MULTINATIONAL LINKAGES DURING TIMES OF ECONOMIC CRISIS VERSUS STABILITY This study looks at the network model of the MNE from the dynamic capability

This study looks at the network model of the MNE from the dynamic capability perspective. This study compares the performance of subsidiaries between economic crisis and stable periods to examine in which environment the multi-country linkages matter the most. We argue and find that, during times of economic crisis, the enhanced flexibility associated with the greater multi-country linkages increases the survival likelihood of subsidiaries. In contrast, such flexibility does not have as much value to foreign subsidiaries operating in economically stable environments.