Comparison Between Managerial Frameworks of MultinationalCompanies in Developed and Developing Countries

While the literature on the managerial framework of multinational companies is abundant, that pertaining to MNCs in developing conutries is patchy. Based on the questionnaire developed by Tunga Kiyak and tested in U.S multinational companies. A survey of top-level managers in Malaysian multinational companies was conducted to compare the managerial frameworks of two developed and developing countries. The results show that there are significant interrelationships among leadership, stralegy, structure, processes, and culture of multinational companies. Of all the constructs, only strategy determines the market and financial performance of a malaysian MNC and the other constructs influence the performance indirectly and primarily by shaping and facilitating the implementation of the strategy of the MNC: while in U.S MNCs processes of the companies play this role. However, that does not invalidate the argument that the other constructs have no bearing on the operational, financial and market performance of a MNC. The paper also argues that in Malaysian MNCs culture and processes are directly related and multinational structure and processes indirectly through the structure of the company and to put in placs structures. managerial processes are required.

Keywords:

multinational companies , managerial framework , Malaysian MNCs , U.S. MNCs , performance