Multinational Corporations Research Articles

Unpacking the presence of women as HR directors: organisational factors from MNCs subsidiaries operating in Canada

Purpose This paper aims to examine the organisational factors responsible for the inclusion of women as Human Resource (HR) directors in Canadian-based subsidiaries of multinational companies (MNCs). Design/methodology/approach Based on the resource dependence theory, this study outlines the features of subsidiaries that appoint a woman HR director. Hypotheses were developed and assessed through analysis of a database obtained from a quantitative investigation. Analyses are based on 100 multinational subsidiaries operating in Canada. Findings Three primary findings arise from this study. Firstly, the larger the subsidiary, the less likely it is for a woman to hold the position of HR director. Secondly, there is a positive and significant correlation between the percentage of women employed in an MNC subsidiary and the presence of women in the HR director position. Finally, MNC subsidiaries with high executive career progression autonomy are more likely to have a woman HR director than those lacking in such autonomy. Practical implications This study proposes improving the representation of women in HR director positions by increasing the percentage of women employed in organisations and by granting greater decision-making autonomy to subsidiaries of MNCs. Originality/value This paper contributes to broader research on gender inequality in leadership. This paper responds specifically to the dearth of research into gender inequality in HR directorships, despite HR as a profession being female dominated. This study focuses upon HR in multinational corporations – again, an under-researched area.

Under Armour: Revenue Pull Forwards and Disclosure Failures

This case examines a recent SEC settlement with Under Armour, a public company traded on the NYSE, that was charged with misleading investors and failing to disclosure uncertainties relating to its reported revenues. Under Amour was not able to meet analysts’ sales projections for several consecutive quarters in 2015 and 2016 and resorted to “pulling forward” revenue from future periods in order to meet these estimates. More than $408 million was pulled forward, and during this time Under Armour continued to credit its growth to apparel, footwear and other new offerings. The case was settled in May 2021 and Under Armour paid a $9 million penalty. The case spotlights several important accounting and ethics issues in the context of a real, multi-national company that most college students are familiar with. From an accounting perspective, the revenue pull forwards, manipulation of payment terms and omission of material facts in financial reporting are discussed. From an ethics perspective, a discussion is included on the timing of reporting “earned” revenue, the legality of inducing customers to accept early shipments and the difference between omitting information and misleading investors.

The Cultural Differences Between China and The West in International Business Activities

With the development of economic globalization, more and more enterprises choose to expand their industries abroad, leading that international business activities are becoming more and more frequent. At the same time, the important role of cultural differences in international business activities has become increasingly prominent. Studying the cultural differences between China and the West in international business activities can help multinational corporations understand what cultural differences exist in their business activities between China and Western countries, what challenges they will encounter and how to deal with these challenges, so as to improve their competitiveness, help them carry out international business activities smoothly, and finally promote the prosperity of the global economy.

Opinion Leaders in Organizational Change Processes: Insights from a Large-Scale Quantitative Survey to Identify, Characterize, and Classify Influential Employees within a Multinational Corporation

ABSTRACT The successful implementation of change processes requires efficient and effective communication. While previous research has explored various aspects of change communication, the role of opinion leaders – individuals who are more influential than others within their networks – has been largely overlooked. These opinion leaders could play a key role in driving the successful implementation of organizational change. This study aims to investigate the characteristics and potential existence of distinct types of opinion leaders within the context of an organizational change process. We conducted a quantitative online survey (n = 4,114) in a multinational corporation undergoing a significant change initiative. The findings reveal that opinion leadership is influenced by several factors: opinion leaders often hold leadership positions, possess strong personality traits, and maintain cross-hierarchical and cross-functional networks characterized by intense relationships. They also demonstrate high expertise related to the change process and exhibit strong commitment and positive attitudes towards it. Additionally, the study identified 300 opinion leaders and, through cluster analysis, categorized them into four types: ‘The Expert Leader,’ ‘The Emerging Opinion Leader,’ ‘The Cross-Functional Connector,’ and ‘The Department Influencer.’ These types vary in their network sizes, structures, and experiences. MAD statement In a rapidly evolving world, effective change communication is essential for building resilient and forward-thinking organizations. While research has acknowledged the pivotal role of communication in driving change, the significant influence of opinion leaders in this process has received limited attention. These individuals can be key to ensuring that organizational transformations are not only successful but also inclusive and sustainable in their impact. By understanding how to identify and engage opinion leaders in substantial change initiatives, organizations can develop more effective communication strategies that foster innovation, adaptability, and long-term success, ultimately contributing to more equitable, responsible, and successful organizational transformations.

