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Headquarter centralisation influence on host subsidiary market development initiatives

Mini Dissertation (MPhil (International Business))--University of Pretoria, 2024.

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Other Authors: Waugh, Beverley
Format: Thesis
Language:English
Published: University of Pretoria 2025
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access_status_str Open Access
author2 Waugh, Beverley
author_browse Waugh, Beverley
author_facet Waugh, Beverley
collection Thesis
dc_rights_str_mv © 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.
description Mini Dissertation (MPhil (International Business))--University of Pretoria, 2024.
format Thesis
id oai:repository.up.ac.za:2263/101549
institution University of Pretoria (South Africa)
language English
last_indexed 2026-06-10T12:39:09.096Z
license_str Other — see source repository
provenance_str_mv Harvested via OAI-PMH from UPSpace — University of Pretoria Institutional Repository
publishDate 2025
publishDateRange 2025
publishDateSort 2025
publisher University of Pretoria
publisherStr University of Pretoria
record_format dspace
source_str UPSpace — University of Pretoria Institutional Repository
spelling oai:repository.up.ac.za:2263/101549 Headquarter centralisation influence on host subsidiary market development initiatives Waugh, Beverley ichelp@gibs.co.za Sibiya, Mbali Berniter UCTD Sustainable Development Goals (SDGs) Headquarter Host Subsidiary Multinational Enterprise Headquarter Centralisation Market Development Central Steering Headquarter-Subsidiary Relationship Regional Managers Market Development Managers Business Development Managers Autonomy Localisation Power and Dependency Resource Allocation Mini Dissertation (MPhil (International Business))--University of Pretoria, 2024. Although 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. Gordon Institute of Business Science (GIBS) MPhil (International Business) Unrestricted Gordon Institute of Business Science (GIBS) SDG-08: Decent work and economic growth SDG-16: Peace, justice and strong institutions SDG-17: Partnerships for the goals 2025-03-18T08:35:44Z 2025-03-18T08:35:44Z 2025-05-05 2024-11 Mini Dissertation * A2025 http://hdl.handle.net/2263/101549 en © 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. application/pdf University of Pretoria
spellingShingle UCTD
Sustainable Development Goals (SDGs)
Headquarter
Host Subsidiary
Multinational Enterprise
Headquarter Centralisation
Market Development
Central Steering
Headquarter-Subsidiary Relationship
Regional Managers
Market Development Managers
Business Development Managers
Autonomy
Localisation
Power and Dependency
Resource Allocation
Headquarter centralisation influence on host subsidiary market development initiatives
title Headquarter centralisation influence on host subsidiary market development initiatives
title_full Headquarter centralisation influence on host subsidiary market development initiatives
title_fullStr Headquarter centralisation influence on host subsidiary market development initiatives
title_full_unstemmed Headquarter centralisation influence on host subsidiary market development initiatives
title_short Headquarter centralisation influence on host subsidiary market development initiatives
title_sort headquarter centralisation influence on host subsidiary market development initiatives
topic UCTD
Sustainable Development Goals (SDGs)
Headquarter
Host Subsidiary
Multinational Enterprise
Headquarter Centralisation
Market Development
Central Steering
Headquarter-Subsidiary Relationship
Regional Managers
Market Development Managers
Business Development Managers
Autonomy
Localisation
Power and Dependency
Resource Allocation
url http://hdl.handle.net/2263/101549