Re-Examining the Host-Country Effect to Include Hybrid Market Economies: Is it Sufficient to Consider Host- and Home-Country, and What Role Do the Subsidiary Size and Incorporation Type Play?
24 Pages Posted: 19 Nov 2012 Last revised: 30 Nov 2013
Date Written: November 18, 2012
Two so far unexplored issues regarding host-country effects are addressed that contribute to a better understanding of findings for hybrid host-market economies such as Switzerland. Host-country effects are differentiated by practices belonging rather to IR and education & training as per the varieties of capitalism approach (1). Then it is investigated to what extent foreign subsidiaries’ overall uptake of host-country employment relations is determined by the subsidiary incorporation type and size for IR and education & training related practices (2). Analysing US-subsidiaries in Switzerland and in contrast Germany and the UK, mostly support for the propositions distinguishing between IR and education & training host-country effects are found.
Keywords: host-country effect, IR, education & training, varieties of capitalism
JEL Classification: M12, F23
Suggested Citation: Suggested Citation