Performance Of Multinational Companies Research Articles

Transfer Pricing and Organizational Performance of Multinational Corporations in Nigeria: A Mediating Effect of Audit Quality

Aim: The relationship between the enforcement of transfer transaction prices and organisational success is getting more complex. Hence, the primary aim of this study is to examine the effects of transfer pricing on the financial performance of Nigerian-listed multinational companies (MNCs), while also considering the potential moderating effect of audit quality. Methodology: The research design used for this study was ex post facto. The study used a sample of 10 Multinational Corporations that were listed on the Nigeria stock market as of December 2023. The research used panel regression analysis to investigate the influence of transfer price on the overall performance of multinational companies (MNCs), with a particular focus on the mediating effect of audit quality. Findings: The research found that, when taking into account the effect of audit quality, the exchange rate has a positive influence on the financial performance of multinational firms, as measured by return on assets (ROA). Furthermore, the analysis of the impact of audit quality on effective tax rates demonstrates a statistically significant negative relationship with the financial success of multinational corporations, as assessed by return on assets (ROA). Conclusion: The performance of multinational corporations in Nigeria is highly influenced by transfer pricing, especially when considering factors such as exchange rate and effective tax rate, which are regulated by audit quality. Recommendation: It is recommended that multinational corporations undertake appropriate measures to enhance their effective tax rate in order to enhance performance and mitigate expensive errors via the implementation of high-quality audits in the context of transaction transfer pricing rules.

Research on the social responsibility performance and its contributing factors to multinational corporations in China

PurposeThe purpose of this paper is to explore the social responsibility performance’s current situation, influencing factors and mechanisms of multinational companies (MNCs) in China. The paper is based on the MNC’s social responsibility performance factors to find some relevant reasons for unsatisfied performance and on the multiple perspectives such as institutional distance and stakeholders, to provide feasible solutions for MNCs to assume civic responsibility and the high-quality development of the host country.Design/methodology/approachThe study uses general literature review and empirical analysis to analyze the way and degree of various factors which are affecting the social responsibility of MNC in China, and supplements the deficiencies of previous studies.FindingsThe paper reveals the influencing factors and mechanisms of MNCs’ social responsibility in China through the regression results. In addition, based on Research Report on Corporate Social Responsibility of China (Huang et al., 2013/2019), the paper also summarizes the performance and dynamic changes of MNCs social responsibility in the Chinese market in the past decade.Originality/valueThe paper enriches research on the social responsibility of MNCs in the background of non-western countries, dynamically describes the performance of MNCs’ responsibilities in a 10-year span and solves the problem of inconsistent research conclusions caused by too long time span. The paper also creates the “local enterprise responsibility level” to quantify the development of the host country’s responsibility, and identifies the “responsibility demonstration effect” of state-owned enterprises and private enterprises.

Does MNCs Bribery Strategy Work in a Highly-Corrupt Host Country?

This study examines and tries to explain how corruption and bribery in a country impacts firm performance and how they interact. After examining a sample of 125 Taiwanese manufacturers’ foreign direct investment (FDI) cases in the Southeast Asian countries, the empirical results revealed: Corruption and bribery in a host country have negative impacts on the performance of multi-national companies (MNCs); with high corruption, firms that participate in bribery perform better than those that don’t. Our study aims to shed light on bribing behavior implications for future FDI in Southeast Asian countries.

Internationalization Strategies and Performance of Multinational Companies in Nigeria

The challenges of firm performance of international companies and assessment of corporate strategies have witnessed fundamental changes in literature far beyond book values. A consideration of comprehensive integration and inadequate overlap among firm performance drivers, and declining comparative competitive advantage in the industry where the multinational companies operate are significantly unsettling. The study adopted an ex-post facto research design. The survey was conducted across three (3) sectors of the Nigeria Stock exchange with the population of one hundred and seventy-one (115) companies. The study used a purposive sampling technique to select the international companies. Hence, a sample size of sixteen (16) multinational companies is used to investigate the effect of internationalization and firm performance. Secondary data was adopted for the study and the data for the study were obtained from the Nigerian Stock Exchange Annual report; annual reports and financial statements of the selected companies. Descriptive and inferential (Panel regression analysis) were used to analyse the data. Hausman test was conducted to determine the choice of model to use between the fixed effect model or random effect model. The study revealed two models. One model without control variables and the other with control variable. Model one shows that internationalization has a significant effect on firm performance of listed companies in Nigeria revealing an adjusted r square of 0.0913; Wald Stat of 18.30 and the p-value of 0.000 < 0.05. Model two also revealed a significant effect with an adjusted r square of 0.252, F statistic of 9.93 and p-value of 0.000 < 0.05. The study, however, concluded that internationalization has a significant effect on firm performance of listed companies in Nigeria. Therefore, it was recommended that management of multinational companies should review and re-engineer the dynamics of export intensity to improve the performance of companies to efficiently and effectively generate profits using its assets. . The government and policymakers should reconsider charges and interest rates to accommodate the loan facilities of the multinational companies. Management should put in place investment policies that will attract foreign investors in the company which will enhance operations and performance. Management should take advantage of their strength and emerging opportunities to enhance company sales.

