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When does global mindset affect headquarters-subsidiary relationship?

Access Status
Open access
Authors
Li, Jizhong
Jiang, Fuming
Travaglione, Tony
Date
2020
Type
Conference Paper

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Citation
Li, J. and Jiang, F. and Travaglione, T. 2020. When does global mindset affect headquarters-subsidiary relationship? In 2020 Australia and New Zealand International Business Academy Conference (ANZIBA), 17-19 Feb 2020, University of Technology, Sydney, Australia.
Source Conference
2020 Australia and New Zealand International Business Academy Conference
Faculty
Faculty of Business and Law
School
School of Management
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Collection
Abstract

Drawing on the dynamic managerial capabilities perspective, we examine the effects of the global mindset of frontline managers on headquarters-subsidiary relationships and the moderating effects of their cognitive flexibility, overseas study experience, and exchanges with headquarters managers on the relationship. The analysis of dyadic data collected from managers at headquarters and subsidiaries of 312 Chinese multinational enterprises reveals that the frontline managers’ global mindset positively affects headquarters-subsidiary relationships. This effect is stronger when frontline managers exhibit higher cognitive personality flexibility and more overseas study experience but weaker when exchanges with headquarters managers become more frequent.