Research and Development in the Multinational Enterprise

Through research and development, MNEs keep on meeting the demands of customers and other stakeholders by better products. RD becomes more important for organizations into technical products like vehicles, engineering products, medicines, and others.Various strategic decisions regarding investment, product development, market to serve, and other decisions are important for any organization to go global for its operations. Different countries offer various supports for organizations to start their operations in their countries. There are various factors influencing the decisions of research and development in MNEs. The paper covers the Multinational Enterprise in the first section. This section deals with the various incentives and benefits of MNEs to extend their operations globally. This section also deals briefly with the challenges of MNE’s at various levels of operations. The next section deals with the literature review. Here in brief works of previous academicians and writers are analyzed. Selected industries are being discussed in the section Research and development in various industries. The three sectors largely depending on research and development software, automobile, and pharmaceutical is discussed in this section.Global heterogeneity can be on cultural, environmental, social, technological, financial, legal, and political. Any Multinational enterprise faces heterogeneity at various levels of its operations from customer development to Research and development.Every country or region has its own cultural set-up that might differ from the country of origin of the MNE. The cultural set up has an influence on the business operations and the strategic decisions directly or indirectly. The attitude and perception of people change with their cultures. This can influence the work culture of the organisation. For example