IDEAS home Printed from https://ideas.repec.org/a/taf/apbizr/v17y2011i4p455-471.html
   My bibliography  Save this article

Reasons behind management localization in MNCs in China

Author

Listed:
  • Lingfang Fayol-Song

Abstract

During recent years, the Chinese market has witnessed a large wave of management localization in multinational companies established there. The current world economic crisis even accentuates this tendency. Management localization is not a random operation. Our empirical qualitative research indicates five categories of reasons why companies encourage this practice: to reduce management cost, to resort to local competences, to replace the lack of appropriate expatriates, to develop and retain local talents, and also to maintain good relations with local government. Corresponding partly to the results observed in previous studies, the five categories of reasons nevertheless reveal certain differences linked to the particularities of the Chinese context. The impact of each category of reason is not without importance, both for company performance and the motivation of local managers.

Suggested Citation

  • Lingfang Fayol-Song, 2011. "Reasons behind management localization in MNCs in China," Asia Pacific Business Review, Taylor & Francis Journals, vol. 17(4), pages 455-471, October.
    • Handle: RePEc:taf:apbizr:v:17:y:2011:i:4:p:455-471
    DOI: 10.1080/13602381.2010.546642
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/13602381.2010.546642
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/13602381.2010.546642?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mei, Maggie Qiuzhu & Wang, Le & Yan, Jie, 2023. "Maintaining product quality consistency when offshoring to emerging markets: The role of subsidiary control," Journal of International Management, Elsevier, vol. 29(1).
    2. Marina Anna Schmitz & Fabian Jintae Froese & Anna Katharina Bader, 2018. "Organizational cynicism in multinational corporations in China," Asia Pacific Business Review, Taylor & Francis Journals, vol. 24(5), pages 620-637, October.
    3. Georg D. Blind & Stefania Lottanti von Mandach, 2021. "Of pride and prejudice: agent learning under sticky and persistent stereotype," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 16(2), pages 381-410, April.
    4. Nepelski, Daniel & De Prato, Giuditta, 2011. "Internationalisation of ICT R&D in Asia vis a vis the world regions," MPRA Paper 39281, University Library of Munich, Germany.
    5. Ralf Bebenroth & Nir Kshetri & Kotoe Konishi, 2013. "Foreign Employee’s Responses to the 2011 Triple Disaster in Japan," Discussion Paper Series DP2013-26, Research Institute for Economics & Business Administration, Kobe University.
    6. Pablo Cardona & Ivan Malbašić & Carlos Rey, 2018. "Institutions, paradoxes, and compensation logics: evidence from corporate values of the largest Chinese and US companies," Asia Pacific Business Review, Taylor & Francis Journals, vol. 24(5), pages 602-619, October.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:apbizr:v:17:y:2011:i:4:p:455-471. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/FAPB20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.