Research On The Autonomy Of Multinational Subsidiary And The Relationship Of Its Knowledge Transfer

With the further development of global economic integration, multinational corporations start to adjust to the thought that counting foreign direct investment as using agency network of overseas subsidiaries, integrating resources by fully taking advantages of cross-regional, accessing the host country knowledge resources and expand its own stock of knowledge, this sort of strategic behavior is aiming at the improvement of enterprise’s strength and matain its competitive advantage. Related research in the field of traditional reverse knowledge transfer are mainly concentrated on the aspects of knowledge diversity in reverse knowledge transfer, reverse the process of knowledge transfer, the reverse channel of knowledge transfer and reverse knowledge transfer effect, etc. By introducing the autonomy of multinational subsidiary, this paper studies how the host country be effected on knowledge transfer to multinational subsidiaries.This paper firstly collates the related literature and research results of multinational subsidiary autonomy and the host country to multinational subsidiary reverse knowledge transfer and puts forward the research hypothesis:the autonomy of multinational subsidiary through its impact on knowledge transfer requirements, the host country and host country subsidiary knowledge relevance, the host country concealment three factors, which affect the host country to multinational subsidiary of knowledge transfer. Then based on the sample data of482multinational subsidiaries in China combined with the theoretical hypothesis of this article, the empirical analysis using structural equation model which concluded as the autonomy of multinational subsidiary and knowledge transfer between the host country to multinational subsidiary were positively related conclusions. Finally, put forward policy suggestions, multinational companies should accredit its overseas subsidiaries appropriate autonomy, incentives, and accordingly pay attention to ability of the overseas subsidiaries of scientific research, to ensure the smooth flow channel and to achieve the aim of obtaining the knowledge from the host country to establish the strategic goal of competitive advantage.