Why do companies globalize? Discuss with reference to key theories in the area.

| January 10, 2016

Why do companies globalize? Discuss with reference to key theories in the area.
4 Theories that must be used:
Neoclassical economic theory
Market power theory (Hymer 1960)
Product cycle theory (Vernon 1966)
Eclectic theory (John Dunning)

References:

Dicken, P. (2011) Global Shift: Mapping the Changing Contours Of the World Economy, 6th edn. – Introduction Questioning Globalization.

Dicken, P. (2011) Global Shift: Mapping the Changing Contours Of the World Economy, 6th edn. – Part 1 The Shifting Contours of the Global Economy

Jenkins 1991,

Morgan, G. (2005) ‘Understanding Multinational Corporations’ in Ackroyd, S. et al. (eds) The Oxford Handbook of Work and Organization.

UNCTAD (2002) World Investment Report 2002. Geneva: UNCTAD

Held, David, McGrew, Anthony, Goldblatt, David, and Perraton, Jonathan. (1999) Global Transformations.

Hirst, P. and G. Thompson (1996), Globalisation in Question

Dunning, J. (1999) Trade, Location of Economic Activity and the Multinational Enterprise: A Search For an Eclectic Approach in Peter J. Buckley and Pervez N. Ghauri (1999) (eds.) The Internationalization of the Firm

Buckley, P. and Casson, M. (2002) The Future of the Multinational Enterprise.

Boussebaa, M., Morgan, G. & Sturdy, A. (2012) ‘Constructing Global Firms? National, Transnational and Neocolonial Effects in International Management Consultancies’, Organization Studies, 33: 465-86.

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