Technology and production strategies of multinational enterprise (MNE) subsidiaries in Europe

This paper analyses the degree of technology decentralization in four European countries, i.e. Belgium, Greece, Portugal and United Kingdom using a sample of 145 MNE subsidiaries. The research focuses in particular on the sources of technology used by subsidiaries and on the characteristics and roles of overseas Research and Development (R&D) laboratories. The relationship among the various sources of technology and the production roles of subsidiaries is tested using the OLS technique. Results underline the growing importance of decentralized R&D in the strategic re-orientation of MNE subsidiaries roles.