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Showing papers on "Multinational corporation published in 1990"


Journal ArticleDOI
TL;DR: In this article, the authors draw on interorganization theory to develop a model of the multinational corporation as an internally differentiated interorganizational network and propose hypotheses that relate certain attributes of a multinational, such as resource configuration and internal distribution of power, to certain structural properties of its external network.
Abstract: A multinational corporation consists of a group of geographically dispersed and goal-disparate organizations that include its headquarters and the different national subsidiaries. Such an entity can be conceptualized as an interorganizational network that is embedded in an external network consisting of all other organizations such as customers, suppliers, regulators, and so on, with which the different units of the multinational must interact. Based on such a conceptualization, the present authors draw on interorganization theory to develop a model of the multinational corporation as an internally differentiated interorganizational network. They propose hypotheses that relate certain attributes of the multinational, such as resource configuration and internal distribution of power, to certain structural properties of its external network.

1,868 citations


Journal ArticleDOI
TL;DR: In this paper, the authors drew upon complementary work in transaction cost economics, organization theory, and international corporate strategy studies to examine governance forms for multinational alliances, and found that they can be classified into three categories: transaction cost, transaction cost and transaction cost.
Abstract: This study drew upon complementary work in transaction cost economics, organization theory, and international corporate strategy studies to examine governance forms for multinational alliances. An ...

669 citations


Journal ArticleDOI
TL;DR: In this article, a multilevel analysis of environmental (country) and organizational (affiliate) factors is used to explain the differential utilization rates of U.S. nationals in overseas professional positions.
Abstract: A multilevel analysis of environmental (country) and organizational (affiliate) factors is used to explain the differential utilization rates of U.S. nationals in overseas professional positions of a major U.S. bank with 84 branches in 43 countries. The research suggests that to the extent that the affiliates of a multinational corporation operate in environments with differing levels of political risk, cultural distance, and competition and have operations with different levels of complexity and interdependence, a single staffing policy may be inappropriate.

538 citations


Book
15 Jan 1990
TL;DR: In this article, the authors present a survey of the changing agenda for researchers and practitioners in the field of global management, focusing on the following issues: control, change and flexibility: The Dilemma of Transnational Collaboration Yves Doz, C K Prahalad and Gary Hamel.
Abstract: List of contributors. Preface. Acknowledgements. Introduction: The Changing Agenda for Researchers and Practitioners. Christopher A Bartlett, Yves Doz, Gunnar Hedlund. Part 1: Conceptions of Global Management. 1. Action in Heterarchies: New Approaches to Managing the MNC Gunnar Hedlund and Dag Rolander. 2. International Sequential Advantages and Network Flexibility Bruce Kogut. 3. Managing Globalization As A Self-Renewing Process: Experiences of Japanese MNCs Ikujiro Nonaka. 4. Organizing for World-Wide Advantage Roderick E White and Thomas A Poynter. Part 2: Management of Multinational Processes and Systems 5. Control, Change and Flexibility: The Dilemma of Transnational Collaboration Yves Doz, C K Prahalad and Gary Hamel. 6. Effective Strategic Planning Processes in the Multinational Corporation Peter Lorange and Gilbert Probst. 7. New Information Systems and the Changing Structure of MNCs Peter Hagstrom 8. Rediscovering Functions in the MNC: The Role of Expertise in Firms' Responses to Shifting Exchange Rates Donald R Lessard and Nitin Nohria. Part 3: Innovation and R&D in the MNC 9. Managing Innovation in the Transnational Corporation Christopher A Bartlett and Sumantra Ghoshal 10. International Decentralization of R&D - the Organizational Challenges Lars Hakanson 11. Internal and External Linkages in the MNC: The Case of R&D Subsidaries in Japan D Eleanor Westney. Part 4: The Concepts in Use 12. Research on Managing the Multinational Company: A Practioner's Experiences E Ralph Biggadike. 13. Building A Dynamic Intelligent Network: Lessons from the Telecommunications Revolution for the MNC Organization of the Future Hakan Ledin. Index.

