Seminars & webinars
28 October, 2010

Organizational Complexity of Multinational Groups and Productivity in the European Union

Where: Milan

Fondazione Eni Enrico Mattei
Corso Magenta 63
20123 Milan

How to reach: Google map
Event's Timetable:

h. 12.00 Seminar
h. 13.00 Light Lunch  


Seminars Office,


Armando Rungi, Fondazione Eni Enrico Mattei and Bocconi University


We explore one dimension of global value chains: the complexity of organization of international production within multinational business groups as represented by the worldwide control chains. Exploiting a unique dataset that matches affiliates with parent companies, we first propose a measure of entropy for the control chain borrowed by hierarchical graph theory, then linking it to the performance of affiliates measured by productivity. We restrict our focus on a sample of some 22,211 firms located in the New Member States of European Union and controlled by ultimate parent companies located in EU-15, confronting them with individually owned foreign businesses. We find that simple affiliation to a multinational business group implies a different firm performance, although the effect becomes non monotonous for relatively higher levels of complexity. Among the benefits of affiliation we find in particular that financial constraints are softer whatever the size of the multinational group.

Download file
Download PDF file
Download file
Download PDF file
Organizational Complexity of Multinational Groups and Productivity in the European Union

FEEM Newsletter & Update

Subscribe to stay connected.

Your personal data will be processed by Fondazione Eni Enrico Mattei. – data Controller – with the aim of emailing the FEEM newsletter & Update. The use of Your email address is necessary for the implementation of the newsletter service. You are invited to read the Privacy Policy in order to obtain additional information about the protection of Your rights.

This Website uses technical cookies and cookie analytics, as well as “third party” profiling cookies.
If you close this banner or you decide to continue navigating on this Website, you express consent to the use of cookies. If you need additional information or you wish to express selective choices on the use of cookies, please refer to the   Cookie PolicyI agree