The impact of operational structure, lateral integrative mechanisms and control mechanisms on intra-MNE knowledge transfer

This study develops and tests a comprehensive framework aimed at explaining outbound knowledge transfer at subsidiary level in multinational enterprises (MNEs). Three groups of influencing factors are examined; the operational structure surrounding the subsidiary, lateral integrative mechanisms and control mechanisms. Results indicate that the operational structure, knowledge sharing incentives, and subsidiary socialization, have a positive influence on outbound knowledge transfer. Further, permanent teams as lateral integrative mechanism negatively influence knowledge transfer, while the use of liaison mechanisms and temporary teams have a positive influence. Hypotheses are tested using data on 74 subsidiaries.