A case study of market conditions and organizational factors including, leadership style, culture, mission and strategy was conducted to examine and analyze the economic performance and profitability of a subsidiary of a multinational firm operating in Pakistan under two circumstances: first, as a subsidiary of a multinational corporation and later, as a locally-owned Pakistani business. An analysis of a ten-year history of performance and market conditions revealed market conditions alone did not explain the steady and profitable performance of the locally-owned company as compared to its performance under multinational ownership. Instead, strategic and entrepreneurial leadership, a flat organizational structure, emphasis on customer service, product quality, state-of-the art plant technology, teamwork, employee motivation and empowerment, open communication, and a mindset for continuous improvement were the critical factors associated with the turnaround of a former multinational firm from a failed enterprise to a successful business venture.

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