Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 1 of 1
Full-Text Articles in Business
Tapping The Power Of Local Knowledge: A Local-Global Interactive Perspective, Shenxue Li, Mark Easterby-Smith, Majorie A. Lyles, Timothy Adrian Robert Clark
Tapping The Power Of Local Knowledge: A Local-Global Interactive Perspective, Shenxue Li, Mark Easterby-Smith, Majorie A. Lyles, Timothy Adrian Robert Clark
Research Collection Lee Kong Chian School Of Business
Existing theories of international business and strategy do not fully explain how local knowledge disadvantage faced by foreign investors can be mitigated. We conducted an in-depth qualitative study into four MNCs to investigate the micro-processes of how they generated value from their dispersed sources of local knowledge in China. The results suggest an interactive model: that MNCs employed management processes encompassing three strategically interconnected efforts—global knowledge penetration, local-global knowledge blending, and local-global knowledge integration. The model highlights the interplay between global and local knowledge and challenges extant research that solely focuses on the transfer of either home-based or local knowledge.