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This analysis explores how multiple subsidiaries enhance MNC performance in India, suggesting advantages and influencing factors.
Which option is more advantageous for a multinational corporation (MNC) in India: operating a single subsidiary or multiple subsidiaries? India’s evolving regulations and regional differences in legal enforcement, institutional effectiveness, suppliers, and buyers, along with the MNC’s diverse operations across various industries and markets, suggest that establishing multiple subsidiaries may be beneficial for performance. To better understand MNCs with multiple subsidiaries operating in India from a managerial perspective, we examine the following questions: What are the advantages of having multiple subsidiaries in India? What factors influence the advantages of having multiple subsidiaries in India?
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Garg et al. (2026) studied this question.
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