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Topic: Business
Number of pages / Number of words: 13 / 3609
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In addition, i have also included language standardization and

subsidiary characteristics.

Ethnocentric Strategy

An ethnocentric strategy is what Whitley (1992; cited by Ferner,1997) calls a ?national business system'.The COO effect attempts to illustrate how the headquarters (HQ) of a multinational corporation may influence the overall management practices of their foreign subsidiaries...


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First of all, a MNC is an enterprise that manages production establishments or delivers services in at least two countries (Dowling and Welch, 2004).

The ethnocentric approach by MNCs is based on the concept that approaches to management can be extended from the COO to foreign subsidiaries. Through the ethnocentric apoproach the MNC parent company may gain direct control over the management practices of its foreign subsidiary...


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