Interactions of subnational institutions: the effects on foreign subsidiary ownership structure

Based on the institution-based view, increasing number of research examine how institutions could shape firm behaviors and performance in various contexts. However, an implicit assumption of previous studies is that different institutional aspects exert impacts separately and independently. This study departs from prior research by arguing that distinct institutional dimensions are interrelated with each other in a way that the influence of one institutional dimension is contingent on the existence(or absence) of other institutional dimensions. Specifically, we focus on how different institutional dimensions in host country interactively shape multinational enterprises (MNE) subsidiary ownership structures.