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Assigned versus assumed: Towards a contemporary,detailed understanding of subsidiary autonomy
Authors:Andrew Cavanagh  Susan Freeman  Paul Kalfadellis  Kendall Herbert
Institution:1. Department of Management, Monash University, Caulfield Campus, Caulfield East 3145, Victoria, Australia;2. University of South Australia Business School, University of South Australia, City West Campus, Adelaide 5001, South Australia, Australia;3. Graduate School of Business and Law, RMIT University, Melbourne 3000, Victoria, Australia
Abstract:This paper critically documents the rise of autonomy in subsidiary management literature, and develops an agenda for future research in this key area. Integrating and updating the seminal works of Paterson and Brock (2002) and Young and Tavares (2004), the paper begins with a critical review of subsidiary autonomy within the streams of subsidiary management literature. This leads to an assessment of the key contemporary issues requiring further investigation. These issues center around two key types of autonomy: assigned and assumed. We argue these types represent a more accurate, in-depth conceptualization of subsidiary autonomy, and also have significant implications for key related topics, including subsidiary development. This is depicted in an integrative model that draws upon agency theory, the network model of the MNE, the decision process perspective and the bundling model in presenting a revised view of subsidiary autonomy, and offers a basis for further research within the field.
Keywords:Subsidiary autonomy  Literature review  Agency theory  Bundling model  Decision process perspective  Network model
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