The Processes of New Product Development Recentralization Towards a Transnational Emphasis in Multinational Corporations

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Abstract

Studies on R&D internationalization have identified the decentralization-recentralization pattern of many multinational corporations (MNCs). Studies have also indicated that MNCs tend to pursue a transnational emphasis during R&D recentralization. This research focuses on recentralization of new product development (NPD) in MNCs and aims to reveal different processes of it towards a transnational emphasis. Through a qualitative case study of four MNCs, the NPD recentralization process was explored in two important dimensions – power centralization and pluralistic input. Four process variants were discovered, showing different approaches to power centralization and pluralistic input. The processes of recentralization are novel to the area of R&D internationalization. This study also advances our understanding of R&D recentralization with a focus on NPD fulfilling market demand, which has not been well addressed in prior studies. In addition, this study generates insights for transnational management.
Original languageEnglish
Pages (from-to)19-36
JournalJournal of International Management
Volume25
Issue number1
Early online date11 Jun 2018
DOIs
Publication statusPublished - 01 Mar 2019

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