The configurations of HRM bundles in MNCs by their contributions to subsidiaries’ performance and cultural dimensions

2021 ◽  
Vol 21 (1) ◽  
pp. 123-166
Author(s):  
Marzena Stor

The main goal of the paper is to determine whether the HQs of MNCs evaluate the significances of particular HRM subfunctions to their foreign subsidiaries’ performance differently depending on a specific cultural context and—as a consequence—various configurations of HRM subfunctions may be identified in different cultural contexts. The theoretical assumptions are based on a combination of the configurational and contextual perspectives through a cross-cultural lens. In the empirical research an abductive reasoning process is applied. The research sample covers 200 headquarters of MNCs. To analyze the collected data both descriptive and correlational statistical methods are used. Two patterns of configurational bundle of HRM have been identified: A and B. Pattern A tends to be more system oriented and Pattern B more centralization oriented. Pattern A covers the subsidiaries which, with comparison to their HQ, are of lower power distance, higher individualism, higher masculinity, lower uncertainty avoidance, longer time orientation, and higher indulgence. Pattern B is composed of the subsidiaries with the opposite signs of the cultural distance index. The originality of the study consists in the application of the abductive research model. Thanks to it, we were able to search and find the simplest and most probable explanations for our observations. And the value of the research itself lies in the evidence that the contextual perspective with its configurational implications in the HRM research field is useful in identifying the phenomena that are difficult to identify or unidentifiable otherwise. The findings of the present study provide some knowledge on how cultural distance (external variable) and the significance of HRM to the subsidiary’s performance results (internal variable) interact in impacting on different configurational bundles of HRM subfunctions, their centralization practices and knowledge flows in MNCs.

2017 ◽  
Vol 22 (1) ◽  
pp. 1-10
Author(s):  
Nur Wening ◽  
Muhammad Al Hasny ◽  
Ridha Fitryana

This research aims to formulate marketing strategy to increase visitors of Gembira Loka Garden and Zoo (KRKB Gembira Loka) in Yogyakarta. This research is qualitative research and uses interview, observation, and documentation as data collection method. The data is analyzed by using SWOT analysis with internal and external variable identification. The internal variable shows that location is the main strength of Gembira Loka KRKB with 0.17 by value and 5 by rating. From external variable, the result of EFAS table shows that Gembira Loka KRKB has good enough chance while the thread has less result than the chance. Gembira Loka KRKB is in quadrant 1, which is the position in which a company is considered to be in a beneficial situation due to its chance and strength. In such case, the company can utilize the chance by maximizing the strength. The following strategy to go through in this condition is supporting aggressive planning.


Author(s):  
Mario Martínez-Avella ◽  
Ángela Alarcón-León ◽  
Giovanni Hernández-Salazar

The relation between the cultural distance and the firm’s entry modes to foreign countries has received considerable research attention, and studies have shown the role of experience in this relation. However, previous research has only studied direct experience and neglected the study of vicarious experience. Using a sample of 355 foreign companies that entered Colombia (2007–2017), this research reviews the effect of cultural distance on entry mode choice (e.g., Acquisition vs. Greenfield) and examines the moderating role of vicarious experience in this relationship. The study concludes that the cultural distance positively affects the entry probability by acquisition, and the vicarious experience negatively affects this relationship in four cultural dimensions. If firms have vicarious experience, the effect of cultural distance on the acquisition probability is less and positively influences the entry probability by Greenfield when the cultural distance is in power distance, uncertainty avoidance, individualism, and long-term orientation. Nevertheless, vicarious experience has the opposite effect when considering the masculinity dimension. Consequently, we highlight the importance of considering vicarious experience as a different variable of direct experience and the individual effects of cultural distance dimensions for cross-cultural studies in management.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Dasun Bhagya Sapuarachchi

Purpose The purpose of this study is to explore a phenomenon in knowledge management that has been given scant attention: the influence of cultural distance on inter-organizational knowledge transfer in the context of multinational companies involving headquarters in the USA and a subsidiary in Sri Lanka. Design/methodology/approach Designed as a qualitative exploratory study, data was collected through in-depth interviews of 15 participants and documents review. Findings The findings of this study implied that the theoretically introduced cultural dimensions shall be relevant to analyze the phenomenon of this study. Consequently, through the findings of this study, it is argued that inter-organizational knowledge transfer in multinational companies is influenced by cultural distance. Research limitations/implications This study theoretically and empirically contributes to the debates on knowledge transfer in knowledge management research in general and, inter-organizational knowledge transfer in multinational companies between headquarters and subsidiaries with respect to the influence of cultural distance in particular, through the light of Trompenaars’ (1993) cultural dimensions theory. Practical implications The findings of this study could motivate the practitioners to take into account: the influence of cultural distance on inter-organizational knowledge transfer, if inter-organizational knowledge transfer happens in similar contexts: multinational companies with a headquarters in the USA (a western context) and a subsidiary in Sri Lanka (a non-western context) in the practical business world. Originality/value This study provides theoretical and empirical insights into the influence of cultural distance on inter-organizational knowledge transfer in multinational companies between headquarters and subsidiaries in the selected context while suggesting various avenues for further research toward the influence of cultural distance on such phenomenon in similar/dissimilar contexts.


