Cultural Translation of Corporate Values

Conveying corporate values from headquarters to foreign subsidiaries across the world poses a problem for multinational companies. Some research claims that cultural differences make such transference difficult, especially if there are major cultural disparities between the country of origin and the country in which the subsidiary is located (Kostova & Roth, 2002). However, some empirical research shows that cultural differences are not necessarily a major obstacle (Brannen, 2004; d’Iribarne, 2012 ; Gertsen & Zølner, Chapter 9 in this volume). Some researchers claim that reinterpreting the values of a parent company in a different cultural context is possible (Brannen, 2004). However, the modalities of reinterpretation raise some questions. To what extent is this reinterpretation possible? How does it work when current practices in a country are contrary to the values of the parent company? In that case, should corporate culture prevail over the national culture in a subsidiary?