The organization structure of the Multinational Corporation (MNC) evolves over time due to changes in economic policies, tax laws, government regulations, and political structures. The organizational structure of the MNC varies, in which each manager’s level has a varied degree of authority and responsibility.
MNCs are firms with significant foreign direct investment assets. They are characterized by their ability to derive and transfer capital resources worldwide and to operate facilities of production and penetrate markets in more than one country, usually on a global scale. Multinational enterprise (MNE) has been a popular term because it reflects the fact that many global firms are not, technically speaking, “corporations.” The terms transnational corporation and supranational corporation are often used within the United Nations system, in which many internationalists argue that the operations and interests of the modern corporation “transcend” national boundaries.