304 citations


Book
01 Oct 1990
TL;DR: The role of accounting in an increasingly global business environment is taking on new dimensions, as the open exchange of information, particularly accounting information, becomes more crucial than ever to multinational corporations and those working in global markets Accountants familiar with the international aspects of their field have the edge in today's marketplace as discussed by the authors.
Abstract: The role of accounting in an increasingly global business environment is taking on new dimensions, as the open exchange of information--particularly accounting information--becomes more crucial than ever to multinational corporations and those working in global markets Accountants familiar with the international aspects of their field have the edge in today's marketplace Gives accountants, attorneys, and business executives the general, nontechnical overview of international accounting

292 citations


Journal ArticleDOI
TL;DR: The authors in this article examined the product development, manufacturing, and sourcing activities of European and Japanese multinational firms marketing products in the United States and found that an increasing portion of global competition is shaped by European and Japan multinational firms with due emphasis on product quality and manufacturing.
Abstract: In increasingly complex global competition, multinational firms, U.S. and foreign alike, have stepped up international sourcing of components and finished products to serve various markets. Since an increasing portion of global competition is shaped by European and Japanese multinational firms with due emphasis on product quality and manufacturing, it is an opportune time to examine the like among their product development, manufacturing, and sourcing activities. Those European and Japanese multinational firms marketing products in the United States are chosen as subjects of this study.

264 citations


Journal ArticleDOI
TL;DR: In increasingly complex global competition, U.S. multinational firms have stepped up imports under items 806.30 and 807.00 of the Tariff Schedules of the United States as a part of offshore sourcing of components and finished products to serve the U. S. market as discussed by the authors.
Abstract: In increasingly complex global competition, U.S. multinational firms have stepped up imports under items 806.30 and 807.00 of the Tariff Schedules of the United States as a part of offshore sourcing of components and finished products to serve the U.S. market.

248 citations


Journal ArticleDOI
TL;DR: The authors empirically examines the product policies of European and Japanese multinational firms in relation to product and process innovations and investigates linkages between corporate pro-clients and product innovations, and concludes that they are correlated.
Abstract: The author empirically examines the product policies of European and Japanese multinational firms in relation to product and process innovations. He also investigates linkages between corporate pro...

195 citations


Journal ArticleDOI
TL;DR: In this article, the authors present the findings of a survey carried out among leading United Kingdom multinational retailers and investigate the motivating factors behind international expansion and the significance of problems encountered, concluding that retailers' attitudes to international operations changed during the 1980s.
Abstract: Multinational retail operations are becoming an increasingly important element in the modern retail environment. Until recently, multinational organisations have been limited in number, particularly because of the inhibiting cultural and organisational problems associated with international retail operations. The under‐researched issue of the motivations which lie behind multinational retail operations is addressed by discussing the findings of earlier relevant research and presenting the findings of a survey carried out among leading United Kingdom multinational retailers. An investigation is made of the motivating factors behind international expansion and the significance of problems encountered. The survey suggests retailers′ attitudes to international operations changed during the 1980s and this has important implications for future developments in multinational retailing.

173 citations


Journal ArticleDOI
TL;DR: In this article, the authors examined the factors influencing the multinational enterprises' choice between the takeover of already existing firms and investments in new ventures as a means of entering a foreign market and found that the degree of industrial diversification of the parent company and the host country's per capita income seems to have a positive effect on the propensity for takeovers.
Abstract: This study examines the factors influencing the multinational enterprises' choice between the takeover of already existing firms and investments in new ventures as a means of entering a foreign market. The results suggest that the degree of industrial diversification of the parent company and the host country's per capita income seems to have a positive inflUience on the propensity for takeovers. This propensity appears to be negatively related to the rate of growth of industrial production in the industry entered. Further, we found that the more recent the entry into a foreign market, the greater the probability for choosing acquisition.

