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政大典藏 > College of Commerce > Department of Business Administation > Periodical Articles > Item 140.119/10266

Please use this identifier to cite or link to this item: https://nccur.lib.nccu.edu.tw/handle/140.119/10266

Title:	Local Linkage and Their Effects on Headquarters` Use of Process Controls
Authors:	于卓民;翁煌哲;喬友慶 Yu, Chwo-Ming Joseph;Wong, Huang-Che;Chiao, Yu-Ching
Keywords:	Process controls;Agency theory;Network linkages
Date:	2006-12
Issue Date:	2008-11-25 10:43:03 (UTC+8)
Abstract:	This paper explores the relationship between subsidiaries` local linkages and headquarters` use of process controls. Making use of both agency and network theories, we conceptualize subsidiaries as agents within multinational networks, as well as instruments seeking resources from external networks. In accordance with agency theory, we predict that subsidiaries` use of local linkages will result in a decrease in the use of process controls by headquarters. Empirical results from 407 Taiwanese firms confirm this hypothesis, suggesting that headquarters employing process controls to monitor subsidiaries` linkages with local actors (i.e., local firms) is too costly. Headquarters` use of process controls decreases when a subsidiary is a joint venture, and as the firm accumulates experience in a host market.
Relation:	Journal of Business Research, 59(12), 1239-1247
Source URI:	http://dx.doi.org/10.1016/j.jbusres.2006.09.014
Data Type:	article
DOI link:	http://dx.doi.org/10.1016/j.jbusres.2006.09.014
DOI:	10.1016/j.jbusres.2006.09.014
Appears in Collections:	[Department of Business Administation] Periodical Articles

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