Abstract
The article discusses how regional integration characteristics affect the geographic scope of multinational enterprises (MNE) and their performance in the way of operational efficiency. It analyzes how regional integration agreements (RTA) influences firm-level strategy. The different types of RTA are explored, including free trade areas (FTA), customs unions (CU), common markets (CM) and economic unions (ECU). It also determines whether regional integration propels MNE to adopt a high or low home regional focus and its impact on the operational efficiency of MNE.
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