Showing papers on "Multinational corporation published in 1985"
Book•
01 Jan 1985
TL;DR: This article presented a re-evaulation of twenty-seven of the most important studies which were carried out to answer the question: do investments by multinational corporations in less developed countries enhance or hinder economic development in those countries?
Abstract: Do investments by multinational corporations in less developed countries enhance or hinder economic development in those countries? This volume presents a re-evaulation of twenty-seven of the most important studies which were carried out to answer this question. The authors attempt to resolve the disparate findings which show that investment promotes short-run growth but in the long run retards growth. They also present a careful empirical analysis of the intervening political, social, and economic mechanisms through which the effects of investment are transmitted. The volume will clarify much speculation which has taken place about the world-systems perspective and will point the way toward more research which can resolve disputed areas of this theory.
482 citations
TL;DR: In this article, a model of horizontally and vertically integrated firms is developed, and these firms are then embedded in a general equilibrium model of trading countries, and the model predicts trade patterns which are close to observed trade patterns.
Abstract: First, a model of horizontally and vertically integrated firms is developed. These firms are then embedded in a general equilibrium model of trading countries. It is shown how multinational corporations emerge as a result of differences across countries in factor compositions. Intersectoral, intraindustry, and intrafirm trade can coexist, and intrafirm trade takes place in invisibles (headquarter services) and intermediate inputs. It is shown how the various trade components depend on the structure of the world economy. The model predicts trade patterns which are close to observed trade patterns. The importance of multinational corporations in the conduct of foreign trade has been recognized for many years. Nevertheless, there exists no well articulated theory that explains the conditions for their emergence and predicts under these conditions a structure of trade that comes close to observed trade patterns. I have developed in Helpman (1984) a theory which is designed to fill in this gap and it is the purpose of this paper to extend it in order to make it better fit reality. My earlier work builds on the standard theory of monopolistic competition in differentiated products in which every firm produces a single variety. The distinguishing feature of that study is the interpretation of the technology so as to allow for specialized inputs which service plants that are geographically separated from the location of the inputs' employment. In particular, those inputs can be located in one country and service plants located in other countries. Management and product specific RD multinational corporations have often production facilities in several countries (see, for example, U.S. Tariff Commission (1973, Chapter III)). Moreover, in my earlier work all intra-firm trade consisted of trade in the services of the specialized inputs; i.e. in headquarter services, while empirically a large part of intra-firm trade takes place in intermediate inputs (see Buckley and Pearce (1979)). Hence, there is a need to extend the theory in order to take account of these missing features and in order to evaluate their contribution to the explanation of trade patterns. This task is undertaken in the following sections by incorporating the model of the horizontally and vertically integrated firm from Helpman (1983) into the theory of
295 citations
191 citations
01 Sep 1985
TL;DR: The world is characterized by imperfections in the goods and factor markets which act as barriers to the free trade of goods and services and inhibit private international financial investment as discussed by the authors, and neither factor price equalization nor goods price equalisation has been observed.
Abstract: The world is characterized by imperfections in the goods and factor markets which act as barriers to the free trade of goods and services and inhibit private international financial investment. As a result neither factor price equalization nor goods price equalization has been observed. Further, there is a large volume of foreign direct investment and international production by the multinational enterprise (MNE), an activity which cannot be explained readily by conventional trade theory alone.
174 citations
Book•
01 May 1985
113 citations
Book•
01 Jan 1985
TL;DR: In this article, Comparative Approaches Trade Unions Employers and Managers Collective Bargaining The Role of the State Industrial Conflict and Strikes Workers' Participation Industrial Relations in Multinational Enterprises Industrial relations in Developing Countries Industrial Relations Systems and Economic Outcomes.
Abstract: Introduction: Comparative Approaches Trade Unions Employers and Managements Collective Bargaining The Role of the State Industrial Conflict and Strikes Workers' Participation Industrial Relations in Multinational Enterprises Industrial Relations in Developing Countries Industrial Relations Systems and Economic Outcomes.
105 citations
Book•
01 Feb 1985
TL;DR: In this paper, the authors examined the economic theories of transfer pricing, accounting and fiscal practices and implications for government policies and regulations, and will be of interest to students of economics and business studies.
Abstract: One of the reasons for the success of multinational enterprises in their ability to create in their supranational organisations "internal markets" which eliminate the imperfections of external world markets caused by tariffs on trade, restrictions on the flow of capital, information costs and so on. The method multinationals use to create and sustain internal markets is transfer pricing. Multinationals use to their advantage the difference between nominal accounting and real transfers from their head offices to a subsidiary in different countries to overcome transaction costs and restrictions on trade and capital flows.
