How subsidiaries leverage institutionally derived influence in headquarter strategy initiatives

Research on headquarters–subsidiary relationships has shown how subsidiaries respond to local institutions, but less is known about how they leverage those same institutions to gain internal influence. Drawing on multiple case studies of three Nordic multinational enterprises (MNEs) and their longstanding subsidiaries in Japan, the United States, and Western Europe, we develop a model of how institutionally derived enablers of subsidiary influence facilitate subsidiary avoidance of and involvement in headquarter strategy initiatives. We uncover how subsidiaries mobilize different sets of rationales and tactics when wielding such influence. This study contributes to the literature on institutions in headquarters–subsidiary relationships by showing how subsidiaries actively interpret rather than passively relay information on local institutions and how local institutions foster longstanding subsidiary influence within the MNEs. Additionally, we broadly contribute to the subsidiary boundary-spanning literature by providing a more fine-grained understanding of the role of local institutions, as filtered through subsidiaries, in the implementation of headquarter strategies.

Authors

Institutions

Publication Details

Journal
Journal of International Management
Published
2026-02-06
DOI
https://doi.org/10.1016/j.intman.2026.101344
Primary Topic
Innovation and Knowledge Management
Type
article
Field-Weighted Citation Impact
0.00
Controls
|||
ALL TIME
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
article

How subsidiaries leverage institutionally derived influence in headquarter strategy initiatives

Edward Gillmore, Ivar Padrón-Hernández
Journal of International Management
Innovation and Knowledge Management
article

How subsidiaries leverage institutionally derived influence in headquarter strategy initiatives

Edward Gillmore, Ivar Padrón-Hernández
article en

Abstract

Research on headquarters–subsidiary relationships has shown how subsidiaries respond to local institutions, but less is known about how they leverage those same institutions to gain internal influence. Drawing on multiple case studies of three Nordic multinational enterprises (MNEs) and their longstanding subsidiaries in Japan, the United States, and Western Europe, we develop a model of how institutionally derived enablers of subsidiary influence facilitate subsidiary avoidance of and involvement in headquarter strategy initiatives. We uncover how subsidiaries mobilize different sets of rationales and tactics when wielding such influence. This study contributes to the literature on institutions in headquarters–subsidiary relationships by showing how subsidiaries actively interpret rather than passively relay information on local institutions and how local institutions foster longstanding subsidiary influence within the MNEs. Additionally, we broadly contribute to the subsidiary boundary-spanning literature by providing a more fine-grained understanding of the role of local institutions, as filtered through subsidiaries, in the implementation of headquarter strategies.

Journal of International ManagementVol. 32(2)
Hitotsubashi University (JP), Durham University (GB)
Partnerships for the goals
Openalex Percentile: Top 66%
Innovation and Knowledge Management
AI Navigator

Ask Laika to Summarize, Analyze, and Connect papers live on the map.

Summarize Papers & Methodologies

Extract key findings, datasets, and comparative methods across publications.

Benchmark Rankings & Visual Analytics

Rank top research institutions, authors, funders, topics, and journals by Field-Weighted Citation Impact (FWCI) and paper volume with instant charts.

Connect Distant Disciplines

Bridge topological clusters on the map to find hidden collaborative intersections.