Institutional factors and subnational location choice for multinationals' R&D subsidiaries. Issue 4 (11th August 2020)

• Record Type: Journal Article
• Authors: Falaster, Christian; Portugal Ferreira, Manuel
• Is Part Of: Innovation & management review. Volume 17:Issue 4(2020)
• Page Start: 351
• Page End: 367
• Publication Date: 2020-08-11
• Subjects: Location choice -- Regional differences -- Institutional environment -- Innovation; Technological innovations -- Periodicals; Business -- Periodicals; Organizational change -- Periodicals; 658.406
• DOI: 10.1108/INMR-08-2019-0102
• Languages: English
• ISSNs: 2515-8961

Abstract

Abstract : Purpose: Using an institution-based view, this study aims to conceptualize how sub-national institutional characteristics are likely to explain location choice of multinationals' research and development (R&D) subsidiaries. Design/methodology/approach: In a conceptual paper, this study explores specific institutional facets of the regional environments within a country that are capable of explaining, at least in part, the location choices of multinational corporations' R&D subsidiaries. Findings: This study thus explores the more nuanced influences of the institutional environments at a subnational level and develops propositions to explain location choices based on the differences of the institutional environments. Originality/value: This study contributes to international business theory by incorporating a location-specific analysis that contrasts to the usual country-level observation on the determinants of firms' location decisions.