Knowledge is the organizations main strategic asset. The headquarters creation and stock of knowledge represent a source of competitive advantage on the markets where the company is competing. The competition of the subsidiaries in overseas is based on the replication of the parent company s operative process. There are, however, difficulties in the knowledge transfer to a Least Developed Country. The lack of business expertise and the weak local absorptive capacity cause the process of knowledge transfer to slow down and become more expensive. The success in the process of knowledge transfer...