By Michel Ghertman, Margaret Allen (auth.)
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Extra info for An Introduction to the Multinationals
DECISION- MAKING Who then makes the decisions within the multinationals, and how are they made? Is the process any different from that of the uninational firms? The answer seems to come too quickly, as in an easy classroom exercise: the process must be much more complicated in the multinationals - the men must be more intelligent and have access to sophisticated computer information in making decisions. It is also relatively easy to imagine an all-powerful chairman hidden in his office making all the decisions.
3. The banks which are part of the money market serving as intermediaries for other banks. 4. Banks primarily financing foreign trade. 5. Banks specializing in portfolio management managing private and corporate fortunes. Banking activities are usually subject to strict national regulations which limit their fields of activity. These regulations naturally vary from country to country. A few countries, however, like the United Kingdom and Germany, authorize so-called 'universal' banks which may carry on business in all the five areas defined above at the same time.
The best example is the iron and steel industry which, although declining and barely multinationalized, is very highly concentrated. This observation is reinforced by the divergent evolution of the rate of industrial concentration and the participation of the multinationals in these sectors: The analysis of data for the United Kingdom and France tended to refute the theory that multinational operations and concentration were causally related. In neither country was there any trace of correlation between changes over time in the two variables.
An Introduction to the Multinationals by Michel Ghertman, Margaret Allen (auth.)