 In this topic, we are going to discuss about the variable moderating differences between domestic and international human resource management, which is the extent of reliance of the multinational on its domestic market. Your dependence on your domestic market means that a multinational which has sales in its home country, as well as in foreign countries, how much the sales and the assets and the employment is coming from the home country and how much is coming from the foreign countries. If your domestic market is influencing, if your domestic market is huge enough, then the effect of that domestic influence is going to be more pronounced on your foreign operations and if you have a smaller domestic market, your operations will have more liberty to go international. For this, the United Nations has developed an index of transnationality. Transnationality is that how much an organization is international. It is the average of the ratios of number one, foreign assets to total assets, how much assets out of your total assets are foreign assets, how much of your sales are foreign sales out of your total sales and number three, how many people are employed from foreign countries out of your total employed people. So the index of transnationality is the average of all these three ratios. So if you look at this table, you will be able to see that this is the column which is showing home economy and in this column you can see that this is the column which is showing home economy. You can see that none of the companies that are in the list of the top 10 companies in terms of the transnationality index, none of the companies belongs to the USA. And why does that happen? You know that America is one of the biggest economies of the world and none of the companies which are top 10 in the transnationality index are coming from the United States. You know McDonald is such a big company but in the index of transnationality it falls on 29th number in 2008. Then Coca-Cola which is also a giant company that falls on the number 37th probably in the transnationality index although you can find Coca-Cola all over the world. You can find McDonald all over the world. But the thing is that their own economy is so big, the United States economy is so big that it absorbs a large portion of its products and employs a large number of people from its own country. So the ratio of foreign assets to total assets and foreign sales to total sales and foreign employment, total employment is not that high that lets McDonald or Coca-Cola fall in a high level of transnationality index. So that means that Coca-Cola and McDonald will have a more American influence on their policies and strategies whereas other companies which are more international, which have more foreign sales, more foreign assets, they will have more leverage to incorporate the cultural differences and make their international human resource management function more international.