Headquarters–subsidiary exchanges and relationship quality: Moderating roles of subsidiary establishment mode and managers’ identity with the subsidiary

Jiang, Fuming, Liu, Li Xian, and Li, Jizhong (2025) Headquarters–subsidiary exchanges and relationship quality: Moderating roles of subsidiary establishment mode and managers’ identity with the subsidiary. Journal of Business Research, 200. 115622.

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Abstract

Drawing on social exchange and social identity theories, we examine how the identity orientations of subsidiaries and subsidiary managers interact with interorganizational and interpersonal exchanges between headquarters and subsidiary (HQ–Sub) in shaping the quality of HQ—Sub relationships. Specifically, we argue that organizational and managerial exchanges between headquarters and subsidiaries have a positive impact on HQ–Sub relationship quality. The effect of HQ–Sub organizational exchange on HQ–Sub relationship quality is moderated by the subsidiary’s establishment mode, while the effect of HQ–Sub managerial exchange on HQ–Sub relationship quality is moderated by subsidiary managers’ identity with the subsidiary. Our arguments are empirically tested with survey data collected from senior managers of HQ–Sub dyads in 312 Chinese multinational enterprises. Theoretical contributions and practical implications are discussed in the paper.

Item ID: 86467
Item Type: Article (Research - C1)
ISSN: 1873-7978
Keywords: Headquarters–subsidiary relationship quality, Organizational exchange, Managerial exchange, Subsidiary entry mode, Managerial identity, Chinese multinational enterprises
Copyright Information: © 2025 The Author(s). Published by Elsevier Inc. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/).
Date Deposited: 31 Jul 2025 23:38
FoR Codes: 35 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 3503 Business systems in context > 350301 Business analytics @ 100%
SEO Codes: 28 EXPANDING KNOWLEDGE > 2801 Expanding knowledge > 280106 Expanding knowledge in commerce, management, tourism and services @ 100%
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