CONCEPT PREVIEWS

After reading this chapter, you should be able to:

explain why the design of organizational structure is important to international companies

understand the organizational dimensions that must be considered when selecting organizational structures

discuss the various organizational forms available for structuring international companies

understand the concept of the virtual corporation

explain why decisions are made where they are among parent and subsidiary units of an international company (IC)

understand how an IC can maintain control of a joint venture or of a company in which the IC owns less than 50 percent of the voting stock

list the types of information an IC needs to have reported to it by its units around the world