Record Details

The Effect of Headquarter Integration Mechanisms on Subsidiaries’ New Product Success: From Control to Coordination Mechanism

South East Asian Journal of Management

View Archive Info
 
 
Field Value
 
Title The Effect of Headquarter Integration Mechanisms on Subsidiaries’ New Product Success: From Control to Coordination Mechanism
 
Creator Firmanzah Firmanzah; Universitas Indonesia
 
Subject Strategic
 
Description New product launching (NPL) to the local market by subsidiary managers is a strategic activity, which requires organizational supports from MNC global network. The NPL activity is marked by high level of uncertainty, risk, and market failure. Thus, a headquarter needs to integrate the subsidiary NPL into global strategy. There are two mechanisms to integrate subsidiaries’ activities during NPL process; coordination and control process. By testing the effect of each mechanism on role clarity and functional conflict, I found that coordination mechanism increase role clarity between headquarter and subsidiaries’ managers. In contrast, exercising control mechanism reduces role clarity and functional conflict between headquarter and subsidiaries’ managers during NPL. This research shows that both role clarity and functional conflict increase new product commercial performance introduced by subsidiary in the local market. Keywords: new product launching (NPL), coordination mechanism, control mechanism, and new product performance
 
Publisher Department of Management, Faculty of Economics and Business, Universitas Indonesia
 
Contributor —
 
Date 2013-07-10
 
Type Peer-reviewed Article
 
Format application/pdf
 
Identifier http://journal.ui.ac.id/index.php/tseajm/article/view/1790
 
Source The South East Asian Journal of Management; Vol 1, No 2 (2007): October 2007; 191-212
 
Language en
 
Coverage South East Asia
—
—