Abstract / Description of output
This paper explores how and why multinational enterprise (MNE) subsidiary actively seek for and restore legitimacy in host market. In particular, this study examines the dynamics and levels of legitimacy experienced by multinational enterprise (MNE) subsidiaries during the transfer and implementation of human resource management (HRM) practices. Drawing on prior research on legitimacy acquisition and strategic approaches of subsidiaries, we explore the strategies employed by subsidiaries in the legitimation process, the conditions under which these strategies are enacted, and the levels of legitimacy achieved. Specifically, we investigate the active role of MNE subsidiaries as institutional entrepreneurs, actively seeking and restoring legitimacy from both internal and external stakeholders in the host country environment. Using the case of an IKEA subsidiary in Korea, we address questions related to the acquisition, loss, and restoration of legitimacy, the strategic actions taken by subsidiaries, and the drivers influencing legitimacy. Our study contributes to the literature by providing a process-based explanation of how subsidiaries maintain their legitimacy while addressing legitimacy crises internally and externally. Additionally, we extend the understanding of subsidiary legitimacy by considering the active agency of subsidiaries as institutional entrepreneurs to move beyond mere acceptance to encompass various levels of legitimacy.
Original language | English |
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Title of host publication | Proceedings of the 39th Euro-Asia Management Studies Association (EAMSA) Annual Conference |
Publication status | Accepted/In press - 20 Sept 2023 |
Event | The 39th Euro-Asia Management Studies Association (EAMSA) Annual Conference - Stockholm, Sweden Duration: 22 Nov 2023 → 25 Nov 2023 https://www.trippus.se/web/registration/registration.aspx?view=registration&idcategory=AB0ILBCkS0JiVlvMPoUV6atj4mc-Oe8QD8obGMOxiQEY04XgO8aFEay5gfEFx4BaZoushaw5XcaX&ln=eng |
Conference
Conference | The 39th Euro-Asia Management Studies Association (EAMSA) Annual Conference |
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Country/Territory | Sweden |
City | Stockholm |
Period | 22/11/23 → 25/11/23 |
Internet address |
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Palgrave Macmillan/ABM Best Paper Award
Song, Ji-Won (Recipient), 25 Nov 2023
Prize: Prize (including medals and awards)