Dampak Adopsi TI Terhadap Kinerja Perusahaan Multinasional

This study aims to classify and provide an overview of the factors that influence the adoption of IT in multinational companies and the impact of IT adoption on the performance of multinational companies. The data for this study were obtained from literature searches published from 2009 to 2021. The searches were conducted on scientific journals published internationally in Elsevier or Science Direct, Emerald Insight, Willey, Taylor and Francis, and the Academy of Taiwan Information Systems Research. The search results related to themes and variables, obtained about 150 articles and selected 40 articles relevant to IT adoption in multinational companies and the impact of IT adoption on the performance of multinational companies. The results showed that technological factors, organizational factors, and environmental factors influenced IT adoption, although technological factors and organizational factors influenced IT adoption more than environmental factors. In addition, IT adoption has a positive impact on the performance of multinational companies, especially economic performance and operational performance. Even so, several studies say that IT adoption does not have a positive impact on the performance of multinational companies. The results of this study also show that to find out the factors that influence IT adoption in multinational companies is to use the TOE framework. IT adoption also has a positive impact on the performance of multinational companies, especially in terms of economic performance and operational performance.

Internationalization of Multinational Companies and Cognitive Differences Across Cultures: A Neuroeconomic Perspective.

From a classical perspective, multinational companies (MNCs) operate based on market determinants, but recent economic discussions emphasize the central role of the human cognitive system in the decision-making process, thereby giving birth to interdisciplinary fields such as behavioral economics and neuroeconomics. While neuroeconomics is still considered an emerging field, hitherto scant studies have investigated the reflection of cultural experiences on the nervous system. Moreover, the interpretation of cultural diversity in the decision-making process, especially from a neuroeconomic perspective, has not been explored. In response, this study, aperspective research in nature, endeavors to research the neural responses to cultural diversity by contextualizing the neuroeconomic discussion within an MNC framework as one of the best multicultural settings. This study demonstrates that the internationalization process of MNCs is established on the cultural identity and integration of the executive. Through a neuroscientific lens, our findings prove that culture is a fundamental determinant of the cognitive makeup; therefore, cultural diversity in MNCs influences their decision-making process. Moreover, the performance of MNCs is driven by cultural harmonization at the executive level. Finally, the study reveals that the novel field of neuroeconomics is instrumental in identifying cultural intuitions on brain cells and the implications on economic decisions even at a corporate level. The main contribution of this study is the initiation of a multidisciplinary merge of the sociocultural and economic as well as neuroscientific fields, as a research center for MNCs’ decision-making processes.

Global standardization and local adaptation of marketing ---A critical review of the literature

This paper discusses and critically reviews the causes and consequences of global standardization and local adaptation of marketing strategies. The scope of the literature review is in the fields of international marketing, international trade, and corporate strategic management. It also aims to emphasize finding gaps after reading the literature. Even though the studies scope is extensive, this paper limits the reach: firstly, it introduces the standardization and local adaptation, discusses the advantages and disadvantages of both by researchers. At the same time, untangle the relationship between international marketing strategy and marketing mix. Secondly, it is divided into macro and micro to collate and analyze the leading factors affecting international strategy. So that realise the cross-market fit of global marketing tactic. Finally, focus on the KPI. The indicators of financial return were selected as the review from the factors representing the intuitive development level of the company. The goal was to concentrate on the mutual feedback and adjustment between the standardization/adaptation and performance of multinational companies. Among them, the diversities between developed and emerging markets are interspersed in each link. As this difference is a trend that scholars have begun to notice in recent years. Although many existed bibliographies are revolved around particular multinational companies or regions to assessment, this paper will focus on the impact of practical research article review and evaluation. It would not involve in specific corporate and country.

