The discussion that follows responds to Haugland's (forthcoming) questions regarding the justification for using the I-R framework, the appropriateness of using the framework's implied taxonomy as the basis for formulating hypotheses and conducting empirical tests of differentiated fit, and the usefulness of the implications thereby derived. This response also discusses the applicability of the alternative structural model proposed by Haugland from a theoretical and empirical point of view. The discussion shows that the fit approach by Lin and Hsieh (forthcoming) may better explain subsidiary strategies and management than Haugland's model does. This response demonstrates the appropriateness and extends the applicability of the I-R framework. (C) 2009 Elsevier Inc. All rights reserved.
