Natacha Bertoia da Silva

Brazilian Multinational Companies' Subsidiaries' Initiative: a typology proposal

The aim of this study was to investigate whether culture, knowledge transfer and initiative allow for the configuration of homogeneous groups of Brazilian multinational companies’ subsidiaries – and, as a result, to propose a typology. Thus, based on a previously adapted Birkinshaw model (1999) of subsidiary initiatives tested by structural equation modeling in an earlier phase of research, it was possible to use transfer of knowledge, culture and initiative constructs scores from each sample unit to apply the clusters technique. As a result, three clusters were found – which, based on the Birkinshaw typology (1995) for classifying subsidiaries according to initiative, were defined as: (1) Reconfiguration initiative and (3) Local market initiative. Since the second group of subsidiaries could not be classified by Birkinshaw’s typology, it was called (2) Incipient initiative. Subsidiaries of the Reconfiguration initiative cluster present mainly internal initiatives, although they do identify local opportunities for applying and expanding their resources; whilst subsidiaries of Local market initiative reveal that both knowledge transfer in both directions (headquarters versus units) and culture are relevant to their initiatives, mainly external ones. Finally, subsidiaries from the Incipient Initiative cluster are units that tend to be similar in culture to Brazil, but knowledge transfer is low, indicating that international units do not know enough about the company’s business to be able to propose initiatives.

Estratégias de Transferência de Conhecimento em Multinacionais Brasileiras: Estudo Comparativo Entre as Subsidiárias Adquiridas e as Greenfield

The main purpose of this study was to explore the knowledge transfer process between the subsidiaries and the headquarter of Brazilian multinationals, and to identify the most used mechanisms for transferring knowledge. This paper also aims to point out existing barriers in this process, comparing acquired subsidiaries to the greenfield ones. International studies have shown differences in the process of knowledge transfer due to the origin of foreign units (entry mode). We surveyed in 2006 and 2007 a sample of 66 Brazilian subsidiaries of multinationals with overseas activities. As a result, the knowledge transfer from the headquarter to the subsidiary has occurred through meetings with top executives and the reception of Brazilian executives in both types of units. The barriers to knowledge transfer are bland, being clearer in acquired subsidiaries. Cultural resistance is the most prominent. When we focus on the acquired units, the hierarchical structure is seen as a barrier, probably reflecting the centralized attitude by the headquarters. At the same time, the lack of incentives for sharing knowledge is more evident in greenfield units. Also, the syndrome of not invented here is a perceived barrier by acquired units.

Iniciativa de las Subsidiarias de Multinacionales Brasileñas: propuesta de una tipología

The aim of this study was to investigate whether culture, knowledge transfer and initiative allow for the configuration of homogeneous groups of Brazilian multinational companies’ subsidiaries – and, as a result, to propose a typology. Thus, based on a previously adapted Birkinshaw model (1999) of subsidiary initiatives tested by structural equation modeling in an earlier phase of research, it was possible to use transfer of knowledge, culture and initiative constructs scores from each sample unit to apply the clusters technique. As a result, three clusters were found – which, based on the Birkinshaw typology (1995) for classifying subsidiaries according to initiative, were defined as: (1) Reconfiguration initiative and (3) Local market initiative. Since the second group of subsidiaries could not be classified by Birkinshaw’s typology, it was called (2) Incipient initiative. Subsidiaries of the Reconfiguration initiative cluster present mainly internal initiatives, although they do identify local opportunities for applying and expanding their resources; whilst subsidiaries of Local market initiative reveal that both knowledge transfer in both directions (headquarters versus units) and culture are relevant to their initiatives, mainly external ones. Finally, subsidiaries from the Incipient Initiative cluster are units that tend to be similar in culture to Brazil, but knowledge transfer is low, indicating that international units do not know enough about the company’s business to be able to propose initiatives.

Iniciativa das Subsidiárias de Multinacionais Brasileiras: proposta de uma tipologia

The aim of this study was to investigate whether culture, knowledge transfer and initiative allow for the configuration of homogeneous groups of Brazilian multinational companies’ subsidiaries – and, as a result, to propose a typology. Thus, based on a previously adapted Birkinshaw model (1999) of subsidiary initiatives tested by structural equation modeling in an earlier phase of research, it was possible to use transfer of knowledge, culture and initiative constructs scores from each sample unit to apply the clusters technique. As a result, three clusters were found – which, based on the Birkinshaw typology (1995) for classifying subsidiaries according to initiative, were defined as: (1) Reconfiguration initiative and (3) Local market initiative. Since the second group of subsidiaries could not be classified by Birkinshaw’s typology, it was called (2) Incipient initiative. Subsidiaries of the Reconfiguration initiative cluster present mainly internal initiatives, although they do identify local opportunities for applying and expanding their resources; whilst subsidiaries of Local market initiative reveal that both knowledge transfer in both directions (headquarters versus units) and culture are relevant to their initiatives, mainly external ones. Finally, subsidiaries from the Incipient Initiative cluster are units that tend to be similar in culture to Brazil, but knowledge transfer is low, indicating that international units do not know enough about the company’s business to be able to propose initiatives.