Formulating an International Growth Strategy: Considerations for MNC Decision Making Process

Yezdi H. Godiwalla


The purpose of the article is to review the issues relevant to the formulation of an MNC's international growth strategy. These include the ideas pertaining to the nature and extent of multi-nationality of the MNC, the degree of decentralization and the strategic and operating decision-making process. An effective international growth strategy of an MNC would provide it the focus that aims to maximize the organizational capabilities and the scope of the environmental opportunities. International growth strategies also leverage the differences in resources of the countries of the multinational corporation. There is a need for a systematic step-by-step approach to developing an international growth strategy. The quality of: (a) vision and goal clarity, (b) data gathering and sorting and reporting, and (c) analyses determine the quality of outcome of international growth strategy. International growth, competitiveness, flexibility, and long term investments in human and capital resources are the key to international growth. Organizational development should be perceived as an important ingredient for an MNC as it strives towards strategic progress. An effective international growth strategy of an MNC is the key to the continuous long term success of an MNC.

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International Journal of Social Science Studies   ISSN 2324-8033 (Print)   ISSN 2324-8041 (Online)

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