Assignment on the Multinational Corporation MNC

The report is about Multinational Corporation MNC that is considered as corporate organization and controls the production of goods and services in one country and also branches in other countries. The work of MNC is not based on a single country; it’s spread its business into different nations and suggests a company that should be considered great multinational corporations if they derive offered 25% of revenue that are coming from out of country operations. The basic objective of this report is to learn about the culture of management that are working in MNCs and how they are interrelated with the production of goods and services in and out of country (Feely & Harzing., 2003).

Discussion of Multinational Corporation MNC

The globalization and rapid development in the economies, firms are more likely to be multinational, working and want to get interaction with the proper table policies to make the services and production of company more effective and acceptable on worldwide bases. Cross culture management to emphasize on the behavior of the people of different cultures, So that are working on a single crate form and work for common objectives. Cross culture management aims to get dealing offer different organizational behavior such as leadership, motivational approach and different policies that are followed by different cultures of a single leadership.

 Companies want to extend their business beyond the boundaries have to face different kinds of for challenges of cross cultural communication as the culture of different countries are different from each other. Managers have to encounter with the different culture barriers and to achieve success. Managers have to work globally and must be proficient to communicate and active with the cross culture. There are different characteristics and features offer culture that could be used to understand their diversity of culture and that could be helpful in development and management of the companies (Cuervo-Cazurra, Inkpen, Musacchio, & Ramaswamy., 2014).

Strategies chosen by MNC

On the global and international level MNCs that has operation in more than one country is also referred to MNC and the largest and then seas are tripling the major role in the International Development. There are three major international strategies that are followed by MNCs explained as follows:

·         Multi domestic strategy of Multinational Corporation MNC

Multi domestic strategies sacrifice the efficiency of emphasizing that responsiveness of local requirements in the market and preferred to the international requirements of the companies that are living in other countries.

·         Global strategy of Multinational Corporation MNC

Organizations working on global strategies sacrifice the local requirements and prefer the requirements of the people who are living outside the country and the service is providing them with the different strategies that are required to gain economies of scale with the product and services in the market.

·         Transitional strategy of Multinational Corporation MNC

Transitional strategy is used to get middle ground between the multi domestic strategy and global strategy. The organizations who adopted transitional strategies are drip tried to create balance between the desire of the effective and a requirement of the local as well as the international customers.

Leadership and motivational style of Multinational Corporation MNC

Leadership and motivational styles are the more significant issue for the area of business management and working in multi national level. There are different leadership styles that are adopted by MNC such as leadership, style of performance oriented and participating. Multinational companies are depending on their ability to manage the work and location of different countries to get cross cultural diversity in effective and efficient way. The culture and leadership styles are interrelated with each other as the leadership style must be according to the culture of the nation in which the business is operating. Therefore, leadership style must be proposed according to the perspective of culture in which the business is operating. The global leadership and motivational behavior of effectiveness is based on empirical assessment of leaders, attribute and behavior that focus on the significance of the leadership effectiveness and other analysis that are based on performance oriented, team oriented and participating nature of staff work. Global leadership style and motivational behavior is adopted by MNC’s and it is able to conceptualize the performance and part of which arithmetic value based approach of leadership.

Analysis of human resource management in MNCs

Human resource management practices are operated in multinational companies that are used to attract the interest of customers and to get the rid of barriers that are pushing the global agenda of the cost minimization. The analysis of Human resource management is used to identify institutional profit of the countries that are true used to measure their difference between countries and it is helpful with the transfer of practices by MNCs and it is considered a great distance. Results of multinational companies are based on the performance of HR Department that is already engaged in the distribution of work among the different nations therefore better HR Department play vital role in the performance of multinational companies in different countries.

Conclusion of Multinational Corporation MNC

The report is concluded with the reference of multinational companies that are working on different boundaries and beyond the boundary of the country in which it had office of company is situated. No doubt there are very different kinds of challenges that could be faced by management while operating in different cultures. But there are also many benefits that are related with the challenges and these challenges could be made by the management of the companies with human resources strategies and leadership styles that are adopted by multinational companies. The basic requirements to discuss in the development of MNCs are HR Department and leadership styles that are discussed the analysis of this report (Christmann., 2004).

Recommendations of Multinational Corporation MNC

Multinational companies are working in different countries with the reliability and some issues of cultural difference attain, but there should be proper implementation of the policies in Multinational companies that are given below:

·         For working in other nations, there must be proper communication channels that are eligible to get understanding of other nations and had to adopt the culture of other countries in which the businesses operating.

·         There should be proper HR Department activities that are being engaged in proper evaluation of working strategies that are according to the requirements of different countries.

References of Multinational Corporation MNC

Christmann., P. (2004). Multinational companies and the natural environment: Determinants of global environmental policy.". Academy of Management Journal , 47 (4), 747-760.

Cuervo-Cazurra, A., Inkpen, A., Musacchio, A., & Ramaswamy., K. (2014). Governments as owners: State-owned multinational companies. 919-942.

Feely, A. J., & Harzing., A.-W. (2003). "Language management in multinational companies. Cross Cultural Management: An International Journal , 10 (2), 37-52.