ABSTRACT

In the previous chapter we outlined the importance of staffing as a concern for management in MNCs and introduced the concept of staffing in an international context. In this chapter we will: further develop the context for our later discussions on staffing by considering the various orientations that multinational firms’ headquarters can have toward subsidiary operations; consider the implications of various options with regard to staffing on the operation of the MNC; attempt to elaborate on these early studies and develop a more nuanced understanding of staffing issues, where the limits of Perlmutter’s model will be discussed and studies which propose a more differentiated approach to staffing will be considered; examine models which examine the factors influencing the choice between employees of different nationalities within the MNC. We will focus in particular on the impact of country of origin on these decisions and attempt to develop a more nuanced understanding of the factors impacting on international staffing decisions in MNCs.