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Mini Multinational Companies - The New Force in the Global Economy

Dusko Pavlovic

Dusko Pavlovic 1

  1. Diu Libertas International University Trg J.F Kennedy, Zagreb, Croatia 1

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Abstract:

Large companies, multinational companies of the industrially most developed economies have been the dominant force behind international economy since the 17th century. Their power became particularly prominent in the second half of the 20th century. Since the 1990-s these companies have started facing competitors in the global market – the largest companies from the developing economies, thus changing the list of the greatest global multinational companies as well as the list of countries they are based in. Nevertheless, up until the end of the 20th century, the prerequisite for the presence on the global corporate scene was the size of the company. Technological changes above all, the development of online business and lower costs of telecommunication and transport services in the last 20 years have also enabled medium and small sized companies to organise their business on the global scale. A new type of company also appeared – the mini multinational company. The paper analyses the conditions of setting up and developing a mini multinational company, its work principles and current position in international economy. The paper also points to the possibilities of medium and small sized companies in the Republic of Croatia to use the mini-multinational experiences in order to expand their corporate activities onto the international market.

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