multinational

Examples of multinational in the following topics:

• Multinational Firms

  • A multinational corporation (MNC) or multinational enterprise (MNE) is a corporation registered in more than one country or has operations in more than one country.
  • The first multinational corporation was the Dutch East India Company, founded March 20, 1602.
  • Multinational corporations are important factors in the processes of globalization.
  • Many economists argue that in countries with comparatively low labor costs and weak environmental and social protection, multinationals actually bring about a "race to the top."
  • While multinationals will see a low tax burden or low labor costs as an element of comparative advantage, MNC profits are tied to operational efficiency, which includes a high degree of standardization.

• Corporations and Corporate Power

  • Coca-Cola is an example of a multinational corporation, with interests and markets all around the world.
  • A multinational corporation (MNC) is a corporation that either manages production or delivers services in more than one country .
  • Some multinational corporations are very large, with revenues that exceed some nation's national revenues.
  • Multinational corporations can have a powerful influence on both local economies and the world economy.
  • Multinational corporations are important factors in the processes of globalization .

• Multinational Corporations

  • A multinational corporation (MNC) is a business enterprise that manages production or delivers services in more than one country.
  • A multinational corporation (MNC) or multinational enterprise (MNE) is a corporate enterprise that manages production or delivers services in more than one country.
  • Multinational corporations can have a powerful influence in local economies, and even the world economy.
  • These patents often allow multinational corporations to exercise a monopoly in the local economy, preventing local enterprises from developing.
  • Because of their size, multinational corporations can also have a significant impact on government policy through the threat of market withdrawal.

• Joint ventures and direct investment

  • Multinational organizations may choose to engage in full-scale production and marketing abroad.
  • By establishing overseas subsidiaries, a multinational organization can compete more aggressively because it is "in" the marketplace.

• Culture-Specific Nuances of Human Resources Management

  • The localization of HRM strategies and materials allows multinationals to achieve synergy across various geographic and cultural contexts.
  • This question is absolutely critical to international success, and tends to be precisely where multinational companies who don't succeed trip up.
  • While historically expatriate hiring was quite common, and though it is still a practice often executed today, more successful multinationals are becoming more culturally aware and localized with greater degrees of success.
  • A few guidelines to keep in mind for multinationals include the following:
  • If hiring locally eventually becomes a glass ceiling environment, a multinational is likely to substantially reduce the advantages they would have otherwise gained from incorporating cultural variance.

• Expanding into Foreign Countries

  • A multinational corporation is a company incorporates itself in one country and operates in one or more foreign countries.For example, British Petroleum, General Electric, Toshiba, and Wal-Mart are multinational corporations with extensive business activities that span across the globe.Sometimes financial analysts use the term, multinational enterprise because a government could form a joint venture with a corporation, and the definition of an enterprise implies a broader meaning.
  • A multinational enterprise's goal is to earn profits.Therefore, they enter the international markets and foreign countries in the pursuit of profits.Every international enterprise has a choice.It could export to another country or relocate production outside their home country.For instance, many U.S. corporations relocated manufacturing outside the United States, althoughthe U.S. suffers from a high unemployment rate since the beginning of the Great Recession.
  • Thus, companies can develop new products and services, and compete with other companies.Furthermore, a multinational enterprise could tailor its goods and services toaccommodate different cultures and tastes.Finally, multinational corporations need access to capital because international activities require financing.Hence, a country must allow the free movement of money, and corporations are free to issue more stock, bonds, or receive bank loans without government interference.Consequently, a firm has twelve reasons to relocate production to another country, rather than to export.
  • Multinational enterprises are more complicated than businesses that remain in their home country.First, the businesses transfer resources, such as machines, equipment, and labor between different countries.Next, they ship products and services to other countries.Consequently, companies need excellent management in logistics, and specialists who monitors a country's different laws and regulations.Second, international enterprises are exposed to exchange rate risks and credit risks.Thus, a company's profit can quickly change due to fluctuations in currency exchange rates, or a company cannot get credit to finance operations in a specific country.Finally, enterprises have other exposures, such as country risk.For example, when Hugo Chavez became president of Venezuela, his government began nationalizing companies.Any international enterprise in Venezuela can experience the seizure of its assetswithout compensation.

• Tariffs, expropriation, and the technological environment

  • All multinational firms face the risk of expropriation.
  • Because of the risk of expropriation, multinational firms are at the mercy of foreign governments, which are sometimes unstable, and which can change the laws they enforce at any point in time to meet their needs.

• Considerations when Managing a Global Corporation

  • As multinational corporations grow in both size and quantity, the inherent managerial implications of a fully globalized economy demonstrate higher levels of relevance and importance within global corporations.
  • Through identifying the necessary global skill set and effectively implementing these global managers within the business structure, multinational corporations can attain competitive advantage through cross-cultural knowledge.
  • The figure (see ) highlights the remarkable growth rates in developing economies such as China, but fails to note the human rights and legal complications for multinationals in approaching these markets in an ethical manner.
  • With theories, such as globality underlining the trajectory of global inter-dependency, this opportunity is a necessary consideration to any multinational corporation hoping to remain a competitor in a fully globalized economy.

• Summary and references

  • Multinational Finance provides a concise treatment of the investment and financial decisions facing the multinational corporation.
  • The text provides a framework for evaluating the opportunities, costs and risks of multinational operations so readers can see beyond the algebra and terminology to general principles.
  • It also has unique chapters on multinational treasury management, options on real assets, corporate governance, asset pricing, and international portfolio management.

• Commercialization

  • Global roll outs are generally only undertaken by multinational conglomerates, since they have the necessary size and make use of international distribution systems (e.g., Unilever, Procter & Gamble).
  • Other multinationals use the "lead-country" strategy: introducing the new product in one country/region at a time.