Abstract

This study presents three different business models (continuous, repetitious, and unique) identified in international professional service firms that pursue a transnational strategy. These business models have varying opportunities for global integration. We extend the integration–responsiveness framework by offering a framework for analyzing how to balance global integration with local responsiveness when pursuing a transnational strategy. By identifying the content, structure, and governance transactions of the three business models, we can determine when to pursue headquarters-initiated global integration and when to choose strategies that ensure local responsiveness and subsidiary competitiveness in local markets.

Breunig, Karl Joachim, Ragnhild Kvålshaugen and Katja Maria Hydle. 2014. “Knowing your boundaries: integration opportunities in international professional service firms.” Journal of World Business, 49(4): 502-511

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