McKinsey & Company's finding that found that successful MNCs are underperforming successful "national Champions" is evidence of:
A)The benefits of exploiting the benefits of multinationality being outweighed by the cost imposed by the complexity
B)The rise of economic nationalism and the governments' waning commitment to free trade
C)The declining importance of global scale economies
D)The increasing difficulties of managing business activities across national borders

Question

Quizplus · Accepted Answer

McKinsey's finding suggests that successful MNCs are not performing as well as successful "national champions." This could be due to the costs associated with operating across national borders, which may outweigh the benefits of multinationality. This indicates that managing business activities across national borders is becoming more difficult, and that global scale economies may be declining in importance.

McKinsey & Company's Finding That Found That Successful MNCs Are