Cross-border IT-support for the Management of International Subsidiary Operations: The Diffusion of Innovations-based Conceptual Model

Abstract

Rapid and effective internationalization has increasingly become important for high-tech companies. Establishing a foreign subsidiary can facilitate effective internationalization for a high-tech company. This study investigates how IT can provide cross-border support to manage international subsidiary operations and makes important theoretical contributions. The research results exhibit how companies can use cross-border IT-support to effectively share and utilize information from the target country environment for international subsidiary operations. This paper also introduces the diffusion of innovations-based conceptual model which deals with various factors that should be taken into account while operating a foreign subsidiary through IT support. The findings are useful for both practice and further research.