Headquarters-subsidiaries relationships of French multinationals in emerging markets

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.