ENTREPRENEURSHIP IN MULTINATIONAL-CORPORATIONS - THE CHARACTERISTICS OF SUBSIDIARY INITIATIVES

This paper defines initiative as a key manifestation of corporate entr epreneurship, and examines the types of initiative exhibited in a samp le of six subsidiaries of multinational corporations. From a detailed analysis of 39 separate initiatives, four distinct types are identifie d which we refer to as 'global,' 'local,' 'internal' and 'global-inter nal hybrid,' to correspond to the locus of the market opportunity when ce each arose. Two important conclusions are indicated. First, entrepr eneurship at the subsidiary level has the potential to enhance local r esponsiveness, worldwide learning and global integration, a much broad er role than previously envisioned. Second, the use of contextual mech anisms to create differentiated subsidiary roles has its limitations b ecause each initiative type is facilitated in different ways. (C) 1997 by John Wiley & Sons, Ltd.