Some factors that have impacted multinational firms are The Pressure of Diversity regarding culture, law, and institutions of countries. Expanding trade, reduced influence, and greater standardization of local conditions have led to MNCs' centralization in production strategies. Global firms lead management to strive to integrate their internal operations and policies 100%. It makes perfect sense for Labor relations functions to be centralized; it introduces labor relations to more effective business strategies aligned with the business. From 1950 to 2000, a high degree of local control in labor relations was decentralized regarding management functions such as finance or marketing