The Dynamics of the Global Multinationals: Determinants of New Global Configurations and New Management Challenges

Abstract

During the last few decades, the complex interplay between (the process of) globalization and (the evolution of global) multinationals has radically changed both the architecture of the global economy and the characteristics of their main players – the global multinationals; new configurations have emerged, while new complexities have replaced them, in unprecedented (in terms of speed, breadth, and depth) manners, adding new valences to the challenges firms and their strategists are confronting nowadays. The aim of the paper is to identify (some of) the most significant shifts that have marked the dynamics of the global multinationals during the last two decades, in order to sketch the new realities and trends that define the global economy as is it today, on one hand, and to determine the challenges these new (diverse and dynamic) conditions raise in front of firms and their strategic management, on the other hand. Against the background offered by the literature review – on the mutually reinforcing and ever-emerging relationships between globalization and (the global) multinationals, the paper will develop a (historical) comparative analysis of the world’s largest companies – based on Fortune Global 500 rankings (which represent a widely recognized benchmark); the combination of the two methods (literature review and analysis of real data) will ensure significant insights on the subject while setting the premises for reliable findings and conclusions, as well as for future research directions.