Management for Success in the
Global Marketplace
Dr. Kendall Roth, J.
Willis Cantey Chair for International Business and Economics and chair of the Sonoco International
Business Department, and
Dr. Tatiana Kostova, associate professor of international
business and Moore research fellow at the Moore School of Business, are collaborating on a series
of research projects that examine critical issues of management of multinational corporations
(MNCs). Their research can inform international managers on how to leverage organizational
competencies and achieve competitiveness on a global basis.
Kostova’s and Roth’s most-cited research is the study of transfer of organizational
practices from MNC corporate headquarters to their foreign subsidiaries. They find that transfer
success is influenced by the institutional environment of the host country, including its
regulations, social knowledge, and culture, as well as the institutional differences between the
home and host countries. Their research further shows that such institutional barriers can be
overcome by building quality relationships between MNC headquarters and its subsidiaries. Companies
in which subsidiary managers are committed to, identify with, and trust the corporate office have a
much more positive attitude to adopting practices and sharing knowledge across units.
A related stream of research is the study of social capital in MNCs with a focus on the
quality of the relationships between the different units of multinationals. Kostova and Roth have
developed models of social capital formation explaining the ways in which MNCs can facilitate
building mutual trust, commitment, and reciprocity. They have argued that social capital and
networks are crucial for the effective management of complex organizations such as MNCs, especially
for knowledge-related tasks like knowledge sharing and global research and development initiatives.
The research of professors Roth and Kostova has been widely recognized. It appears in the
top management and international business journals in the world, including
Academy of Management Review and
Academy of Management Journal. They have both served or
are serving as reviewers, editors, and members of the editorial review boards of a number of
leading academic journals and as officers in professional academic associations.