Abstract
As a company expands its operations from a predominately domestic base to a multinational base, it might be expected that its formal systems of reporting and control will undergo some fundamental changes. For example, Hawkins concludes a discussion of this with the statement, “Those responsible for foreign operations need to create management control systems tailored to the peculiar objectives, organization, and environment of their international operations, rather than simply exporting their domestic control systems.”11David F. Hawkins, “Controlling Foreign Operations,” Financial Executive, Vol. 33, No. 2 (February 1965), p. 25. But does this occur in practice? And, more important, should it occur?© 1971 JIBS. Journal of International Business Studies (1971) 2, 11–28
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