Back to Search Start Over

The role of headquarters in managing coopetition within MNCs: a tale of two paradoxes.

Authors :
Schweizer, Roger
Lagerström, Katarina
Leite, Emilene
Pahlberg, Cecilia
Source :
Multinational Business Review (Emerald Group Publishing Limited); 2024, Vol. 32 Issue 2, p290-304, 15p
Publication Year :
2024

Abstract

Purpose: The purpose of this paper is to contribute to the discussion on how multinational company (MNC) headquarters (HQs) can manage the existing coopetition paradox to ensure innovation within the MNC. In contrast to the rather scarce previous research, the authors argue that HQ needs to solve the coopetition paradox under the sway of a parenting paradox. Hence, HQ faces a dual paradox. Design/methodology/approach: Drawing on the literature on HQ's role during MNCs' innovation processes, this conceptual paper revisits the previously suggested HQ measures to enable coopetition among subsidiaries. By applying a sheer ignorance perspective, the authors contribute with a more nuanced understanding of the HQ's role in innovation activities. Findings: The article identifies four challenges as the HQ faces a parenting paradox that hinders its ability to solve the coopetition paradox: context specificity of subsidiaries' innovation work, normative expectations of subsidiary managers, potential opportunistic behavior of HQ manager and HQ underestimation of needed resources. The article suggests that HQ needs to become more informed and preferably even embedded in the local innovation networks of its most important subsidiaries and that coopetition should not be managed solely on an HQ level. Originality/value: Advocating a sheer ignorance perspective, the article pioneers in discussing the role that HQ plays in managing coopetition among subsidiaries in innovation activities. [ABSTRACT FROM AUTHOR]

Details

Language :
English
ISSN :
1525383X
Volume :
32
Issue :
2
Database :
Complementary Index
Journal :
Multinational Business Review (Emerald Group Publishing Limited)
Publication Type :
Academic Journal
Accession number :
178091462
Full Text :
https://doi.org/10.1108/MBR-11-2022-0175