Economics and Management of Multinational Enterprises (5 CFU)
Prof. Lucia Piscitello
Content of the course
Globalization has created new growth opportunities for companies by accessing resources and serving markets worldwide. This course focuses on the strategic and organizational challenges involved in managing activities across borders (e.g. different cultures, administrative systems, geographic distances) in an increasingly interconnected world. Students will be provided with frameworks that help them to understand: Why firms do (or don’t do) international business? How do they do it? What are the international strategies firms use as they go overseas? How firms build a global presence by choosing countries, products and modes of entry? How firms organize for international business?
The course will combine the development of conceptual frameworks primarily through the lectures with the analysis and discussion of key cases in the classes.
2) Detailed program description
1. Definitions, data and trends on multinational enterprises and foreign direct investment
1.1. Multinational companies: who are they?
1.2. Data and trends
1.3. Historical evolution
2. Why firms become multi-national
2.1. The search for international markets
2.2. The search for new/cheaper resources
2.3. The international search for innovation
2.4. International risk reduction objectives
3. How MNEs enter a foreign market
3.1. Entry strategies
- Why enter?
- When to enter?
- How to enter?
3.2 Entry mode for global companies
- Entry through mergers and acquisitions
- Entry by startup
- Entry by strategic alliances
4. Where MNEs (should) locate their activities
4.1. Modelling firms’ location behavior
4.2. Linkages, spillovers e clustering
4.3. National/regional/local innovation systems
4.4. Connectivity and global cities
4.5. Geography of jobs
5. Global strategy in a time of troubles
5.1. The emergence of new actors
- Emerging economies
- Sovereign wealth funds
- State-owned enterprises)
5.2. The social responsibility of the global firm
- Global companies and business ethics
- Global companies and sustainable development
- UNCTAD Investment Policy Framework for Sustainable Development, UN Global Compact, OECD guidelines for Multinational Enterprises
Organization of the course and final exam
The course will include traditional lectures, and discussion of real world cases – also through students presentations prepared in class. The final evaluation will be based on class work and on a final oral test. Non-attending students can replace the class work with a comprehensive oral test, which will include both theories and real world cases.
- Slides and case studies available on Beep
- Lasserre Philippe. Global strategic management. Palgrave Macmillan. Third Edition.
- Ietto Gillies Grazia. Transnational corporations and international production. Concepts, Theories and Effects, Second Edition. Edward Elgar.
For further information, please send an email to:
Prof. Lucia Piscitello – firstname.lastname@example.org