INSEAD the business school for the world

Selected Case

published: 29 Sep 2014

  • Topic: Economics & Finance
  • Industry: Various
  • Region: Global

One of the biggest challenges for multinational corporations (MNCs) is to determine and consolidate their borders. In order to do so, MNCs increasingly strive to create value innovation, particularly within their internal capital market. Accordingly, their corporate treasury functions have witnessed three stages of major evolution in the 21st century.

Pedagogical Objectives:
This case aims to provide an in-depth analysis of MNCs' treasury evolution based on Blue Ocean Strategy and the Coase theorem. In particular, we discuss how corporate treasury can help MNCs to consolidate their borders and how its different stages of evolution can result in either value creation or value innovation.

Blue Ocean, Corporate Treasury, Coase Theorem, Globalization, In-House Bank, Re-Invoicing, Internal Capital Market, Shadow Banking