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The purpose of this paper is to understand the impact of network relationship strength and subsidiary initiatives on the headquarters value added and performance in foreign-owned subsidiaries.

This study is based on survey data collected from foreign-owned subsidiaries located in Thailand. The authors use symmetric structured equation modelling partial least squared (SEM-PLS) and asymmetric fuzzy set qualitative comparative analysis (fsQCA) techniques to analyse the data.

The authors found that intra-organisational relationship strength is one of the key determinants for high headquarter value added. They also found that headquarter value added plays a crucial role in explaining subsidiary performance. The role of subsidiary initiatives seem overall less pronounced than initially thought.

The originality of this study lies in the conceptual framework based on networks and subsidiary initiatives. This is one of the few studies that empirically tests headquarters value-added determinants in subsidiaries located in an emerging market. Furthermore, the authors use SEM-PLS and fsQCA to look beyond more commonly tested symmetric associations.

Although organizational identification has been recognized as crucial for multinational enterprises, its configurations regarding innovation performance at the subsidiary level have hitherto received scant attention. Accordingly, the purpose of this research is to identify the types of configurations in which organizational identification in foreign-owned subsidiaries leads to high innovation performance.

We base our research on social identity theory and the neo-configurational perspective to test our framework using survey data collected from subsidiaries located in Thailand and Vietnam.

Our results provide evidence that organizational identification serves as a glue that binds strong inter- and intra-organizational network relationships to drive innovation performance. While we find some variation in that pattern between the two host countries, it appears overall that the conditions of expatriates in top management and the geographic distance between home and host country only play a peripheral role. We identify the “integrated innovation driver” and “distant local hub” as two subsidiary archetypes that show how organizational identity can drive high innovation performance in subsidiaries.

This study is one of the first to empirically investigate the main complementing factors in the context of organizational identification and innovation in foreign-owned subsidiaries, which have previously predominantly been investigated in isolation of each other.

The purpose of this paper is to investigate what role national top management team diversity (TMTD) plays in foreign-owned subsidiary performance. The authors develop a conceptual framework based on the asset bundling model and the neo-configurational perspective to argue that the impact of TMTD on subsidiary performance depends on its conjunction with other assets.

The authors test our framework on a sample of subsidiaries located in the emerging economies of Thailand and Taiwan. The authors utilise structural equation modelling and fuzzy set qualitative comparative analysis techniques.

The results indicate that TMTD can contribute and hurt subsidiary performance depending on its bundling with other assets such as organisational network strength, competencies, as well as regional and cultural differences between the home and host country.

This is one of the first studies to empirically test the asset bundling model in the context of national TMTD in foreign-owned subsidiaries using a configurational approach.

The authors investigate conditions that drive innovation performance in foreign-owned subsidiaries. The authors study five variables affecting innovation performance: organizational agility and digital capabilities as the main drivers and competencies and embeddedness in internal and external networks as complementary antecedents of innovation.

The authors draw on the neo-configurational perspective and apply fuzzy set qualitative comparative analysis (fsQCA) to empirically test survey data from subsidiaries located in the emerging economies of Thailand and Vietnam.

While the authors find no single condition on its own determining innovation performance, the authors do find that in concert they form four configurations of high innovation performance. The results indicate that all configurations contain competencies, as well as that subsidiaries should prioritize between internal and external networks to complement agility, digital capabilities, to achieve high innovation performance. The authors also reveal intriguing contextual differences in the innovation performance configurations between the two host countries.

By incorporating causal complexity as well as substitutability and complementarity of innovation drivers, the authors extend the current understanding of subsidiary innovation performance outcomes.