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Internet Exercise: Organizing for Effectiveness (Luthans International Management: Culture, Strategy, and

Behaviour 10th edition)

Every MNC tries to drive down costs by getting its goods and services to the market in the most efficient way. Good examples include auto firms such as Ford Motor and Volkswagen, which have worldwide operations. In recent years Ford has been expanding into Europe and VW has begun setting up operations in Latin America. By building cars closer to the market, these companies hope to reduce their costs and be more responsive to local needs. At the same time this strategy requires a great deal of organization and coordination. Visit the websites of both firms and examine the scope of their operations. The web address for Ford Motors is and for Volkswagen it is

Question: Which of the two companies has the more modern arrangement? 

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