Economic cultural influence : effect on headquater - subsidiary management Slovenia and three longstanding EU countries

This study systematically investigates two dimensions through which economic culture can be measured and compared between four EU countries: Slovenia, Germany, Austria and Denmark, and projects their respective impacts onto the management of an international Headquarter - subsidiary relationship. The results confirm that there exists considerable differences in economic cultures between the four countries and that the differences have a direct impact on international management. Most notably, a strong positive correlation was found between the highly subordinate driven cultures of Denmark and Austria to have a bias towards two-way knowledge flows. Mixed results were found on capitalistic driven cultures impact on control mechanisms and use of motivational factors.