165 citations



Book ChapterDOI
01 Jan 1990
TL;DR: In this paper, the authors propose that policies and practices for human resource management that are effective in managing one product-market may not be the most appropriate for another; those that work well in one cultural setting will not necessarily function in another.
Abstract: Multinational corporations (MNCs) often operate in many different product-market segments. The employees in their far flung geographic operations represent very different social cultures. The policies and practices for human resource management that are effective in managing one product-market may not be the most appropriate for another; those that work well in one cultural setting will not necessarily function in another.

Journal ArticleDOI
TL;DR: In this article, the authors present a taxonomy of multinational companies in the world economy and the relevance of tax issues, including double taxation relief, and the effect of direct investment on economic welfare tables.
Abstract: PREFACE 1. Introduction 2. Multinational Companies in the World Economy and the Relevance of Tax Issues 3. Systems of Company Taxation 4. Double Taxation Relief 5. The Financial Policy of the multinational Company 6. Taxation, the Cost of Capital and Foreign Direct Investment 7. The Dividend Payout Behaviour of the subsidiaries of British Multinational Companies 8. Taxation and the Internal Pricing Policies of Multinational Companies 9. Tax Policy and the Effects of Direct Investment on Economic Welfare Tables.

Journal ArticleDOI
TL;DR: In this article, the impact of multinational presence on domestic firms' innovative efforts is explored in a game-theoretic model focusing on the strategic dimension of R&D, where relative demand-cost margins, as well as product substitutability crucially determine the effect that multinational firms' presence has on domestic research efforts.

Journal ArticleDOI
TL;DR: In this paper, an analysis of the organizational structures utilized to conduct international purchasing activities which was undertaken at 24 multinational corporations is presented. But the majority of the corporations studied had decentralized purchasing organizations and all had corporate purchasing staffs.
Abstract: Discusses analysis of the organizational structures utilized to conduct international purchasing activities which was undertaken at 24 multinational corporations. The majority of the corporations studied had decentral‐ ized purchasing organizations and all had corporate purchasing staffs. Four basic approaches were found: (1) totally decentralized; (2) co‐ordinated; (3) totally centralized; and (4) separate international purchasing group. Within this overall framework there were several forms of staff assistance for helping operating units effectively to accomplish their international purchasing goals. This assistance included foreign buying offices, trading companies, and international staff specialists. There was also a common philosophy which indicated the necessity of worldwide sourcing.

Book
01 Jan 1990
TL;DR: A survey of multinational firms in the key parts of the service sector showing how they have achieved dominance, how they are maintaining it and what is likely to happen in the future is presented in this paper.
Abstract: A world survey of multinational firms in the key parts of the service sector showing how they have achieved dominance, how they are maintaining it and what is likely to happen in the future. This book should be of interest to lecturers and students of international business, trade and economics.

Book
08 Nov 1990
TL;DR: The economics of trust: explaining differences in corporate structures between the US and Japan Multinational enterprises in less developed countries: cultural and economic interactions Joint ventures Information services: the effects on multinational activity of new information technology as discussed by the authors.
Abstract: Preface List of figures List of tables Recent trends in international business A systems view of international production Entrepreneurship in international business Entrepreneurial culture as a competitive advantage The economics of trust: explaining differences in corporate structures between the US and Japan Multinational enterprises in less developed countries: cultural and economic interactions Joint ventures Information services: the effects on multinational activity of new information technology Summary and conclusions Bibliography Index

Journal ArticleDOI
TL;DR: Theories on multinational companies generally assume that a technological advantage resulting from innovative R&D of the parent corporation is a prerequisite for its ability to establish manufacturing subsidiaries abroad, and that technology is transferred in a unidirectional flow from the parent company to these subsidiaries as mentioned in this paper.