The Relevance of The Value System in the Performance of Multinational Companies in Karachi, Pakistan

This paper aims to explore the multinational companies operating in Pakistan that are convincingly aware of Islamic, cultural, and ethical values. To study a sample survey designed to gather and analyze information on the significance of these values? Do non-Muslim Pakistani multinational executives have scant knowledge of cultural, religious, and moral values? Is the impact of the existence of multinational companies on the local culture of Western values? Do the expectations differ to some degree from those of the locals? Will the contribution of foreign corporations to the host countries make a meaningful contribution to the socio-economic stability and economic growth of the host country? Will the perception of the administrators of global corporations vary from that of multinational clients? The targeted survey consists of two categories, i.e. multinational managers and multinational clients, and found that multinational managers are mainly Muslim in the education sector, while 96 percent of multinational respondents have been residing in the residential sector since birth. When the Asian financial crunch severely affected the region, transnational businesses played a significant role in the rebuilding of Pakistan's economy and caused a considerable export-oriented character in economic development, the economy recovered rapidly compared to any other region with the aid of multinational companies.

The effect of green shipping practices on multinational companies’ loyalty in Malaysia

Purpose The globalization of market and production activities with unequal distribution of market demand and resources has accelerated the demand for shipping services. Public concerns about environmental issues and the impacts of shipping service providers’ green shipping practices (GSPs) on the reputation and performance of multinational companies (MNCs) motivated the authors to test the impact of shipping companies’ GSPs on MNCs’ loyalty by considering timeliness and perceived value as moderators. The paper aims to discuss this issue. Design/methodology/approach The data were collected from 141 MNCs and analyzed using the partial least squares technique. Findings The results show that company policy and procedure, shipping documentation, shipping equipment and shipping materials have significant effects on MNCs’ loyalty. Furthermore, timeliness positively moderates the impacts of shipping materials and shipping design on compliance, while perceived value positively moderates the effects of shipping equipment and shipping design for compliance on MNCs’ loyalty. Practical implications The results provide insight for shipping service providers on GSPs that may lead to MNCs’ loyalty by considering the roles of lead time and freight rate. Originality/value The results extend the literature by testing empirically the impacts of GSP of shipping companies on MNCs’ loyalty and also by investigating the moderating impacts of perceived value and timeliness.

IMPACT OF GLOBAL LEADERSHIP BEHAVIORS ON PERFORMANCE OF MULTINATIONAL COMPANIES

Purpose of Study: The aim of this study is to influence the global leadership behaviors on performance in multinational companies. The leadership of multinational companies has become a prominent issue in the 21st century. Organizational performance depends on the leadership style and behavior of the organization. It is also viewed as the survival and profitability of an organization in which its measurement is primary both in manufacturing and services. On the other hand, transactional leadership focuses mainly on goal attainment and transactional leaders are focused on task completion and have fewer emphasis on the emotions and challenges of subordinates or employees.
 Methodology: The data for this study were obtained from existing literatures on the impact of global leadership behaviors on the performance of multinational companies. The methodology heavily relied on existing previous literatures on the subject being dealt with.
 Results: Transactional leadership was explicated as the style of leadership that focuses on meeting specific goals or performance criteria and the development of followers and their needs. Relations-oriented leaders are different from task-oriented leaders. On this side of the spectrum, relations-oriented leaders tend to focus more on developing a close relationship with their employees.
 Implications: Transactional leadership style lacks supervision and influence on subordinates from leaders, as they indulge themselves from any situation that threatens or confronts them; therefore, the responsibilities are shifted on the employees.

