External factors influence on HRM localisation in the developing country: a conceptual analysis of Chinese MNCs in Bangladesh

International human resource management studies pointed out that emerging economy multinational companies tend to focus on HRM localisation in foreign subsidiaries for better operational output. MNCs’ HRM localisation intention and implementation varies due to several reasons where radical differences exist between traditional MNCs and emerging economy MNCs, particularly in internationalisation strategy. An MNC’s localisation strategy in a developed country is different from a developing country. Within an institutional theory framework, with a specific focus on HRM localisation of Chinese MNCs, we conceptually analysed the external factors associated with HRM localisation and how the external factors influence the intention implementation gap of HRM localisation of Chinese subsidiaries in Bangladesh. The paper concludes with a managerial implication and schema for future research.