How are multinational corporations controlled?

Multinational corporations (MNCs) combine various mechanisms such as planning, standardized procedures, and training to control their foreign subsidiaries (Harzing and Sorge 2003). Various factors, either internal or external to the firm, affect the application and effectiveness of control mechanisms in MNCs.

How do multinational corporations control production around the world or indicate the different ways in which multinational corporations expand their productions around the world?

Multinational corporations (MNCs) establish their factories or production units close to markets where they can get the desired type of skilled or unskilled labor at low cost along with other factors of production. (b) Buy the local companies and then expand their production using modern technology.

What are the problems with MNCs?

There are some challenges faced by MNCs who trade in international markets which may hinder their competitiveness and hence its controversies and these are as follows;