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Information technologies and the future of the multinational enterprise

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  • Sambharya, Rakesh B.
  • Kumaraswamy, Arun
  • Banerjee, Snehamay
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    Abstract

    In this paper, we highlight the pervasive influence of information technologies on multinational enterprise (MNE) operations, strategies and structures. The democratization of information technologies has diminished geographic distance and compressed response times for MNEs. In turn, this has led to an increased and simultaneous emphasis on both global efficiencies and local responsiveness. We explore the consequences of this change in emphasis for MNE strategic and structural orientations as established by Bartlett and Ghoshal's typology of MNE strategies. Our conclusion is that the distinctions between the four strategic orientations are becoming increasingly blurred and MNE structures are becoming more organic in nature. In addition to discussing these changes, we also highlight emerging challenges that MNEs face in an increasingly borderless, time compressed world.

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    Bibliographic Info

    Article provided by Elsevier in its journal Journal of International Management.

    Volume (Year): 11 (2005)
    Issue (Month): 2 (June)
    Pages: 143-161

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    Handle: RePEc:eee:intman:v:11:y:2005:i:2:p:143-161

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    Related research

    Keywords: Multinational enterprise Global strategy and structures Information technology Local responsiveness Global efficiency;

    References

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    1. Child, John, 1984. "New technology and developments in management organization," Omega, Elsevier, vol. 12(3), pages 211-223.
    2. Siew Meng Leong & Chin Tiong Tan, 1993. "Managing Across Borders: An Empirical Test of the Bartlett and Ghoshal [1989] Organizational Typology," Journal of International Business Studies, Palgrave Macmillan, vol. 24(3), pages 449-464, September.
    3. Guillen, Mauro F., 2002. "What is the best global strategy for the Internet?," Business Horizons, Elsevier, vol. 45(3), pages 39-46.
    4. John H Dunning, 1995. "Reappraising the Eclectic Paradigm in an Age of Alliance Capitalism," Journal of International Business Studies, Palgrave Macmillan, vol. 26(3), pages 461-491, September.
    5. Anne-Wil Harzing, 2000. "An Empirical Analysis and Extension of the Bartlett and Ghoshal Typology of Multinational Companies," Journal of International Business Studies, Palgrave Macmillan, vol. 31(1), pages 101-120, March.
    6. Srilata Zaheer & Shalini Manrakhan, 2001. "Concentration and Dispersion in Global Industries: Remote Electronic Access and the Location of Economic Activities," Journal of International Business Studies, Palgrave Macmillan, vol. 32(4), pages 667-686, December.
    7. John H Dunning, 1988. "The Eclectic Paradigm of International Production: A Restatement and Some Possible Extensions," Journal of International Business Studies, Palgrave Macmillan, vol. 19(1), pages 1-31, March.
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    Cited by:
    1. Fan, Di & Zhu, Cherrie Jiuhua & Nyland, Chris, 2012. "Factors affecting global integration of Chinese multinationals in Australia: A qualitative analysis," International Business Review, Elsevier, vol. 21(1), pages 13-26.
    2. Zorzini, Marta & Stevenson, Mark & Hendry, Linda C., 2014. "Coordinating offshored operations in emerging economies: A contingency-based study," International Journal of Production Economics, Elsevier, vol. 153(C), pages 323-339.
    3. Maria Adenfelt & Katarina Lagerström, 2006. "Organizational rejuvenation for knowledge exploitation: Exploring corporate entrepreneurship in an MNE," Journal of International Entrepreneurship, Springer, vol. 4(2), pages 83-98, September.

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