Subsidiary goals, learning orientations, and ownership strategies of multinational enterprises: evidence from foreign direct investments in Korea
- Authors
- Lee, Jeoung Yul; Kwak, Jooyoung; Kim, Kyoung Ae
- Issue Date
- 2-Oct-2014
- Publisher
- ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
- Keywords
- subsidiary goal; learning orientation; multinational enterprise (MNE); foreign subsidiary; ownership strategy; Korea
- Citation
- ASIA PACIFIC BUSINESS REVIEW, v.20, no.4, pp.558 - 577
- Journal Title
- ASIA PACIFIC BUSINESS REVIEW
- Volume
- 20
- Number
- 4
- Start Page
- 558
- End Page
- 577
- URI
- https://scholarworks.bwise.kr/hongik/handle/2020.sw.hongik/16558
- DOI
- 10.1080/13602381.2013.859427
- ISSN
- 1360-2381
- Abstract
- This paper investigates the links among subsidiary goals, learning orientations, and ownership strategies of multinational enterprises (MNEs). The authors hypothesize that an MNE's ownership strategy is determined by subsidiary goals and learning orientations. Furthermore, interactions between learning orientations and subsidiary goals are predicted to influence the ownership strategy. Based on 723 foreign subsidiaries of MNEs operating in Korea, our findings suggest that when MNE foreign subsidiaries influence ownership choice, market-seeking goals and resource-seeking goals have a stronger fit with the exploitation orientation than with the exploration orientation. In contrast, the category of knowledge-seeking goals has a stronger fit with exploration than with exploitation.
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