Multinational enterprises (MNEs) can adopt one of the following four
international competitive strategies: global strategy, multi-domestic strategy, home
replication strategy, and transnational strategy. The adoption of the best
international competitive strategy is dependent on two types of pressures, namely
pressures for local responsiveness, and pressures for global integration (also called
pressures for cost reduction).
Question: Based on the types of pressures, and the related international
competitive strategies, when is it more appropriate to centralize decision-making?