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Axele Giroud's research staff profile

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Knowledge-intensive business services: does dual embeddedness matter?

Najafi-Tavani, Zhaleh; Giroud, Axèle; Sinkovics

The Service Industries Journal. 2012;32(10):1691-1706.

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Abstract

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. [PUBLICATION ABSTRACT]

Keyword(s)

5200:Communications & information management; 8300:Other services; 9130:Experiment/theoretical treatment; 9175:Western Europe; 9510:Multinational corporations; Business And Economics--Labor And Industrial Relations; United Kingdom--UK

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Journal article