multinational
(adjective)
Operating, or having subsidiary companies in multiple countries (especially more than two)
Examples of multinational in the following topics:
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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.
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Political and Regulatory Environment
- When a nation is politically unstable, multinational firms can still conduct business profitably.
- 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.
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Political Environment
- Although multinational firms can still conduct business profitably, political instability within countries negatively affects marketing strategies.
- Because of the risk of expropriation, multinational firms are at the mercy of foreign governments, which are sometimes unstable and can change the laws they enforce at any point to meet their needs.
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Global Marketing and the Internet
- The costs of traditional media (television, radio, print and billboard advertising) limit this kind of reach to multinational markets.
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Global Marketing Standardization
- In contrast to multinational companies, standardized (global) corporations view the world and its major regions as a single entity rather than a collection of national markets.
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Global Marketing in the U.S.
- Thus, Toyota Motors started out as a domestic marketer, eventually exported its cars to a few regional markets, grew to become a multinational marketer, and today is a true global marketer, building manufacturing plants in the foreign country as well as hiring local labor, using local ad agencies, and complying to that country's cultural mores.
- Multinational organizations may choose to engage in full-scale production and marketing abroad by directly investing in wholly-owned subsidiaries.
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Trade and Globalization
- While international trade has been present throughout much of history, its economic, social, and political importance have increased in recent centuries, mainly because of industrialization, advanced transportation, globalization, multinational corporations, and outsourcing.
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The Global Economy
- The four "P's" of marketing–product, price, placement, and promotion–are affected as a domestic or multinational company adjusts its strategy to become a global company.
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Transfer Pricing
- This has led to the rise of transfer pricing regulations as governments seek to stem the flow of taxation revenue overseas, making the issue one of great importance for multinational corporations.
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Are Global Corporations Beneficial?
- A global company is generally referred to as a multinational corporation (MNC).