Journal ArticleDOI
TL;DR: In this article, four international codes of conduct (the International Chamber of Commerce, the Organization for Economic Cooperation and Development, the International Labor Organization, and the United Nations Commission on Transnational Corporations) are analyzed to determine the ethical bases of the behaviors they prescribe for multinational enterprises (MNEs).
Abstract: Four international codes of conduct (those of the International Chamber of Commerce, the Organization for Economic Cooperation and Development, the International Labor Organization, and the United Nations Commission on Transnational Corporations) are analyzed to determine the ethical bases of the behaviors they prescribe for multinational enterprises (MNEs). Although the four codes emphasize different aspects of business behavior, there is substantial agreement regarding many of the moral duties of MNEs. It is suggested that MNEs are morally bound to recognize the codes and to take them into account when engaging in international business.

MonographDOI
01 Jan 1990
TL;DR: In this paper, the authors proposed a test of the internationalisation theory to evaluate the internationalization theory in Indian Manufacturing. But the test was not applied to the case of foreign investment in Indian manufacturing.
Abstract: 1 Introduction 2. Policy of the Government of India Towards Foreign Investment 3. Place of Multinational or Foreign Enterprises in Indian Industry: Overall and Sectoral Shares 4. Determinants of Inter-Industry Distribution of Foreign Shares in Indian Manufacturing: A Test of the Internationalisation Theory 5. Foreign and Local Enterprises in Indian Manufacturing: An Analysis of Discriminating Characteristics 6. Determinants of Profitability of Foreign and Local Firms in Indian Manufacturing 7. Export Behaviour of Foreign and Local Firms in Indian Manufacturing 8. Summary and Conclusions

Journal ArticleDOI
TL;DR: Alderson et al. as discussed by the authors discussed the need for developing theoretically justifiable procedures to incorporate the risks resulting from these dynamics in the financial decision-making process of multinational corporations.
Abstract: M The last forty years have witnessed a tremendous growth in multinational corporations; in innovations in foreign political, economic, and social systems; and in attempts by host countries to obtain greater control over the operations of multinational corporations. This has accentuated the need for developing theoretically justifiable procedures to incorporate the risks resulting from these dynamics in the financial decision-making process of multinational corporations. Foreign investments are exposed to two primary risks which emerge from these dynamics, viz., foreign exchange risk and country risk, in addition to those typically faced by purely domestic investments. If a foreign investment's value changes due to exchange rate innovations, it is considered exposed to foreign exchange risk;1 changes in its value due to other dynamics are attributed to country risk. Country risk (also referred to as environmental or political risk) incorporates factors influencing the stability of the host country's political, economic, and social environment, as well as the host country's governmental actions pertaining to capital repatriation, credit, equity ownership restrictions, legal requirements, tax codes, laws for protection of patents, local personnel and product usage, bureaucratic procedures, etc. Country risk can originate from factors which are exogenous to a country (such as the collapse of external markets for its key exports), or endogenous (e.g., a change in ruling political parties or economic policies), or an interaction of the two. (See Lessard [34] for a discussion of these issues.) Invariably, the response to these factors involves some policy choice on the part of The author would like to thank Michael J. Alderson, S. Kerry Cooper, David A. Dubofsky, Donald R. Lessard, Alan C. Shapiro, Jaye B. Smith, Gary L. Trennepohl, three anonymous reviewers, and the editor for their valuable comments. The usual disclaimer is applicable. A portion of this paper was written while the author was Senior Consultant with the Manufacturers Hanover Trust Company at New York and its completion was facilitated by a fellowship awarded by Texas A&M University's Center for International Business Studies, which is gratefully acknowledged. Earlier drafts of this paper were presented at the Western Finance Association and the Financial Management Association meetings. 1See Adler and Dumas [1, 2], Flood and Lessard [19], Mahajan [35], and references cited therein for literature on foreign exchange risk.

