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The multinational company structure of Philips can be directly attributed to the survival steps the company took to keep the company operational during World War II. Setting up individual and autonomous national organizations (NOs) not only enabled the company to survive the war (which demolished most of its buildings and plants) but set them up for much of their future success that enabled them to become the leading consumer electronics company in the post-war world.
The NOs helped Philips take profit from two of the biggest advantages of the multinational system—customized products and quick response to changing local situations...
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