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Question
Explain the correlation of the following statement.
Multinational Company and Transnational Company
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Solution
While both multinational and transnational corporations operate globally, multinational corporations have a centralized global management system while transnational corporations do not have a centralized management system. For this reason, business decisions occur at different levels. This limits decisions that can be made by individual multinational corporations. Both, however, are major contributors to economic development through the provision of goods and services as well as employment creation.
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