Title: Multinational enterprise subsidiaries in local clusters: embeddedness or isolation?

Authors: José-Vicente Tomás-Miquel; Manuel Expósito-Langa; José-Antonio Belso-Martínez; Francisco Mas-Verdú

Addresses: Business Administration Department, Universitat Politècnica de València, Plaza Ferrándiz y Carbonell 2, 03801 Alcoy (Alicante), Spain ' Business Administration Department, Universitat Politècnica de València, Plaza Ferrándiz y Carbonell 2, 03801 Alcoy (Alicante), Spain ' Department of Economics and Finance, Universidad Miguel Hernández, Avenida de la Universidad s/n, 03202 Elche (Alicante), Spain ' Economics and Social Sciences Department, Universitat Politècnica de València, Camino de Vera s/n. 46022 Valencia, Spain

Abstract: Despite the spread of globalisation, industrial clusters remain vibrant spaces for the generation of knowledge and innovation. This has attracted Multi-National Enterprises (MNE) to collocate their subsidiaries in specific geographic spaces and clusters in order to exploit the local resources in the territory. This paper investigates the case of the Valencian Toy Valley Cluster in Spain to demonstrate how MNE subsidiaries are integrated in clusters. The results confirm that MNE subsidiaries develop their networking practices within a limit portfolio of local partners, configuring a club of skilled partners, and integrated mainly by specialised suppliers. This research addresses the research questions using two methods of investigation from international management: social network analysis and non-parametric tests.

Keywords: multinational enterprises; industrial clusters; social network analysis.

DOI: 10.1504/EJIM.2018.094456

European Journal of International Management, 2018 Vol.12 No.5/6, pp.624 - 641

Received: 31 Jul 2017
Accepted: 27 Nov 2017

Published online: 03 Sep 2018 *

Full-text access for editors Full-text access for subscribers Purchase this article Comment on this article