Multinational Firms From the Perspective of Network Theory: Achieving Business Success on a Global Scale

Abstract

Multinational companies stand out with their successes on a global scale, in terms of both financial strengths and managerial capabilities. A multinational corporation is any business that operates independently and primarily has its headquarters situated in one nation, while also owning fully or partially subsidiaries registered in many jurisdictions. The literature on multinational companies, which typically emphasizes macro and microeconomic theories, also includes studies on management disciplines. Network theory stands out as a cornerstone for understanding multinational companies, due to their multi-branch structure and cross-border relationships. It holds a significant role in the literature on multinational firms, owing to its roots across social, socioeconomic, sociopsychological, institutional and organizational implications. In this context, this chapter delves into the details of multinational firms from the perspective of network theory, exploring its mathematical, social and socioeconomic foundations, and the perspectives offered by American and European schools. © 2026, IGI Global Scientific Publishing. All rights reserved.