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Eastern Academy of Management International 2019 Conference

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Loss or Gain? The Moderating Role of Top Manager Teams in the Relationship between Political Hazards and Foreign Subsidiary’s Performance

When political hazards could be threats or opportunities for foreign subsidiary’s performance? Combing literature on political hazards and top management teams (TMTs), we argue that TMTs in the subsidiary (local TMTs) or dispatched from headquarter play distinctive roles in influencing whether multinational companies (MNCs) could reduce costs and take advantages of benefits associated with political hazards in their foreign operations. Using a panel dataset of 12,362 overseas subsidiaries across 54 countries during the period of 2004 to 2013, all hypotheses developed are supported.

Qiao Wei
University of New South Wales
Australia

Marco De Sisto
RMIT University
Australia

Wen Li
University of Technology Sydney
Australia

Jinlong Gu
University of Sussex Business School
United Kingdom

 


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