Abstract:
Subsidiary entrepreneurial activities continue to be highly valued strategic levers for
subsidiary growth and performance, and as a result, they contribute to the enhancement of
the value of the Multinational Enterprise (MNE) network. Leadership continues to be viewed
as important in driving subsidiary entrepreneurship. However, there remains a paucity of
studies on the actions of individuals with regard to subsidiary entrepreneurial initiatives. The
aim of this study was to understand how leadership capabilities enhance the behaviour of
the identification of multinational enterprise opportunities operating in emerging markets. A
qualitative study was conducted based on 18 individuals working in multinational
enterprises operating in emerging markets based in the African continent. The 18
individuals comprised 12 senior leaders and six junior leaders who were referred to as
subordinates. They revealed that the extent to which leaders are able to facilitate
entrepreneurial initiatives is dependent on a broad understanding of subsidiary
entrepreneurship, an aligned and supportive multinational enterprise environment, as well
as the existence of supporting headquarters and decision-making autonomy, all of which
are working in concert to facilitate entrepreneurial initiatives. Furthermore, the critical role
played by leadership in bringing everyone together to focus on increasing the performance
of the subsidiary is emphasised. The study makes a significant contribution to the
understanding of the leadership capabilities that foster and stimulate subsidiary initiatives
in an emerging market context.
