Business, Management and Accounting
2 years ago

Multinational Companies Losing Unique Identity Due to Institutional Isomorphism

Journal of corporate governance insurance and risk management
Institutional Theory and Isomorphism: Limitations in Multinational Companies
Ana Krajnović

Paper Summary

The article discusses how organizations in the same industry tend to become similar due to institutional pressures. This is known as institutional isomorphism. However, this theory has limitations when applied to multinational companies and their subsidiaries. These companies face complex operations and environments that make them unique compared to organizations in a single country.

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