Question

1. Why do you think corporate universities are becoming more popular among MNEs? How do both MNEs and employees benefit from corporate universities?

Answer 1

ANSWER: In business and management literature the term ‘corporate university’ appeared first in the early 1980s, referring for the initiatives within corporations that are labeled academy, university, school or institute, and which usually adopt the ‘symbolic paraphernalia’ of education and targets to impart practical skills and systems at workplace. Today MNEs are adopting the corporate university model to meet their requirements on training, a model which is adding value to the business in terms of profit and revenue, improving productivity of employee, improvement in customer retention, reduction in cost, and retention of talented employees. This model is also responsible for the management of the knowledge in both internal as well as external environments and providing the solution to the concern of unemployment and underemployment; and is integrating diverse workforces. Furthermore, MNEs implementing a global, multi-domestic, or international strategy face pressures, given growing globalization, for assisting the employees understand global operations, constraints, and opportunities.