Pertubations of Physicochemical Properties and Heavy Metal in the Soil of Coastal Areas of Akwa Ibom State, Nigeria

This study aimed at assessing the concentrations and perturbations of the physicochemical properties and heavy metals in the soil of the coastal regions of Akwa Ibom State, Nigeria. Sampling was carried out across three mangrove locations (Iko Town, Okoroutip and Uta Ewa) in Eastern Obolo, Ibeno and Ikot Abasi Local Government Areas respectively. Four vegetation plots were randomly selected, and within each plot, three belt transects were established. Physicochemical properties [Sand, Clay, Silt, organic carbon (OC), total nitrogen, sulphate and chlorine content] and heavy metals (Arsenic, Silver, Chromium, Copper, Nickel, Lead, Mercury, Cadmium, Titanium, Vanadium and Zinc) were analyzed using standardized methods. Results from this study revealed considerable variations in the physicochemical properties of soil in the study area. The aforementioned heavy metals were present in both wet and dry seasons in considerable concentrations in the soil samples within the study areas. However, were within and below WHO limits. The variations in the physicochemical properties and the presence of these heavy metals in the samples are indicative of an impacted environment unsuitable for the growth and survival of the endemic flora and fauna species of this unique ecosystem. In view of the current knowledge of the role of mangrove ecosystems in blue-economy of the nation and mitigation of ongoing climate change, we advocate a tripartite alliance between the government, multinational companies operating within the area and the various impacted communities that leads to a concerted efforts of constant monitoring and remediation in the reduction of current and future pollutant levels.

Effects of firm-level geopolitical risk on leverage

ABSTRACT This study investigates the effects of firm-level geopolitical risk on the leverage of multinational companies listed in Taiwan from 2015 to 2021. The findings reveal a negative correlation between firm-level geopolitical risk and leverage level, indicating that firms reduce leverage to mitigate the risks associated with geopolitical risks. This negative correlation is stronger in firms with lower profitability, larger size, smaller irreversible investments and lower cash holdings. These results remain robust under two-stage least squares regression controlling for endogeneity and are consistent across alternative geopolitical risk measures and instrumental variables.

Global Paternity Leave as a DEI Initiative in Four Multinational Corporations

Abstract Studies of diversity, equity and inclusion (DEI) initiatives in corporations typically involve ethnic minorities or women. In this case study, however, the focus is on men, and a new DEI policy implemented successfully in four multinational corporations (MNCs), namely, paternity leave rights with global applicability. The MNCs’ rationale for introducing this policy, and the perception of it by male employees who have taken such leave are explored mainly through interviews. These fathers are working for one of the MNCs and based in the UK, the US, Brazil and Australia. The aim of the case study is twofold: (i) contribute new insights into how the MNCs discursively justify the global policy, and (ii) develop a contextual framework explaining the MNCs’ successful implementation, which involves both discursive and practical action. In terms of underlying corporate DEI discourses, they mainly emphasise either economic rationality, inclusion or fairness. Regarding factors influencing uptake, a supportive work culture, a standardised period of fully paid leave and formal replacement during leave turn out to be important for informants across all four MNCs.

Views from Multinational Pharmaceutical Companies on Allocation of Clinical Trials in Saudi Arabia—Qualitative Study

Clinical trials conducted by pharmaceutical companies are essential for bridging local research efforts with broader populations, facilitating the transfer of valuable insights and solutions. This study aimed to explore the barriers and facilitators affecting clinical trials in Saudi Arabia from the perspective of key personnel within the pharmaceutical industry and Contract Research Organizations (CROs). We conducted in-depth semi-structured interviews with nine participants, which provided a holistic understanding of the intricate dynamics shaping the landscape of clinical trials in the country. The analysis revealed three prominent themes: operational challenges, complexities in navigating approval hurdles, and the unique value proposition for conducting clinical trials in Saudi Arabia. The participants expressed pride in the local infrastructure but acknowledged existing flaws, particularly in regulatory processes that contribute to delays in trial initiation. They emphasized the importance of conducting clinical trials in areas such as diabetes, crowd management during pilgrimages, and rare diseases, which are prevalent in the region. Despite the limited number of clinical trials registered (354 from 2009 to 2020, with only 1% being phase 1 studies), Saudi Arabia’s total pharmaceutical market exceeds SAR 13 billion, positioning it as the largest market in the region. Stakeholders recognized the country’s potential as a research hub, particularly within the Gulf Cooperative Council (GCC) region. However, to attract more trials and enhance the medical research landscape, it is crucial to address the identified barriers, streamline processes, and improve stakeholder alignment. The findings highlight the need for targeted interventions to overcome these challenges and leverage Saudi Arabia’s investments in healthcare infrastructure since its transformation program launched in 2010. By enhancing the regulatory environment and fostering collaboration among stakeholders, Saudi Arabia can solidify its role as a key player in international clinical research.

