The Cost of Doing Business Abroad in Emerging Markets and the Role of MNC Parent Companies

The Cost of Doing Business Abroad in Emerging Markets and the Role of MNC Parent Companies

This study examines the impact of MNC parents on the cost of doing business abroad (CDBA) of their foreign subsidiaries in emerging markets. Based on a case research, we found that MNC HQs can influence the activity-based CDBA of their foreign subsidiaries through policies on technology royalties, e...

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Veröffentlicht in:Multinational business review 2008-11, Vol.16 (3), p.23-40
1. Verfasser: Chen, Roger (Rongxin)
Format: Artikel
Sprache:eng
Schlagworte:
Business costs
Cost of doing business abroad CDBA
Costs
Developing countries
Emerging markets
Foreign subsidiaries
Impact analysis
International business
Joint ventures
Knowledge
LDCs
MNC
Multinational corporations
Parent companies
Parents & parenting
Sociology
Studies
Teaching
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Beschreibung
Zusammenfassung:This study examines the impact of MNC parents on the cost of doing business abroad (CDBA) of their foreign subsidiaries in emerging markets. Based on a case research, we found that MNC HQs can influence the activity-based CDBA of their foreign subsidiaries through policies on technology royalties, expatriate expenses, and through helping the export business of their subsidiaries. Theoretical implications of these findings are discussed.
ISSN:1525-383X
2054-1686
DOI:10.1108/1525383X200800012