Purchase Solution

Diversification: Multinational Companies

Not what you're looking for?

Ask Custom Question

Some MNCs operate a single business. However, many MNCs have more than one type of business strategy. What are the basics of multinational diversification? How do they choose their mix of different businesses? Explain both related and unrelated diversification.

200 words apa format

Purchase this Solution

Solution Summary

This solution explains the type of diversification multinationals undertake. The sources used are also included in the solution.

Solution Preview

Step 1
The basics of multinational diversification are that multinational companies seek to divest businesses that are mature or declining and acquire businesses that are in the introduction or growth stage. Multinational companies seek to achieve economies of scale and gain efficiencies by diversification. These multinationals also seek to achieve economies of scope, try to gain market share, and find avenues of investing cash.

Step 2
Multinationals choose their mix of ...

Purchase this Solution


Free BrainMass Quizzes
Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

Six Sigma for Process Improvement

A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.

Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.

Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

Accounting: Statement of Cash flows

This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.