ABSTRACT
Informal and subtle mechanisms are lateral relations between subsidiaries and socialization to build an organizational culture and shared values. Output control is based on procedures for resources used and expected objectives. Behavioural control is seen through personal supervision of employees by upper management. Cultural control is when a system drives the whole group to appropriate the organizational culture. The mode of entry into a country is a strategic decision. The financial crisis of 2009 pushed companies to see Asian markets as strategic to their growth dynamic. Formal control was thus intensified as it is favourable to exchanges. The attractiveness of China for multinational companies multinational companies (MNC) certainly led to efforts to attain both efficiency and adaptability. For MNCs to become more competitive, best practices and innovations need to be shared. The importance of knowledge and its flow for MNC are highlighted in many articles explaining how coordination and control support and facilitate knowledge transfer from one country to another.
