A Case Study on The Impact of Parent Company’s Leadership Style on Employee Work Performance – The Perception of Finnish Host Country Nationals Working in a German Company

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School of Business | Bachelor's thesis
Degree programme
(Mikkeli) Bachelor’s Program in International Business
Objectives The main objective of this study was through a case study to explore the impact of a culturally distinct, German parent company and its leadership style on the work performance of Finnish host country nationals. Additionally, this thesis aimed to determine which factors, aside from the parent company, influence the individual work performance of the subsidiary employees. Summary The research surveyed Finnish subsidiary employees working in office positions in Organization X. The aim was to test four distinct hypotheses and also to analyze three open-ended questions to gain a more comprehensive understanding about the topic. The hypotheses were created and based on the literature review which established a scientific background and a conceptual framework. Conclusions The primary research found that work experience, workplace engagement, and fair compensation significantly correlated with individual work performance. This suggests that they may be important factors to consider if organizations wish to maximize the performance of their employees. The research also showed that the employees who considered the parent company’s German managers’ influence on their working as significant, scored lower on the Individual Work Performance-framework compared to the employees who responded that there is no influence. These findings highlight how important it is that the relationship between headquarters and foreign subsidiaries is good.
Thesis advisor
Black, Kate
individual work performance, host country nationals, Finland, Germany, parent company, case study