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Multinationals and Transition: Business Strategies, by Julia Manea, Robert Pearce (auth.)

By Julia Manea, Robert Pearce (auth.)

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Additional resources for Multinationals and Transition: Business Strategies, Technology and Transformation in Central and Eastern Europe

Sample text

Nevertheless, despite its direct tactical benefits, the inherent introversion of pure MS activity would be likely to prove alien to the strategic orientation and needs of both MNEs and host-country economies. For the MNEs, MS treats the CEE region as a separate newly-emergent market space that needs to be addressed, in the short term, through different aims and priorities. However, this isolated pursuit of localized success may not generate the types of subsidiary-level attributes or ambitions that would then allow them to emerge into distinctive positions within the wider competitive evolution of their MNE groups.

8 per cent more considering that it occupied a ‘secondary’ status. 1 confirms, the overwhelmingly dominant motivation in early MNE activity in CEE economies. g. g. Western Europe) of the MNE group. Note: 1Respondents were asked to grade each strategic position as (i) the subsidiaries’ main objective, (ii) a secondary objective of the subsidiaries, (iii) not a part of the subsidiaries’ objective. The average response (AR) was calculated by allocating ‘main’ the value of 3, ‘secondary’ the value of 2 and ‘not’ the value of 1.

HQs responding to the survey were asked to evaluate the importance of each of the sources of technology in their CEE operations, as either a ‘main’ source, a ‘secondary’ source or ‘not’ a source. 4. This section introduces these seven potential sources of technology and generates hypotheses relating their prevalence to the strategic positioning of the MNEs’ CEE activities (in terms of the motivations reviewed in the previous section). The first of these sources was described as ‘existing technology of our MNE group that is already embodied in established products that the subsidiaries undertake to produce’ (ESTPRODTECH).

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