TY - JOUR AU - Prahalad, C. K. AB - YvesL.Doz ChrisropherA.BMtlett C. K. Prahalad Global Competitive Pressures and Host Country Demands Managing Tensions in MNCs After several years of proposals, persuasion, plant. Nevertheless, the company complied and subtle pressure from its customers, its em­ with the request. ployees, and various local and national govern­ The two situations described above are illustra­ ment bodies, the United States-based hospital tive of the scores of management decisions supplies company, Baxter Travenol, recently faced daily by multinational corporations, commissioned a new French plant to manufac­ where the drive for international competitive ture its:line of blood collection and transfusion advantage through global rationalization of ac­ products. The company already produced tivities is tempered by the needs and wishes of similar products in four other plants in Europe, host nations and the diverse demands of their several: of which had the potential capacity to markets. As global competition intensifies and supply the French market. The company was the variety of national demands increases, conscious of the fact that, from a purely eco­ more decisions are affected by those opposing nomic point of view, a single European supply demands for national responsiveness and for source would probably have allowed the great­ global rationalization. Management is TI - Global Competitive Pressures and Host Country Demands Managing Tensions in MNCs JF - California Management Review DO - 10.2307/41172603 DA - 1981-04-01 UR - https://www.deepdyve.com/lp/sage/global-competitive-pressures-and-host-country-demands-managing-5UjMyA47dl SP - 63 EP - 74 VL - 23 IS - 3 DP - DeepDyve ER -