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Russian Manufacturing Subsidiaries of Western Multinational Corporations: Support from Parents and Cooperation with Sister-Subsidiaries

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  • Igor Gurkov

    (National Research University Higher School of Economics)

Abstract

The paper presents the results of a medium-size survey of executives of Russian manufacturing subsidiaries of Western multinational corporations on relationship with the parents and sister-subsidiaries. Manufacturing subsidiaries are completely dependent on parents in financing development projects. At the same time, when the subsidiary receives substantial financing for development projects from the parent, it also gets from the parent intensive support in all stages of implementation of such projects. Intensity of cooperation with sister-subsidiaries strongly coincides with the intensity of support by the parent. However, high intensity of cooperation with sister-subsidiaries was observed only for subsidiaries established before 2009. Several practical implications for new entrants into ownership of Russian industrial assets are presented.

Suggested Citation

  • Igor Gurkov, 2015. "Russian Manufacturing Subsidiaries of Western Multinational Corporations: Support from Parents and Cooperation with Sister-Subsidiaries," HSE Working papers WP BRP 37/MAN/2015, National Research University Higher School of Economics.
    • Handle: RePEc:hig:wpaper:37man2015
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    Cited by:

    1. Igor Gurkov & Nikolay Filinov & Zokirzhon Saidov, 2022. "The Behaviour Of Foreign Manufacturing Corporations In Russia After The Launch Of ‘A Special Military Operation’ Of Russia In Ukraine," HSE Working papers WP BRP 66/MAN/2022, National Research University Higher School of Economics.
    2. Igor Gurkov & Evgeniy Morgunov & Zokirzhon Saidov & Alexander Arshavsky, 2018. "Perspectives of Manufacturing Subsidiaries of Foreign Companies in Russia: Frontier, Faubourg or Sticks?," Foresight and STI Governance (Foresight-Russia till No. 3/2015), National Research University Higher School of Economics, vol. 12(2), pages 24-35.
    3. Wioletta Mierzejewska, 2022. "Understanding Coopetition Within Multinational Corporations: The Perspective of Relationship Between Subsidiaries," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(3), pages 371-385, September.
    4. Mierzejewska Wioletta & Dziurski Patryk, 2021. "How Firms Cooperate in Business Groups? Evidence from Poland," Journal of Management and Business Administration. Central Europe, Sciendo, vol. 29(2), pages 63-88, June.

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    More about this item

    Keywords

    manufacturing; multinational corporations; subsidiaries; Russia;
    All these keywords.

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management

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