You are global subsidiary branch manager of a U.S.-based MNE, Leather Extraordinaire, which produces leather goods. The Latin American division exports largest volume of goods due to high quality of leather and cheap labor, of which majority is produced in Argentina. Argentine subsidiary is proposing to Headquarters to be given mandate to manufacture all of the leather clothing goods exported to Canada and U.S. and be termed "Center of Distinction" for leather clothing.

What factors will you consider to find out if Argentine subsidiary is acting on good-faith efforts in best interest of MNE, or if it is promoting its own self-interest, like power, prestige and jobs?

How will you reply to Argentine subsidiary?