: the (re) emergence of host country headquarters in large emerging markets," Asia Pacific Journal of Management, Springer, vol. 37(3), pages 609-632, September.
    6. Cowan, Kirsten & Guzman, Francisco, 2020. "How CSR reputation, sustainability signals, and country-of-origin sustainability reputation contribute to corporate brand performance: An exploratory study," Journal of Business Research, Elsevier, vol. 117(C), pages 683-693.
    7. Marzena Baker & Muhammad Ali & Erica French, 2019. "Effectiveness of gender equality initiatives in project-based organizations in Australia," Australian Journal of Management, Australian School of Business, vol. 44(3), pages 425-442, August.
    8. Lunnan, Randi & Meyer, Klaus & Mudambi, Ram & Yang, Qin, 2023. "The impact of knowledge and financial resource flows for MNE strategy: A typology of subsidiary roles," International Business Review, Elsevier, vol. 32(6).
    9. Alain Verbeke & James J. Chrisman & Wenlong Yuan, 2007. "A Note on Strategic Renewal and Corporate Venturing in the Subsidiaries of Multinational Enterprises," Entrepreneurship Theory and Practice, , vol. 31(4), pages 585-600, July.
    10. Davide Galli & Riccardo Torelli & Veronica Tibiletti, 2021. "Signaling the Adoption of the Benefit Corporation Model: A Step towards Transparency," Sustainability, MDPI, vol. 13(12), pages 1-16, June.
    11. Xie, Qiuhao & Gao, Ying & Xia, Nini & Zhang, Shuibo & Tao, Guowu, 2023. "Coopetition and organizational performance outcomes: A meta-analysis of the main and moderator effects," Journal of Business Research, Elsevier, vol. 154(C).

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