Research On MNCs' Network Organizations And Knowledge Flow Mechanisms

MNCs' network organization structure and knowledge flows have become important resources of MNCs gaining competition advantages. Through the analysis of MNCs' network organization, this study aims to establish a systematic framework of MNCs' internal and external network knowledge flows, and network organizations provide organizational superiority for the MNCs' cross-border integration of the knowledge . MNCs' network organizations are established for their global-developing strategic objectives in R&D, production or marketing fields. This network is not only a simple corporate internal network between parent company and subsidiaries, as well as between subsidiaries and subsidiaries, but also an external network by subsidiary embedding in local commercial environment.In the network economy era, the knowledge innovation is a major value-added source, the maximum benefit of MNCs' internal network is to bring learning effects between subsidiaries, and excellent configuration of knowledge through mutual learning ,then brings economies of scale and scope; And the MNCs' external network can compensate for the limited resources and some weakly time-nurtured economic resources within the MNCs. The external commercial networks which the subsidiaries embed in are essential to decision- making. They not only affect their available resources stock, information and knowledge, but also to a large extent determine the future controllable resources and profitability. Since MNCs' knowledge innovation rely on the dissemination of knowledge throughout the network, this study, on the one hand, analyses the influence of knowledge flows to MNCs' organizations , and on the other hand, the knowledge flowing also affect MNCs' organizational structure design.The joint development between MNCs' network organization and knowledge flow, and the interaction between overseas subsidiaries' embededness and the local business environment, give important inspirations to our enterprises' learning strategies in the process of internationalization and "going out" strategy options. In...