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The dunning's eclectic paradigm in helping us understand why firms internationalise

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  1. Dunning's paradigm definition and effectiveness
  2. Eclectic paradigm limitations
  3. New theories of International Trade

Understanding the phenomenon of multinational firms is not simple. Not only the number of variables that influence their behaviour is immense, but the firms are constantly evolving always finding new strategies. Why a firm gets multinational? In recent decades, the role of MNCs plays an increasingly important within the global economy.
The internationally localization can be defined as the choice of the firms to "be" outside the national borders when they could have stay in their country of origin (Mucchielli Jean-Louis, 1998). This process rarely affects all the business functions because, as states (Krugman, 1995), the international decomposition of the business value chain is one of the most important aspects of the global economy.

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