This book, first published in 1985, examines these and other aspects of multinationals’ use of transfer pricing. It puts forward original thinking and research findings by leading experts in this area. Empirical results are related to the activities of multinationals in less developed countries. This volume covers the economic theories of transfer pricing, accounting and fiscal practices and implications for government policies and regulations, and will be of interest to students of economics and business studies.
84 citations
Book•
01 Jan 1985
75 citations
Book•
01 Dec 1985
TL;DR: In this paper, the authors present case studies indicating greater centralization of decision making where major employment and unemployment issues are at stake; illustrates the relationship of the research results to investment and divestment decisions.
Abstract: Working paper on decision making in foreign owned multinational enterprise subsidiarys in the UK - based on a mail survey, summarises evidence on the locus of decision making, i.e. The regional level dimension, plant or subsidiary level; presents case studies indicating greater centralization of decision making where major employment and unemployment issues are at stake; illustrates the relationship of the research results to investment and divestment decisions.
68 citations
TL;DR: In this article, an ethical algorithm for multinational managers to reconcile conflicts between those traditions and ones of the host country is presented. But it is not clear whether the high road implies a failure to respect cultural diversity and national integrity.
Abstract: How should highly-placed multinational managers, typically schooled in home country moral traditions, reconcile conflicts between those traditions and ones of the host country? When host country standards for pollution, discrimination, and salary schedules appear substandard from the perspective of the home country, should the manager take the high road and implement home country standards? Or does the high road imply a failure to respect cultural diversity and national integrity? In this paper, I construct and defend an ethical algorithm for multinational managers to use in reconciling such international normative conflicts.
TL;DR: In this article, the imperfect competition theory is used to explain six major multinational firm decisions (for example, production location and market servicing methods) with a simple model, which can be extended to explore other important issues.
Abstract: The multinational firm, as the central actor in international business, has been studied extensively across countries and intensively within companies. No single theoretical structure can deal with all important aspects of these firms. Nonetheless, some powerful explanatory tools such as the international product cycle and the transactions cost/internalization theory have shed substantial light on MNE activities. The imperfect competition theory presented here explains 6 major MNE decisions (for example, production location and market servicing methods) with a simple model, which can be extended to explore other important issues.
01 Jan 1985
TL;DR: In some industries cartels have been superceded by MNEs, while in others the two coexist as mentioned in this paper, and the collective behaviour of the members of a cartel often resembles that of a horizontally integrated MNE.
Abstract: Cartels have received little attention in the theoretical literature on the multinational enterprise (MNE). This is surprising because of their important historical role in the evolution of the MNE (Wilkins, 1970, 1974). The relation between MNEs and international cartels is complex. In some industries cartels have been superceded by MNEs, while in others the two coexist. The collective behaviour of the members of a cartel often resembles that of a horizontally integrated MNE. Yet different MNEs are often members of the same cartel, and a multi-product MNE may belong to several cartels (see Reader, 1970, and Teichova, 1974).
TL;DR: The economic development model emphasizes positive impacts of multinational investment on economies of less developed countries, while the North-South model emphasizes negative effects of such investment as mentioned in this paper, and the ideological and empirical basis for each model is understood, as well as the implications for policy decisions.
Abstract: Researchers, policymakers, and managers interested in multinational corporations should understand two models that guide thought and policy determination in less developed countries. The economic development model emphasizes positive impacts of multinational investment on economies of less developed countries. The North-South model emphasizes negative effects of such investment. The ideological and empirical basis for each model should be understood, as well as the implications for policy decisions.
TL;DR: In this article, the authors examined the clustering of nations using different clustering methods and found divergent results in terms of reconciling these differences, the need for additional research comparing competitive and alternative interpretations of Smallest Space Analysis (SSA), and the use of independent and objective methods, e.g., cluster analysis.
Abstract: The present study examined the clustering of nations using different clustering methods. Organizational attitudes and perceptions of 1768 managers from IS Western nations employed by a multinational corporation were surveyed. Divergent results were found and are discussed in terms of reconciling these differences, the need for additional research comparing competitive and alternative interpretations of Smallest Space Analysis (SSA), and the use of independent and objective methods, e.g., cluster analysis.
01 Jan 1985
TL;DR: It is now a commonplace to recognise that the national and international restructuring of capital is producing rapid and dramatic changes in urban and regional economies as discussed by the authors, which has led to yet a further shift in focus amongst those ever in search of a new urban sociology.
