Multinational
A multinational corporation is a company that operates in multiple countries, with business units and branches scattered around the world. Multinationals usually have headquarters in the mother country and also operate in various international markets. Multinationals are set up to operate globally, explore markets, and reach customers in different regions. They benefit from economies of scale, access to diverse labor markets, and opportunities for tax optimization.
Function and application of multinationals
The function of a multinational corporation is to offer products and services worldwide, responding to local market conditions and customer needs. In doing so, they promote international trade and contribute to economic growth in the countries in which they operate. They develop global strategies but adapt them at regional levels to gain competitive advantage and maximize efficiency. Examples include companies such as Apple, Unilever and Shell, which operate in many countries to serve local markets and increase their global presence.
