Hanane Beddi, Ulrike Mayrhofer
Purpose � The purpose of this paper is to examine the role of location in the relationships established between headquarters and foreign subsidiaries.
Design/methodology/approach � The empirical study is based on three in-depth case-studies of French multinationals. The authors conducted 31 interviews with managers from both the headquarters and foreign subsidiaries.
Findings � The findings of the study indicate that headquarters-subsidiaries relationships are shaped by the location of subsidiaries in emerging economies, and more specifically by the cultural, administrative, geographic and economic distance between the headquarters and foreign subsidiaries.
Originality/value � The analysis focuses on new challenges faced by multinational enterprises (MNEs) from mature economies, considering the growing importance of subsidiaries located in emerging countries.
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