CSR Strategies for Promoting Sustainable Development in the Emerging Market: An Analytical Study

Business can now address significant social environmental and economic issue under the framework of corporate social responsibility (CSR) this is especially true as corporate ethics and sustaianbility become more widely recognized. With rapid technological advancement, economic expansion and urbanization frequently accompanied by environmental degredation, social inequality, and governance problem, corporate social responsibility is crucial to fostering sustainable development in emerging economies. A weak regulatory structure, scarce resources and the stakeholder participation are some of the particular difficulties this sector faces. Years are covered in this study to examine how multinational corporations are implementing CSR initiatives in emerging economies in order to match them with the sustainable development goals ( SDGs) of the UN. They will focus on issues including social justice environmental sustainability, and poverty alleviation. Using case studies from the emerging economies, the article thoroughly examines the unique opportunities and problems associated with the application of CSR in emerging markets, where striking a balance between responsible corporate practice and economic success is crucial. This article gives useful insights into how CSR can be effectively used to promote long term economic growth, boost public wellbeing and assure environmental sustainability creating innovation, establishing strategic networks, incorporating CSR into core company strategy and promoting sustainable development. They also emphasize how crucial it is to boost stake holder participation in order to improve results.

Dental Health Literacy among Highly Skilled Professionals in India: A Pilot Study

Purpose: Research in medical settings has consistently demonstrated that health literacy is essential for patient adherence and comprehension to medical/dental instructions including prescriptions and improving positive holistic health outcomes. Despite its recognized importance, the role of literacy in dentistry has received limited focus. This study aimed to assess the level of oral health literacy among professionals in a multinational company, using the Rapid Estimate of Adult Literacy in Dentistry-30 (REALD-30) as the measurement tool. Methods: A convenience sample of 111 adults was recruited from a dental camp held at two locations within an IT firm. Oral health literacy was measured and analysed using the REALD-30 scale. Participants also participated in interviews to collect sociodemographic information, dental visit history, dental needs, global oral health ratings, dental knowledge, practices, and comprehension. Additionally, clinical examinations were conducted to record the DMFT index (Decayed; D component, Missing; M component, and Filled; F component Teeth), as well as the presence of dental stains and calculus. Data were analyzed using the Statistical Package for Social Sciences (SPSS) version 13. Results: REALD-30 scores ranged from a low of 8 to a high of 25. Participants who had decayed, missing, or filled teeth, or a DMFT score higher than one, exhibited lower oral health literacy compared to the reference group. Similarly, lower oral health literacy was observed in participants with dental stains or calculus. Conclusions: Effective communication with patients is crucial for delivering high-quality dental care. The study concluded that a significant proportion of the highly educated professional group of people has less oral health literacy, which may obstruct their basic ability to understand and process the fundamental oral health information.

Dynamic Mechanisms of R&D Innovation in Chinese Multinational Corporations: The Impact of Government Support, Market Competition and Entrepreneurial Spirit

This study focuses on the R&D innovation drive mechanism of Chinese multinational companies. Using a grounded theory, five driving factors were identified: government support, entrepreneurial spirit, market competition, company profits, and the innovation environment of the host country. Dynamic Qualitative Comparative Analysis was then employed to assess the validity of these driving factors and determine their pathways of influence, leading to the establishment of a driving mechanism. Finally, structural equation modeling was used to explore the magnitude of the effects of these driving factors. Based on data analysis from Chinese A-share listed multinational companies from 2007 to 2022, it was found that entrepreneurial spirit serves as the core driving force, while government support and market competition act as mediating variables that significantly promote R&D innovation among Chinese multinational companies. However, company profits were found to have a negative impact. Additionally, the innovation environment of the host country plays a moderating role, enhancing the positive effects of government support and market competition on innovation. These findings emphasize the importance of the synergy between the internal and external resources for Chinese multinational companies, providing important insights for integrating global resources to enhance international competitiveness and innovation capabilities.

