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Fighting the "Headquarters Knows Best Syndrome" by Jean-Louis Barsoux, Julian Birkinshaw, Cyril Bouquet

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Fighting the “Headquarters Knows Best” Syndrome

When subsidiary managers at global organizations are ignored or constrained by a parochial mindset at headquarters, the whole company can suffer. Here’s how one company set out to change that dynamic.

In 2007, Irdeto B.V., a Netherlands-based developer of security software for digital media providers, was eager to increase its market share in the Asian market. The company had been in China for nearly a decade and boasted a substantial regional office in Beijing. But its market share in China was under attack from Chinese competitors, including China Digital TV, which held a 40% market share compared to Irdeto’s 22%. Despite frequent ...

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