Assessment of Cross Cultural Communication Strategy with Employees’ Performance in Selected Multinationals in South East Nigeria

This paper focuses on assessment of Cross Cultural communication strategy on Employees performance in Selected Multinationals in South East, Nigeria. The objectives which guided the study were a to ascertain the effect of adopting cross cultural communication strategy on employee performance of selected multinational companies and examine the effect of cross cultural religious tolerance on employee performance. A five point Likert scale-type questionnaire was constructed, and administered among the staff of the selected multinational companies in the South East Nigeria manually. The sample size of 313 was obtained from the population. The hypotheses were tested using simple linear regression statistical tools. The results of the analyses showed that adoption of cross cultural communication strategy positively affects employee performance of selected multinational companies in the South East of Nigeria (r = .930; f = 1474.049; t = 38.393; p = .00). Implementation of cross-cultural religious tolerance positively affects employee performance of selected multinational companies in the South East of Nigeria (r = .938; f = 276.425; t = 16.626; p = .00). The study concluded that; cross-cultural communication strategy and religion tolerance influence employees’ performance of multinational companies’. It was recommended that; Management of various multinationals should develop a policy framework that will encourage the diverse cultural communication especially as regards to the operational area of the multinational; the employees of an organization should see diverse religion within the organization as a one hence creating an atmosphere that will improve individual and organizational performance.

Effects of Thin Capitalization and International Law on Performance of Multinational Companies in Nigeria

Effects of Thin Capitalization and International Law on Performance of Multinational Companies in Nigeria

Does Multiple Leadership Styles Mediated by Job Satisfaction Influence Better Business Performance? Perception of MNC Employees in Malaysia

One of the biggest challenges facing leaders today is the need to develop new business models that stress on effective leadership styles, employee job satisfaction and sustainability without sacrificing the financial and non-financial performance. The objective of this study is to examine the relationship between leadership styles and business performance of multinational companies operating in Malaysia mediated by job satisfaction. A quantitative study, using self-administered structured questionnaire, are issued using purposive sampling via direct distribution to 150 employees working in MNC. Analysis using Statistical Package for the Social Sciences (SPSS) and Partial Least Square (PLS) indicated that spiritual leadership style has the highest significant influence on job satisfaction, followed by authentic leadership style, transformational leadership style, and transactional leadership style. In addition, job satisfaction has a mediating effect on the relationship between each of the leadership styles, namely, transactional, transformational, authentic, and spiritual on business performance.

TRANSFERNE CIJENE I PERFORMANSE MULTINACIONALNIH KOMPANIJA

This paper deals with the concepts of transfer pricing and performance of multinational companies. The main transfer pricing methods are presented and also their impact on the performance of multinational companies. It is particularly important to note that for real performance evaluation of multinational companies it is necessary to apply the arm’s length principle in determining the transfer prices.

Strategic Management Accounting Role In The Performance Measurement And Control Of Multinational Companies

Abstract The type and amount of information needed by top management of large companies is primarily determined by the role of individual managers. Thus, managers at the top of the hierarchy in complex enterprises need information that is different from the information managers of individual divisions or strategic business units. Starting from these requirements, strategic management accounting has developed a number of ways to provide information aimed at shaping corporate strategy. In this regard, the paper will be discussed various aspects of performance measurement in multinational companies, as well as the tasks to strategic management accounting should meet within them. Bearing this in mind, the main objective of this paper consists in analyzing the importance of strategic management accounting is to successfully manage the performance of multinational companies. Adequate application of theoretical concepts and research methods chosen, the work is expected to extending domestic literatures in this field meet our economic releases to the role of strategic management accounting in the measurement and control of the performance of multinational companies.

AQUISIÇÕES INTERNACIONAIS EM MULTINACIONAIS: SOB UM CAMPO DE FORÇAS

The purpose of this essay is to debate the performance of multinational companies concerning the management alternatives of their foreign unities, especially the ones derived from acquisitions, with consequences on the interaction between the headquarters and its subsidiaries or colligates and the managerial learning and knowledge associated to this process. First the problematic of internationalized companies by foreign direct investments – FDI’s, mainly by acquisitions and strategic alliances, is discussed. The intensity of the assimilation and interchange of values and practices within organizations in interacting process is stressed, including a set of typologies derived from the existing related literature. After this, a more specific approach about intra and interorganization aspects of the multinationals is performed, related to strategies, competences and roles of headquarters and subsidiaries, as well as their impact on the knowledge flux and its derived learning modes, evolving a established typologies set. The next step is to discuss two visions about the opposition between the universal and the particular in international management, with global and contextual aspects: a convergence-divergence opposition, like a force field, impacting on the knowledge transfer. Finally, some concluding comments are made, emphasizing, for the purpose of contribution, another type of multinationals typology relating the convergence-divergence duality to the organizational and national levels, as well the positioning of the companies in the resulted matrix.