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The Analysis of Choices of Human Resource Management Model in Multinational Firms—
A Case Study of Five Chinese High & New Technology Firms |
LIN Zhaohong,XUE Xiabin,LI Shijie |
Hainan University, Haikou, China |
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Abstract This study focuses on the model of HRM and the choice’s influencing factors during the transnational operations of Chinese multinational enterprises’ through a case study of five firms. This study shows that the Chinese multinational enterprises’ foreign subsidiaries generally prefer not to choose a single traditional model, instead, they intend to combine an ethnocentrism and polycentrism model, and the degree of mixing varies, the overseas subsidiaries of the same parent company tend to adopt the same model; in the country with similar culture as parent country, it tends more to adopt the same model of HRM of parent company. In addition, GuanXi is also an important influencing factor of the choice of HRM model in addition to experience of overseas business, established time and scale, parent company control, culture and conventions, language, legal environment and level of economic development and so on. No matter in developed country or developing country, Chinese multinational enterprises all advocate the importance to the use of social capital and political capital, although the degree of use varies across countries.
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Received: 12 September 2014
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