Effects Of Social Capital On MNC Internal Knowledge Transfer

With the accelerated pace of economic globalization and China’s booming market, moreand more multinational companies began to settle in China. During transnational businessprocess, the existing knowledge, especially tacit knowledge transfer has become as importantto ensure the competitiveness of overseas subsidiaries. The expatriate of multinationalcompanies have gradually become the parent company’s strategic knowledge transfer vectors.How to ensure a more successful implementation of the transfer of knowledge throughexpatriate staff in order to achieve a successful expatriation has been common concern oftheoretical and academic sectors at home and abroad.In this context, this article aimed to build social capital expatriate effect on the impact ofindividual knowledge transfer model based on social capital theory focusing on expatriates’behavior of knowledge transfer in the subsidiary. This model mainly analysis the influencemechanisms of three levels of social capital on knowledge transfer. Model elaborated by thestructural dimension of social capital, cognitive dimension, a dimension constitutes arelationship, they have a direct impact on individual knowledge transfer effect; and there aredifferences in the mechanism of different dimensions.Based on the theoretical model, we selected the132multinational companies in China, asubsidiary of empirical research to verify the validity of the model, has been the frequency ofinteraction, shared vision, trust has a significant impact on each individual multinationalinternal knowledge transfer effect, and the impact of trust on knowledge transfer maximumeffect; assumptions about the effect of social capital on the impact of knowledge transfermechanisms have also been verified, the effect of the impact of trust on the transfer ofknowledge plays an intermediary role in the part of the shared vision and interactionfrequency. After that, this paper has selected a multinational in-depth interviews, knowledgeof metastasis multinationals in China and Chinese expatriates internal staff to further validatethe three dimensions of social capital for multinational internal expatriate employees in Chinato China significantly affect knowledge transfer effectiveness.Finally, the article is based on questionnaire data analysis and interviews conclusion,made recommendations on the corporate level as well as to improve the management ofindividual multinational internal knowledge transfer effects at the individual level to helpmultinational companies make better use of "expatriate" This strategy tools for knowledgetransfer, knowledge transfer to enhance the effect of expatriates in China subsidiaries.