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Top management team international diversity and the performance of international R&D

Author

Listed:
  • Rene Belderbos
  • Boris Lokshin
  • Christophe Boone
  • Jojo Jacob

Abstract

We investigate how international diversity in Top Management Teams (TMTs) contributes to the effectiveness of geographically dispersed R&D strategies in enhancing innovation performance. Both international work experience and nationality diversity may enhance the effectiveness of geographically dispersed R&D when there is alignment between the countries of work experience and nationality of TMT members, on the one hand, and firms’ R&D locations on the other. This influence is stronger for international work experience diversity than for nationality diversity, as the former provides more task-related knowledge to coordinate R&D activities and is less associated with the risk of social categorization. We find partial support for these notions in a panel analysis of the innovation performance of 165 leading MNCs based in Europe, Japan and the United States.

Suggested Citation

  • Rene Belderbos & Boris Lokshin & Christophe Boone & Jojo Jacob, 2020. "Top management team international diversity and the performance of international R&D," Working Papers of Department of Management, Strategy and Innovation, Leuven 663275, KU Leuven, Faculty of Economics and Business (FEB), Department of Management, Strategy and Innovation, Leuven.
    • Handle: RePEc:ete:msiper:663275
    Note: paper number MSI_2013
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    File URL: https://lirias.kuleuven.be/retrieve/594102
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    Keywords

    diversity; innovation; internationalization; MNCs; R&D; Top Management Teams (TMTs);
    All these keywords.

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