Contracts within multinational firms – UROP Spring Symposium 2024

Contracts within multinational firms

James Greenfield

Pronouns: He/Him

Research Mentor(s): Yue Zhou
Research Mentor School/College/Department: Strategy / Business
Program:
Authors: Catherine Magelssen, Yue Maggie Zhou
Session: Session 6: 3:40 pm – 4:30 pm
Poster: 78

Abstract

In the world of business academia, there haven’t been very many studies focused on contract strategies between multinational subsidiaries. These multinational subsidiaries are businesses that have been bought out by a competitor in the industry that exists across various countries. Contracts are written in order to outline how these businesses that compete with their subsidiaries will behave going forward. There are all kinds of specific things that go into these contracts, and the contracting strategy is how firms go about putting agreements in the contract in order to manage a favorable relationship with their subsidiary. We are interested in looking at what contracting strategies are the most prominent. In order to look at this sphere of interest in more depth, this study is being conducted to expand the knowledge business academics understand about this specific case of contracting strategy. This study uses the semiconductor industry as a lens into how firms use contracts because this is an industry where there are lots of public information available about the contracts as well as it is an industry where subsidiary relations are common. Because there’s a lack of knowledge about this type of business relations, this study is inspired by similar studies on contracting that didn’t focus on how contracting strategies are specific to firms with their subsidiaries.

Interdisciplinary, Social Sciences

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