Micro-strategizing within the Subsidiaries of MNCs: From Institutionalized Routines to Dynamic Capabilities Development

Abstract : This paper explores the mechanisms by which strategizing practices emerge within organizations and institutionalize to become sustainable organizational capabilities. An empirical study of strategizing activities within two subsidiaries of a multinational corporation (MNC) suggests that the dynamics between the corporate office and the subsidiaries play a key role in the dynamization of local strategizing capabilities. The configuration of this local/global relationship from an organizational, institutional, and cultural perspectives influence both the creation and sustainability of local dynamic capabilities overtime