Multinational corporation

About: Multinational corporation is a research topic. Over the lifetime, 17457 publications have been published within this topic receiving 503253 citations. The topic is also known as: MNE & MNC.

Organizational Legitimacy Under Conditions of Complexity: The Case of the Multinational Enterprise

Abstract: We examine organizational legitimacy in the context of the multinational enterprise (MNE). After discussing three types of complexity (of the legitimating environment, the organization, and the process of legitimation) that MNEs typically face, we explore their effects on MNE legitimacy. In particular, we distinguish between the legitimacy of the MNE as a whole and that of its parts, and we develop propositions that include issues of internal versus external legitimacy and positive and negative legitimacy spillovers.

International expansion of emerging market enterprises: A springboard perspective

Abstract: In this article, we present a springboard perspective to describe the internationalization of emerging market multinational corporations (EM MNEs). EM MNEs use international expansion as a springboard to acquire strategic resources and reduce their institutional and market constraints at home. In so doing, they overcome their latecomer disadvantage in the global stage via a series of aggressive, risk-taking measures by aggressively acquiring or buying critical assets from mature MNEs to compensate for their competitive weaknesses. We discuss unique traits that characterize the international expansion of EM MNEs, and the unique motivations that steer them toward internationalization. We further delineate peculiar strategies and activities undertaken by these firms in pursuit of international expansion, as well as internal and external forces that might compel or facilitate their propulsion into the global scene. We finally explain the risks and remedies associated with this international ‘springboarding’ strategy and highlight major issues meriting further investigation.

Adoption of an Organizational Practice by Subsidiaries of Multinational Corporations: Institutional and Relational Effects

Abstract: We examine the adoption of an organizational practice by subsidiaries of a multinational corporation (MNC) under conditions of “institutional duality.” Drawing on institutional theory, we identify ...

Multinational enterprise and economic analysis

Abstract: The third edition of Multinational Enterprise and Economic Analysis surveys the contributions that economic analysis has made to our understanding of why multinational enterprises exist and what consequences they have for the workings of the national and international economies. It shows how economic analysis can explain multinationals' activity patterns and how economics can shed conceptual light on problems of business policies and managerial decisions arising in practice. It addresses the welfare problems arising from multinationals' activities and the logic of governments' preferences and choices in their dealings with multinationals. Suitable for researchers, graduates and upper-level undergraduates. The third edition of this highly accessible book incorporates the many additions to our knowledge of multinationals accumulated in research appearing in the past decade.

International Corporations: The Industrial Economics of Foreign Investment

Abstract: As trade follows the flag, so does applied economics follow the newspapers. Urgent issues of public policy have in the past decade or so called forth a great deal of new factual evidence on the international corporation, as the chief conduit for foreign direct investment.2 It has been studied as a channel for the international transfer of technology, as a business organization serving more than one national sovereign master, and as a force influencing the international financial flows recorded in a country's balance of payments. Yet relatively little emphasis has fallen on what might seem the two principal economic features of direct investment by the international corporation: (1) it ordinarily effects a net transfer of real capital from one country to another; and (2) it represents entry into a national industry by a firm established in a foreign market. This neglect is unfortunate, because recognition of these features lets one bring to bear on the causes and consequences of direct investment two important bodies of economic analysis-the pure theory of international trade and the conceptual structure and evidence of market behaviour reposing in the field of industrial organization. Briefly, the argument of this paper is that foreign direct investment occurs mainly in industries characterized by certain market structures in both the "lending" (or home) and "borrowing" (or host) countries. In the parlance of industrial organization, oligopoly with product differentiation normally prevails where corporations make "horizontal" investments to.produce abroad the same lines of goods as they produce in the home market. Oligopoly, not necessarily differentiated, in the home market is typical in industries which undertake "vertical" direct investments to produce abroad a raw material or other input to their production process at home. Direct investment tends to involve market conduct that extends the recognition of mutual market dependence-the essence of oligopoly-beyond national boundaries. Likewise it tends broadly to equalize the rate of return on (equity) capital throughout a