Globalization’s Influence on MSME’s & Their Role in Economic Development: A Comparative Analysis

This study critically examines the dual-edged impact of globalization on Micro, Small, & Medium Enterprises (MSMEs) & their consequential role in fostering economic development. Despite globalization offering unparalleled opportunities for market expansion, technological advancements, & cross-border partnerships, MSMEs face exacerbated issues, including intense competition from multinational corporations, regulatory complexities, & the volatility of global markets. This research underscores the critical importance of governmental support & intervention in ensuring the survival & growth of MSMEs in this globalized landscape. Through a comparative analysis, the study highlights various schemes such as the Credit Guarantee Fund Scheme for Micro & Small Enterprises, the Micro Units Development & Refinance Agency (MUDRA) loans, & the recent focus on digital empowerment initiatives that aim to enhance competitiveness & operational efficiency among MSMEs. This paper argues that while globalization presents significant issues for MSMEs, strategic government policies & support schemes are vital in leveraging the benefits of globalization, ultimately contributing to sustainable economic development. The findings aim to inform policymakers & stakeholders about the nuanced role of MSMEs in the global economy, advocating for a balanced approach that nurtures growth while mitigating risks associated with globalization.

THE ANALYSIS OF TAX DISPUTE RESOLUTION OF TRANSFER PRICING CALCULATION

Determining transfer prices is one of the legal methods in the field of taxation that can be used to obtain the most optimal profits for multinational companies by trying to get the lowest tax rates. The Indonesian government has regulated methods that can be used to calculate transfer prices between related entities. However, the transfer price calculation is still often a dispute between the Directorate General of Taxes (DGT) and Taxpayers (TP), the resolution of which takes a very long time and is mostly won by the Taxpayer. This is a burden for taxpayers and also for the government and can affect the business and investment climate. Based on this, the implementation of tax dispute resolution outside of court (non-litigation) or Alternative Dispute Resolution (ADR) can be considered, providing consultation services when taxpayers prepare transfer price documents, as soon as possible the DGT reviews the TP Doc that has been prepared and submitted by the taxpayer and regulate the criteria and procedures for selecting data / comparison companies in more detail.

Local directors and corporate social responsibility activities of multinational companies in Africa

AbstractMany multinational companies (MNCs) in Africa claim to support the continent's sustainable development through corporate social responsibility (CSR) initiatives. However, the timing and relevance of these projects to local communities have often been questioned. Little is known about how local directors shape the sustainability activities of MNCs in their host regions. Drawing on image motivation theory, we investigated the influence of local directors on MNCs' sustainability activities in Nigeria, an emerging economy. We conducted content analyses and a series of semi‐structured interviews with local directors in MNCs. Consistent with our expectations and stakeholder theory, we find that local directors significantly drive the consistent and continuous sustainable development activities of MNCs through CSR in their host communities. Many local directors indicated that, unlike the traditional approach of MNCs consulting with local leaders, being a director provides the opportunity to understand the firms' activities and advocate for appropriate projects for the host region. The presence of local directors helps bridge the expectation gap between MNCs and the host region. Our study provides evidence of the relevance of local individuals in the directorship of MNCs and their contribution to sustainable development in Africa.

Determining the optimal level of automation for cash flow forecasts

PurposeThe aim of this paper is to develop an approach for identifying the optimal level of automation by maximizing the level of automation and accuracy while addressing problem areas of forecast quality.Design/methodology/approachWe use a unique set of forecasts planned by six subsidiaries of a multinational corporation to train and test various models. We compare the accuracy of three levels of automation and how they address prevalent forecasting process quality problem areas.FindingsThe findings indicate that accuracy alone is not a sufficient dimension to consider when selecting the optimal level of automation but that forecast process quality areas need to be assessed as well.Research limitations/implicationsThe limitations of this work are the inability to study the effects of our tool’s recommendations, the sample originating from a single company, the use of simple statistical methods and the limited number of dimensions to evaluate forecasts.Practical implicationsFirms should apply the structure offered in this paper to target individual components of the cash flow forecasting process when automating it and use it to structure their discussion, planning and implementation of automation.Originality/valueA novel approach for determining the optimal level of automation for cash flow forecasting combining the human information processing framework of Parasuraman et al. (2000) with the forecast quality problem areas by Fildes and Petropoulos (2015).

The Role of Emotional Intelligence in HR Leadership: Building Strong Teams in a Multigenerational

Emotional intelligence (EI) has been recognized as a crucial factor in human resources (HR) leadership, especially in building strong teams within a multigenerational work environment. This study aims to explore the role of emotional intelligence in HR leadership in addressing the challenges posed by diverse generational dynamics. Using a qualitative approach and case study method across several multinational companies, this research examines how HR leaders with high emotional intelligence can enhance team cohesion, facilitate effective communication, and manage intergenerational conflicts. The findings reveal that HR leaders with strong EI skills are better equipped to understand the emotional needs of employees across different age groups, ultimately helping to foster an inclusive and productive work environment. Leaders with high EI are also more responsive to the evolving needs of employees, from Baby Boomers to Generation Z, thus creating a flexible workplace culture that supports individual development. Challenges in applying EI in HR leadership are identified in the areas of differing values, communication styles, and expectations between generations, which can hinder team integration if not properly addressed. This study concludes that emotional intelligence is an essential competency for HR leaders to create cohesive and competitive teams within multigenerational organizations. Recommendations include developing EI training programs, adapting leadership strategies that are responsive to generational diversity, and raising awareness of the importance of EI in fostering team synergy.