Posted Content
TL;DR: In this article, the authors introduced a formal model of strategic trade policy, which construe states as strategic actors, capable of maximizing national interests by implementing industrial targeting policies, defined in these models, which select certain national industries, firms, or their activities for financial support, to make them more competitive in international markets.
Abstract: International economists have long recognized that market imperfections create exceptions to traditional trade models, which hold that protectionism diminishes national welfare In recent years, some have introduced formal models of "strategic trade policy" (Stegemann; for examples, see Brander and Spencer, 1983, 1985; Krugman, 1984, 1986) These new models construe states as strategic actors, capable of maximizing national interests by implementing industrial targeting policies As defined in these models, industrial targeting policies select certain national industries, firms, or their activities for financial support, to make them more competitive in international markets The new models often describe states in similar terms and assume they have properties that contemporary industrial organization economists ascribe to firms in competitive or collaborative rivalries In particular, their results depend on the assumption that state targeting confers the properties of credible commitments on national firms' consequent strategic moves Schelling originated the formal concept of credible commitment In this context, it implies

Book
01 Jan 1990
TL;DR: The Schumpeterian model has far more power to answer this question than does the neoclassical theory generally used for that purpose as discussed by the authors, which focuses on the absence of a price system and the inability of a centralized system to allocate resources efficiently.
Abstract: What are the sources of the well-known differences in the performance of capitalist and socialist economic systems? Peter Murrell argues that the Schumpeterian model has far more power to answer this question than does the neoclassical theory generally used for that purpose. The neoclassical theory focuses on the absence of a price system and the inability of a centralized system to allocate resources efficiently, while the Schumpeterian model emphasizes the rigidity of institutions and policies in socialist economies and their lack of mechanisms either to create new institutions or to identify and to foster the growth of the most efficient organizations (including multinational corporations). In a work that will have profound consequences for the analysis of economic reform in socialist economies, Murrell compares the predictions of these two models against data summarizing foreign trade performance and finds the Schumpeterian model clearly superior. Combining international trade theory and econometric techniques, the author develops new methods of comparative economic analysis. These methods provide new information on the values of eleven resource endowments implicit in trade, the degree to which the socialist countries fit standard models of trade, the effect of multinational corporations on trade, and myriad other features of economic performance.



Journal ArticleDOI
TL;DR: In this paper, an overview of the current state of knowledge with respect to the topic of expatriation is given, in an effort to identify the factors associated with expatriate success and to examine determinants of expat failure.

Journal ArticleDOI
TL;DR: In this paper, the authors investigated the locational strategies of multinational and international firms within the borders of a given nation and found that the influx of foreign manufactures into the U.S. in the seventies and eighties provided a unique opportunity to study their locational strategy within the U.,S.
Abstract: Several studies have investigated that locational strategies of multinationals across national borders but there have been very few investigations of the locational strategies of multinational and international firms within the borders of a given nation. The influx of foreign manufactures into the U.S. in the seventies and eighties provided a unique opportunity to study their locational strategies within the U.S., which because of its spatial diversity and size, permits identifiable patterns to emerge in the locational strategies of manufacturers.


Journal ArticleDOI
TL;DR: Sun International is a tourism multinational corporation (MNC) based in South Africa as mentioned in this paper, and the formation and geographical spread of activities of this South African MNC engaged in casino-resort development and luxury tourism.
Abstract: Sun International is a tourism multinational corporation (MNC) based in South Africa. The aim is to examine the formation and geographical spread of activities of this South African MNC engaged in casino-resort development and luxury tourism. Within the geographical literature on MNCs the study of Sun International underlines both the importance of country of origin as a factor in interpreting the heterogenous character of MNCs and of the distinctiveness of South African MNCs. The spatial scope of Sun International (including its ancestor, Southern Sun) operations was influenced by the enterprise's association with apartheid. Despite several efforts to mask its South African origin through restrictive corporate disclosure and corporate camouflage, planned international expansion was continually frustrated by the stigma of apartheid. Sun International was confined in its international operations to those African states which either were economic or political satellites of South Africa or to the group of ‘independent’ Bantustans, which were creations of apartheid.

Journal ArticleDOI
Fumio Dei1
TL;DR: In this article, the authors introduce multinational corporations (MNCs) into a model of reciprocal dumping and show that the presence of transport costs causes mutual penetration of MNCs and global welfare increases.