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Strategic Types and Competences of Domestic and Foreign Plants: An Empirical Study

By: Contributor(s): Material type: TextTextDescription: 817–841 pSubject(s): In: BANIK, ARINDAM GLOBAL BUSINESS REVIEWSummary: A very important decision for multinational companies’ managers concerns what activities, phases and competences should be located in the home country and what could instead be offshored. Our study seeks to support them in this choice by answering to the following questions: (a) should the specializations assigned to foreign plants be different from those of domestic plants? (b) should key competences be held only in the domestic manufacturing base or also in the offshore one? We collect and analyze a wide set of data of an international research project, concerning competences and manufacturing practices of 236 MNC plants located in nine countries. We identify through cluster analysis different group profiles within domestic and foreign subsamples and compare the corresponding ones. We then compare domestic and foreign plants in a set of competences and manufacturing practices. Our empirical findings show that (a) the specializations (strategic types) of domestic and foreign plants can be substantially the same and (b) offshore plants rather than domestic ones tend in general to hold the most advanced competences.
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Holdings
Item type Current library Call number Vol info Status Notes Date due Barcode Item holds
Journal Article Journal Article Main Library Vol 19, No 4/ 5559312JA1 (Browse shelf(Opens below)) Available 5559312JA1
Journals and Periodicals Journals and Periodicals Main Library On Display JP/GEN/Vol 19, No 4/5559312 (Browse shelf(Opens below)) Vol 19, No 4 (10/07/2018) Not for loan August, 2018 5559312
Total holds: 0

A very important decision for multinational companies’ managers concerns what activities, phases and competences should be located in the home country and what could instead be offshored. Our study seeks to support them in this choice by answering to the following questions: (a) should the specializations assigned to foreign plants be different from those of domestic plants? (b) should key competences be held only in the domestic manufacturing base or also in the offshore one? We collect and analyze a wide set of data of an international research project, concerning competences and manufacturing practices of 236 MNC plants located in nine countries. We identify through cluster analysis different group profiles within domestic and foreign subsamples and compare the corresponding ones. We then compare domestic and foreign plants in a set of competences and manufacturing practices. Our empirical findings show that (a) the specializations (strategic types) of domestic and foreign plants can be substantially the same and (b) offshore plants rather than domestic ones tend in general to hold the most advanced competences.

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