The effect of experiential learning on subsidiary knowledge and performance

Waheed Akbar Bhatti*, Jorma Larimo, Dafnis N. Coudounaris

*Corresponding author for this work

Research output: Contribution to journalJournal articleResearchpeer-review

18 Citations (Scopus)


The importance of knowledge in international business is clear; however, little evidence exists on how multinational subsidiaries learn and acquire knowledge in their host country networks. This research presents a conceptual model of experiential learning building on the resource-based view and internationalization theory. The novelty of this research lies in focusing on the subsidiary manager as the learning agent. The study concentrates on technological and market knowledge learning from host country networks. The research contributes to existing literature by providing an experiential learning model (ELM) on subsidiary managers' experiential learning in host country networks, and that experiential learning's influence on subsidiary knowledge and subsidiary's performance. The manager's experiential learning adds to the subsidiary's knowledge, helping improve trust in network relationships and leading to identification of opportunities. The subsidiary, through experiential learning flow, internalizes the knowledge that helps fill the subsidiary's knowledge gap and influences that subsidiary's performance.

Original languageEnglish
JournalJournal of Business Research
Issue number5
Pages (from-to)1567-1571
Number of pages5
Publication statusPublished - 1 May 2016

Bibliographical note

Publisher Copyright:
© 2015 Elsevier Inc.

Copyright 2016 Elsevier B.V., All rights reserved.


  • Experiential learning
  • Host country networks
  • Learning agent
  • Market knowledge
  • Subsidiary performance
  • Technological knowledge


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