Headquarter centralisation influence on host subsidiary market development initiatives

dc.contributor.advisorWaugh, Beverley
dc.contributor.emailichelp@gibs.co.zaen_US
dc.contributor.postgraduateSibiya, Mbali Berniter
dc.date.accessioned2025-03-18T08:35:44Z
dc.date.available2025-03-18T08:35:44Z
dc.date.created2025-05-05
dc.date.issued2024-11
dc.descriptionMini Dissertation (MPhil (International Business))--University of Pretoria, 2024.en_US
dc.description.abstractAlthough international business literature discusses the multinational enterprise as a de-centred or networked organisation, the typical MNE predominately operates as a central authoritative headquarter with standardized processes, knowledge, resources, scope, culture as well as strategy to which it transfers to its host subsidiary. MNE headquarters are particularly interested in host subsidiaries in emerging markets due to desirable growth potential for MNEs wanting to expand their footprint and gain competitive advantage in regions outside of their home country. Given this dynamic, host subsidiaries in emerging markets have a mandate to deliver on the strategy that has been transferred to them by the headquarter, this can lead to conflicting interests as the subsidiary has its own local entrepreneurial goals to achieve for developing the local market. Using semi-structured interview data collected from 10 participants within European and American MNEs, this qualitative study sought to gather insights into the influence of headquarter centralisation on host subsidiary market development initiatives. Anchored by the principle-agency and resource dependence theories, the purpose was to analyse the operational characteristics such as resource dependency and contextual characteristics such regulatory environment of a host subsidiary influences the level to which a host subsidiary can be autonomous from both the perspectives of headquarter decision markers against those of the host subsidiary market development managers. Based on the findings, the influence of headquarter centralisation is not “black or white” nor good or bad, rather it is contextual and the nature of MNE does not structurally invite for full autonomy. This entails that means of coordination mechanisms to establish a balance between central steering and localisation/subsidiary autonomy need to be put in place. The outcome of this research is presented in a coordination framework to help headquarter decision makers and host subsidiary market development managers find strategic balance.en_US
dc.description.availabilityUnrestricteden_US
dc.description.degreeMPhil (International Business)en_US
dc.description.departmentGordon Institute of Business Science (GIBS)en_US
dc.description.facultyGordon Institute of Business Science (GIBS)en_US
dc.description.sdgSDG-08: Decent work and economic growthen_US
dc.description.sdgSDG-16: Peace, justice and strong institutionsen_US
dc.description.sdgSDG-17: Partnerships for the goalsen_US
dc.identifier.citation*en_US
dc.identifier.otherA2025en_US
dc.identifier.urihttp://hdl.handle.net/2263/101549
dc.language.isoenen_US
dc.publisherUniversity of Pretoria
dc.rights© 2023 University of Pretoria. All rights reserved. The copyright in this work vests in the University of Pretoria. No part of this work may be reproduced or transmitted in any form or by any means, without the prior written permission of the University of Pretoria.
dc.subjectUCTDen_US
dc.subjectSustainable Development Goals (SDGs)en_US
dc.subjectHeadquarteren_US
dc.subjectHost Subsidiaryen_US
dc.subjectMultinational Enterpriseen_US
dc.subjectHeadquarter Centralisationen_US
dc.subjectMarket Developmenten_US
dc.subjectCentral Steeringen_US
dc.subjectHeadquarter-Subsidiary Relationshipen_US
dc.subjectRegional Managersen_US
dc.subjectMarket Development Managersen_US
dc.subjectBusiness Development Managersen_US
dc.subjectAutonomyen_US
dc.subjectLocalisationen_US
dc.subjectPower and Dependencyen_US
dc.subjectResource Allocationen_US
dc.titleHeadquarter centralisation influence on host subsidiary market development initiativesen_US
dc.typeMini Dissertationen_US

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