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The ethnocentric approach by MNCs is an example of "cross national isomorphism" (Ferner, 1997), which occurs when MNCs successfully transfer COO management practices into host country operations. Despite the impact of the globalization process, which increases the connectivity and interdependence of the world's markets and businesses ( Scholte, 2000), the ethnocentric strategy is still used nowadays by MNCs.
Another detactable COO effect is the use of expatriates by the parent company. The continued hiring of home country nationals for key management positions aids in preserving the COO effect...
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