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Configuration and coordination of international marketing activities

Author

Listed:
  • Stefan Schmid

    (ESCP Europe - Ecole Supérieure de Commerce de Paris)

  • Philipp Grosche

    (ESCP Europe - Ecole Supérieure de Commerce de Paris)

  • Ulrike Mayrhofer

    (Laboratoire de Recherche Magellan - UJML - Université Jean Moulin - Lyon 3 - Université de Lyon - Institut d'Administration des Entreprises (IAE) - Lyon)

Abstract

With this paper, we contribute to the literature of configuration and coordination in international firms. While previous literature emphasized that headquarters decide upon the configuration and coordination of their foreign subsidiaries, we suggest that the configuration-coordination decision takes place at the level of activities. With a focus on international marketing activities, our study on German firms from the automotive industry comes up with the following major findings: (1) With respect to configuration, firms tend to centralise the planning and the control of marketing activities, but to decentralise the implementation of marketing activities. (2) For the coordination of marketing activities, direct personal supervision and informal communication are preferred to other approaches, such as socialisation or formal bureaucratic coordination. (3) When combining configuration and coordination of marketing activities, we identified distinct clusters. Firms that have a high decentralization of marketing activities and that use a high level of coordination yield better coordination results than firms from other configuration-coordination clusters.

Suggested Citation

  • Stefan Schmid & Philipp Grosche & Ulrike Mayrhofer, 2016. "Configuration and coordination of international marketing activities," Post-Print hal-01274899, HAL.
  • Handle: RePEc:hal:journl:hal-01274899
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    Cited by:

    1. Gnizy, Itzhak, 2019. "The role of inter-firm dispersion of international marketing capabilities in marketing strategy and business outcomes," Journal of Business Research, Elsevier, vol. 105(C), pages 214-226.
    2. Wu, Yan & Yang, Yong & Mickiewicz, Tomasz, 2023. "Corruption, the digital sectors, and the profitability of foreign subsidiaries in emerging markets," Journal of Business Research, Elsevier, vol. 161(C).
    3. Rong (Ratchel) Zeng & Birgitte Grøgaard & Ingmar Björkman, 2023. "Navigating MNE control and coordination: A critical review and directions for future research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 54(9), pages 1599-1622, December.
    4. Reichstein-Scholz, Harriet & Giroud, Axèle & Yamin, Mo & Andersson, Ulf, 2021. "Sales to centre stage! Determinants of the division in strategic sales decisions within the MNE," International Business Review, Elsevier, vol. 30(6).

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