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Author:Gong, Y.
Title:The impact of subsidiary top management team national diversity on subsidiary performance: knowledge and legitimacy perspectives
Journal:Management International Review
2006 : VOL. 46:6, p.771-789
Index terms:subsidiarity
top management
team work
Freeterms:multinational teams
nationality
Language:eng
Abstract:This study examines the impact of nationality composition within subsidiary top management teams (STMTs) on subsidiary performance. The draws upon two complementary theoretical perspectives: knowledge and legitimacy. It proposes that a heterogeneous STMT nationality composition may enhance subsidiary performance with the effect being stronger in subsidiaries of longer years of operation. Hypotheses were tested in a sample of STMTs from Japanese Multinational Corporations. The results showed that STMT nationality heterogeneity is positively related to subsidiary labor productivity. An interaction effect was also found. As the number of subsidiary operation years increased, so did the effect of STMT nationality heterogeneity on subsidiary performance.
SCIMA record nr: 264606
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