Abstract: It is now a commonplace to recognise that the national and international restructuring of capital is producing rapid and dramatic changes in urban and regional economies.1 This has led to yet a further shift in focus amongst those ever in search of a ‘new’ urban sociology.2 An earlier debate shifted the focus from the misplaced concreteness of the spatially-defined local area, to what was considered to be the sociologically more significant arena of the politically defined State.3 However, the emphasis on the State as the source of ‘managing everyday life’ through the way it provided the means of collective consumption4 was relatively shortlived.5 The process of sloughing off public expenditure in Britain and the United States or, in more fashionable terminology, the re-commodification of collective consumption, has re-emphasised market mechanisms and the importance of the individual as opposed to the social wage. At the same time, the growth of trans-national or multinational companies has encouraged a new international division of labour to develop so that local collusion between capital and labour is more likely than conflict.6 The threat that a plant might simply leave the country, should the circumstances cease to be entirely agreeable, can have a remarkably de-radicalising influence.
TL;DR: In this paper, the authors discuss conceptualizations of consumerism activity across Sweden, Canada, and Turkey, providing background data and information on these countries, and offer some policy guidelines for practising multinational marketing managers which they propose will give the best strategies to be employed in the different marketplaces of each of these countries.
Abstract: Discusses conceptualizations of consumerism activity across Sweden, Canada, and Turkey, providing background data and information on these countries. Offers certain policy guidelines for practising multinational marketing managers which it proposes will give the best strategies to be employed in the different marketplaces of each of these countries.
TL;DR: Jones as mentioned in this paper traces the history of the Gramophone Company between 1898 and 1931 and provides a detailed narrative of the firm's history while at the same time placing it within the context of British multinational expansion as a whole.
Abstract: In this article Dr. Jones traces the history of the Gramophone Company—an early British multinational—between 1898 and 1931. Drawing on hitherto untapped archival sources, he provides a detailed narrative of the firm's history while at the same time placing it within the context of British multinational expansion as a whole. Of particular interest is his discussion of the firm's “special relationship” with the American-based Victor Company—a relationship that demonstrates how restrictive international agreements could affect the dynamics of multinational growth.
Book•
01 Jan 1985
TL;DR: For more information about the Rowman & Littlefield titles, please visit www.rowmanlittlefield.com or www.littlefield-rowman.com as mentioned in this paper...
Abstract: To learn more about Rowman & Littlefield titles please visit us at www.rowmanlittlefield.com.
TL;DR: The movement of large multinational firms into the Third World has attracted the attention of scholars interested in locational strategies as mentioned in this paper, examining a case study of one major firm (INCO).
Abstract: The movement of large multinational firms into the Third World has attracted the attention of scholars interested in locational strategies. This paper examines a case study of one major firm (INCO)...
TL;DR: The hotel industry is by nature international and as international trade and international tourism expand it is more likely that international ties will become even more important in the trade as discussed by the authors, which will enable more direct connections to be made between general developments at macro level and applications at operational and corporate levels.
Book•
01 Jan 1985
TL;DR: In this paper, the Subsidiary's Viewpoint is used for studying power relations in Multinational Corporations, using the Resource Dependence Perspective (RDP) for controlling and influence relations.
Abstract: Control and Influence Relationships in Multinational Corporations. The Subsidiary's Viewpoint. Application of the Resource Dependence Perspective for Studying Power Relationships in Multinational Corporations
TL;DR: In this article, the authors identify a spectrum of forms of industrial co-operation from joint ventures between multinationals and host-country interests through a variety of contractual agreements such as licensing, franchising and management contracts to time-limited "contractual joint ventures" and "fade-out agreements".
Abstract: This chapter is an attempt to bring together the rather disparate literature on a topic which is currently identified as an important area in international trade and development — the growth of ‘new forms’ of international industrial co-operation. Such new forms are contrasted with traditional technology transfer through the agency of a wholly-owned subsidiary of a multinational enterprise. Consequently, we are able to identify a spectrum of forms of industrial co-operation from joint ventures between multinationals and host-country interests through a variety of contractual agreements such as licensing, franchising and management contracts to time-limited ‘contractual joint ventures’ and ‘fade-out agreements’.
01 Jan 1985
TL;DR: In this article, the behaviour of multinational enterprises can be analysed in terms of three groups of factors: ownership advantages, location advantages, and internalization, and it is shown that location advantages have received least attention in recent years, despite the fact that, historically, location advantage has strongly influenced the growth of international production.
Abstract: Dunning (1981) suggests that the behaviour of multinational enterprises (MNEs) can be analysed in terms of three groups of factors: ownership advantages, location advantages, and internalisation. Buckley (1983) notes that of these three, location advantages have received least attention in recent years, despite the fact that, historically, location advantages have strongly influenced the growth of international production (Dunning, 1982). This chapter is an attempt to make good this deficiency.