Authors:

Alla G. DEMENTIEVA Dr. Sc. (Econ.), Professor of Management, Marketing and Foreign Economic Activity Dept

Mariya I. SOKOLOVA Cand. Sc. (Econ.), Professor of Management, Marketing and Foreign Economic Activity Dept.

Abstract:

The article investigates globalization as one of the basic trends in the world economy of the 20th–21st centuries. Globalization affects virtually all areas of economic life of any country providing serious preferences for some of them and creating difficulties to others. Global business is one of the phenomena of globalization. Its organisational and managerial mechanisms are primarily related to the creation and operation of multinational corporations (MNCs) and are not yet fully explored in the world scientific literature. Studying global business management problems is possible only on the basis of a system-based approach to analysing investment attractiveness of a particular MNC. Investment attractiveness of a company is a multifactor indicator, the evaluation of which depends on many parameters, including the effectiveness of business processes in large companies and the ability to respond quickly to global changes at macro and micro levels. Different organizations tackle this problem in different ways, but at the heart of its solution is laborious analytical work on developing a strategy aimed at creating, implementing and maintaining competitive advantages and ensuring the interests of stakeholders. The authors reveal that actions of the corporate centre not always contribute to the effective development of global business. Although a company’s strategy is a result of a team work, the top management takes the lead in this process and is responsible for analysing messages and recommendations given by leaders at lower management levels. We find that collective discussion by the board of directors of a corporation is obligatory for crucial strategic decisions to be taken.

Keywords: GLOBAL BUSINESS, STRATEGIC MANAGEMENT, CORPORATE CENTRE, STAKEHOLDERS, COMPETITIVENESS, HOLDING

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