Knowledge-intensive business services: does dual embeddedness matter?

Najafi-Tavani, Z., Giroud, A. and Sinkovics, R. R. (2012) Knowledge-intensive business services: does dual embeddedness matter? Service Industries Journal, 32(10), pp. 1691-1705. (doi: 10.1080/02642069.2012.665895)

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Building on network theory, this study investigates knowledge development in subsidiaries in the knowledge-intensive business service (KIBS) sector. Foreign subsidiaries’ internal and external networks are divided into three main categories: relations with (1) the local environment (external embeddedness), (2) parent firms (subsidiary–parent firm embeddedness and autonomy), and (3) sister subsidiaries (subsidiary–subsidiary embeddedness). Hypotheses are tested using a sample of 184 subsidiaries, located in the UK, whose parent firms are based outside the UK. While our results indicate that external embeddedness, subsidiary–parent embeddedness, and autonomy are main determinants of knowledge development within KIBS multinational companies, they show no association between subsidiary–subsidiary embeddedness and knowledge development.

Item Type:Articles
Keywords:Reverse knowledge transfer, embeddedness, subsidiaries.
Glasgow Author(s) Enlighten ID:Sinkovics, Professor Rudolf
Authors: Najafi-Tavani, Z., Giroud, A., and Sinkovics, R. R.
College/School:College of Social Sciences > Adam Smith Business School > Management
Journal Name:Service Industries Journal
Publisher:Taylor & Francis
ISSN (Online):1743-9507
Published Online:05 March 2012

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