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Understanding international differences in perceptions of management control is important to the management of risk within multinational companies (MNCs). The effectiveness of the control of risks is a matter of opinion – at least until control has been shown to have failed. Different perceptions of what constitutes risk, and of how risks can be managed, lead to differences of opinion about the effectiveness of control. These can hinder the international transfer of corporate control systems. Different perceptions lead to misunderstandings, which can lead to the failure of management control. The findings reported in this article are part of the conclusions of a wider study that compared perceptions of management control between Chinese and British managers.
Author: Dermot Williamson
Source: European Business Forum (EBF)
Subjects: Corporate Governance, International
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