International business structure
An international business structure allocates responsibilities across countries, products and functions. Choices include an international division, country-based subsidiaries, global product divisions and a more integrated transnational arrangement. The choice balances coordination, scale, knowledge sharing and local responsiveness; operating in many countries does not establish which structure is used.
Worked example
A food group gives country managers control over recipes and marketing while centralising food-safety standards. The allocation of decisions matters more than simply labelling it multinational.
Common mistake
Treating all international businesses as centrally controlled or selecting a structure without considering strategy, local needs and coordination costs.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | SBL | Supporting | September 2026–June 2027 |