External and Inter-organizational Networking as Facilitators of Innovation Generation in an MNC

This paper presents an overview of the previous studies on organizational innovation in general and facilitators of organizational innovation generation in particular. Based on Ghoshal and Bartlett's (1990) definition of an MNC and applying related theories and approaches, it is claimed that it is both external and inter-organizational networking that facilitate innovation generation in an MNC. A model is presented which describes the relationships between external and inter-organizational networking and innovation generation in an MNC. At the same time an analysis of the characteristics of external and inter-organizational networking in an MNC is provided. In the end, the implications of the model for theory building, empirical testing, and business practices are discussed.