Untangling Circularity: Transitioning to a Regional Circular Economy in the Clothing and Textile Sector in England

The transition to a Circular Economy (CE) presents a paradigm shift, emphasizing sustainability, resource efficiency, and waste reduction. The existing literature extensively covers the principles and benefits of CE, but there is a notable gap in understanding how these practices are implemented at a local level. Specifically, there is a lack of detailed insights into the localized challenges, adaptation processes, and contextual factors influencing the adoption of circular practices. Additionally, the implications for different types of stakeholders and the effectiveness of localized strategies remain underexplored. By employing causal loop diagrams to depict system dynamics, interactions, and connections inherent in the transition to a CE, this research delves into the significance of understanding the complexities of circularity within a specific localized context. We draw qualitative data from semi-structured interviews and workshops with participants from key stakeholders within the textile and clothing sector in the Southwest of England. We find that legislation has a different impact on multinational corporations (MNCs) and small and medium-sized enterprises (SMEs) in their CE engagement. We also find that, while the flow of materials from MNCs to SMEs fosters regional innovation and knowledge-sharing, it does not always facilitate inter-organizational learning. Finally, both MNCs and SMEs recognize the CE’s potential for job creation, which highlights the need for more effective knowledge exchange strategies between businesses of different sizes. The study concludes that balancing CE principles with profit-driven pressures remains a significant challenge for both those founded on circular principles and those who are gradually incorporating CE principles into their organisation.

Global Data Governance at a Turning Point? Rethinking China-U.S. Cross-Border Data Flow Regulatory Models

China and the United States have traditionally represented the ‘security paradigm’ and ‘freedom paradigm’ in their regulatory approaches to cross-border data flow. However, with the introduction of new rules governing these flows in both countries, this article challenges that perspective and explores the potential implications of this shift for global data governance. Specifically, it analyzes how the recent regulations in China and the United States serve as critical turning points affecting the transition between these paradigms, focusing on the overall regulatory frameworks and institutional developments in both nations. The article provides legal, institutional, and case-based examples to illustrate these changes. Furthermore, it offers a comparative analysis of the existing models for cross-border data flow regulation between China and the United States. Targeted compliance advice is provided for multinational corporations and other businesses frequently engaging in international operations that may be impacted by these regulatory changes. This research aims to deliver comprehensive insights into the latest regulatory developments in both countries and their existing models for cross-border data governance, thereby assisting enterprises in developing effective compliance strategies in practice.

Foreign business exposure, policy uncertainty, and investment allocation decisions of Chinese multinational corporations

Foreign business exposure, policy uncertainty, and investment allocation decisions of Chinese multinational corporations

Conflict Resolution in Papua Using a Social Reconstruction Approach

The problem of High Social Gap in Papua is an indication of the causes of marginalization and discrimination against the Papuan people. The difference in perceptions of some Indonesian people at home and abroad regarding the armed separatist conflict is a push factor to corner the Indonesian government. Apart from that, the issue of the internationalization of the 1969 referendum mechanism, violations of Human Rights (HAM), and the management of Natural Resources (SDA) by multinational companies which did not have an impact on improving the welfare of the Papuan people also complement the opinion of the government's failure. Based on the background of the problem, this research uses qualitative research methods and a descriptive approach. The research results show that conflict resolution in Papua can be implemented through (three) things, namely the first, the gradual development of an Integrated Food Estate (IFE) according to traditional areas in Papua, which will indirectly support the realization of Territorial Resilience and the Universal Defense System (Sishanta). Furthermore, to ensure that all these processes are carried out well and continuously, it is necessary to form an Integrated Solution Center (ISC). To eliminate the issue of internationalization of Papua, it is necessary to implement International Defense Diplomacy (IDD) carried out by Indonesian government agents abroad to socialize International Laws which are the juridical basis that Papua is part of the Unitary State of the Republic of Indonesia (NKRI). By implementing all these recommendations, it is hoped that a peaceful and prosperous Papuan society will soon be realized.