SQL Server Merge from local to linked server error

I am trying to merge records from my local database to remote database with insert and update but I'm getting : Invalid object name [localdatabase].dbo.MASTER_CORPORATECOMPANY*** error.

EXEC('MERGE INTO [linkserver].[remotedatabase].dbo.DesignItem AS D
USING [localdatabase].dbo.DesignItem AS S
ON D.Id = S.Id
WHEN MATCHED THEN
UPDATE SET
D.ItemName = S.ItemName,
D.ItemType = S.ItemType,
D.Color = S.Color,
D.CreationDate = S.CreationDate
WHEN NOT MATCHED THEN
INSERT (ItemName, ItemType, Color,CreationDate)
VALUES (S.ItemName, S.ItemType, S.Color, S.CreationDate);') AT [linkserver]