This study provides some important insights on identifying the underlying characteristics of HRM practices that are likely to be adapted to the local cultural and institutional milieu by subsidiaries of multinational enterprises (MNEs). Further insights are provided on the distinctive characteristics of HRM practices pursued by local firms that are more likely to converge to the practices pursued by subsidiaries of MNEs. Our findings support the idea that HRM practices that are easy to diffuse, control and manage, and reflect a core organizational value will not be adapted to the local context. Our results provide evidence of the emergence of an established set of global best practices in MNEs. We also identify some instances where MNEs are more likely to adapt their HRM practices to the local context. We posit that this is more likely with regard to HRM practices that are difficult to diffuse, control and manage, and require sensitivity to local institutional pressures.
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