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Changes in institutional context and MNC operations in China: Subsidiary HRM practices in 1996 versus 2006

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  • Björkman, Ingmar
  • Smale, Adam
  • Sumelius, Jennie
  • Suutari, Vesa
  • Lu, Yuan

Abstract

This study investigated the changes taking place in HRM practices found in European-owned units in China between 1996 and 2006 in conjunction with the transformation of the context in which they are operating. Our study presents clear evidence for the convergence of HRM found in local Chinese firms with those of European MNC units in China. The results also point to a convergence within European MNCs since the HRM practices in units located in China have become significantly more similar to those of their parent companies.

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  • Björkman, Ingmar & Smale, Adam & Sumelius, Jennie & Suutari, Vesa & Lu, Yuan, 2008. "Changes in institutional context and MNC operations in China: Subsidiary HRM practices in 1996 versus 2006," International Business Review, Elsevier, vol. 17(2), pages 146-158, April.
    • Handle: RePEc:eee:iburev:v:17:y:2008:i:2:p:146-158
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    5. Latukha, Marina & Poór, József & Mitskevich, Ekaterina & Linge, Dmitry, 2020. "Human resource management practices transferring from foreign firms to Russia: The case of MNCs subsidiaries," Journal of Business Research, Elsevier, vol. 108(C), pages 476-486.
    6. Elaine Farndale & Chris Brewster & Paul Ligthart & Erik Poutsma, 2017. "The effects of market economy type and foreign MNE subsidiaries on the convergence and divergence of HRM," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(9), pages 1065-1086, December.
    7. Zhu, Cherrie Jiuhua & Cooper, Brian K. & Fan, Di & De Cieri, Helen, 2013. "HR practices from the perspective of managers and employees in multinational enterprises in China: Alignment issues and implications," Journal of World Business, Elsevier, vol. 48(2), pages 241-250.
    8. Reimann, Felix & Ehrgott, Matthias & Kaufmann, Lutz & Carter, Craig R., 2012. "Local stakeholders and local legitimacy: MNEs' social strategies in emerging economies," Journal of International Management, Elsevier, vol. 18(1), pages 1-17.
    9. Johann Fortwengel, 2017. "Understanding When MNCs can Overcome Institutional Distance: A Research Agenda," Management International Review, Springer, vol. 57(6), pages 793-814, December.
    10. Sheldon, Peter & Li, Yiqiong, 2013. "Localized poaching and skills shortages of manufacturing employees among MNEs in China," Journal of World Business, Elsevier, vol. 48(2), pages 186-195.
    11. Smale, Adam & Björkman, Ingmar & Sumelius, Jennie, 2013. "Examining the differential use of global integration mechanisms across HRM practices: Evidence from China," Journal of World Business, Elsevier, vol. 48(2), pages 232-240.
    12. David A. Ralston & Carolyn P. Egri & Irina Naoumova & Len J. Treviño & Katsuhiko Shimizu & Yongjuan Li, 2020. "An empirical test of the trichotomy of values crossvergence theory," Asia Pacific Journal of Management, Springer, vol. 37(1), pages 65-90, March.
    13. Hartmann, Evi & Feisel, Edda & Schober, Holger, 2010. "Talent management of western MNCs in China: Balancing global integration and local responsiveness," Journal of World Business, Elsevier, vol. 45(2), pages 169-178, April.
    14. Fetscherin, Marc & Voss, Hinrich & Gugler, Philippe, 2010. "30 Years of foreign direct investment to China: An interdisciplinary literature review," International Business Review, Elsevier, vol. 19(3), pages 235-246, June.
    15. Peter Gahan & Marco Michelotti & Guy Standing, 2012. "The Diffusion of HR Practices in Chinese Workplaces and Organizational Outcomes," ILR Review, Cornell University, ILR School, vol. 65(3), pages 651-685, July.
    16. Fan, Di & Zhu, Cherrie Jiuhua & Nyland, Chris, 2012. "Factors affecting global integration of Chinese multinationals in Australia: A qualitative analysis," International Business Review, Elsevier, vol. 21(1), pages 13-26.
    17. Cheng, Louis T.W. & Chan, Ricky Y.K. & Leung, T.Y., 2010. "Management demography and corporate performance: Evidence from China," International Business Review, Elsevier, vol. 19(3), pages 261-275, June.

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