2020 ◽  
Vol 29 (1) ◽  
pp. 88-118
Author(s):  
Kadri Arrak ◽  
Anneli Kaasa ◽  
Urmas Varblane

This exploratory article aims to take first steps towards understanding whether a regional cultural background has, among other determinants, an influence on a person’s entrepreneurial behaviour, relying on the example of Germany. A multilevel approach is applied combining the Global Entrepreneurship Monitor individual-level data about entrepreneurship with up-to-date cultural dimensions indicators based on Hofstede’s original approach at the regional (NUTS 1) level. The results indicate that regional cultural context is an important determinant of entrepreneurial behaviour. At that, different cultural dimensions have different impacts, and the impact also differs across different stages of entrepreneurship. A lower level of uncertainty avoidance in a region could have a positive impact on early-stage entrepreneurship, whereas the established business ownership seems to be encouraged by a lower level of power distance.


2019 ◽  
Vol 27 (4) ◽  
pp. 3-21 ◽  
Author(s):  
Annette P. Tower ◽  
Kelly Hewett ◽  
Anton P. Fenik

Rapid global economic development and liberalization have increased the motivation and opportunities for firms to enter into international joint venture (IJV) agreements. Numerous studies in the international marketing literature have examined the impact of international partners’ cultural differences on IJV longevity; however, results are inconclusive, potentially due to limitations in the methods used. While this study examines the varied impact of cultural differences on IJV longevity based on the IJV’s age, it uses quantile regression, enabling the detection of varying effects’ strengths across the dependent variable’s entire distribution. The results demonstrate variations in the role of cultural differences across individual cultural dimensions as well as variations in the patterns of association between cultural differences and IJV longevity dependent on the IJV’s age. Implications for theory and the practice of international marketing are offered as well as potential applications of this study’s methodological approach.


2018 ◽  
Vol 28 (1) ◽  
pp. 61-82 ◽  
Author(s):  
Syed Hassan Raza ◽  
Hassan Abu Bakar ◽  
Bahtiar Mohamad

Abstract The ongoing development of the strategic communication research in the area of the advertising calls for the development and validation of the measurement instruments that can address the indulgence of the advertising appeals in a specific cultural context. Therefore, the present study examines and validate advertising appeals by considering the norms based on the GLOBE nine cultural dimensions in Malaysian context. The analysis involved data from 10 advertising expert for content validation, followed by 10 advertising expert rating and ranking of the scale of its relevance and clarity to assess the item-level content validation. The results provided to support the impact of cultural norms are substantial for Malaysian advertising, which are identified from content validation procedure.


Author(s):  
Mochamad Noval Nasrudin

The objectives of this study are: 1) to describe the characteristics of successful and unsuccessful organizations with regard to culture and its changes. 2) Describe the approach to internal and external variables of organizational elements that can be studied and can be used to predict organizational effectiveness. 3) Describe how the new form of organization, with regard to the concept of cultural strength. This study uses a qualitative approach examining cultural phenomena conducted through field studies and literature studies. Data were collected using literature study techniques and documentation studies. Secondary data source used. Data were analyzed using qualitative data analysis approaches and techniques. From the discussion it can be concluded that: 1) The characteristics of a successful organization have a strong and unique culture, including those that can enhance the organizational subculture. Organizations that fail have different work cultures, and past cultures prevent organizations from adapting to changing environments. 2) The internal variable approach assumes that culture is one of the organizational elements that can be studied and can be used to predict organizational effectiveness. Likewise, the external variable approach considers culture as a force outside the organization, such as a larger national cultural norm. 3) In the new organizational form, the concept of cultural power becomes very important. For example, we now see many "virtual" organizations with social networks, whose members rarely interact face-to-face and apply their culture to cyberspace. Even in this virtual organization, when groups make rules about position, or when members of certain organizations develop strength and status through interactions, it is also interesting how to shape the culture of the interactions.


VUZF Review ◽  
2020 ◽  
Vol 5 (3) ◽  
pp. 40-49
Author(s):  
Desislava Dimitrova

European commission has identified entrepreneurship as crucial for achieving the objectives of several European sectorial policies and as one of the main tools for overcoming the negative effects of the financial crisis of 2008. Despite the multitude of policies and tools to support entrepreneurship, there are still significant differences between member states regarding their entrepreneurial activity. Тhe present study offers an alternative approach for explaining those difference that takes into account the cultural context represented by cultural values. An empirical research is carried out using several indicators measuring entrepreneurial activity and comparing them with Geert Hofstede cultural dimensions indexes of EU member states via correlation analysis.


Author(s):  
Olexandr Horban ◽  
Tetyana Kuprii ◽  
Liudmyla Ovsiankina

The article deals with the problem of the dynamics of the manifestation of value orientations of modern Ukrainian students, the patterns of their occurrence and factors influencing their formation in the context of philosophical, sociological, ethical and cultural dimensions and cross-cultural comparative studies. The article focuses on the problem of the existence of modern youth, the formation of new ideological and humanistic values, and the search for basic principles of world attitude in the conditions of transformational changes in society as a whole. The process of integrative and social development of modern youth, which is accompanied the changes of hierarchical correlations of values and appearance of new, and also socially psychological features which show up on the different levels of valued-normative sphere of personality in a socio-cultural context under act of gender-age factors, is analysed. It is rotined that principles of organization, logician of functioning and processes which generate the individual and superindividual systems of values at all of likeness of common concepts have different nature and require different interpretations accordingly. Development of method of practical research of the individual and / either superindividual systems of values requires the constructions of operational determination of key categories which are utillized in research. From the functional point of view instrumental values activate as criteria, as standards of estimation during a choice only to modus (to the method) of conduct or actions, and a terminal is utillized an individual during the estimation of both aims of activity and possible methods of their achievement.


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