Multinational Corporations (MNC)

The Meaning of Multinational Corporations (MNC)

There is no doubt today that multinational corporations (MNC) have already dominated the world economy. MNC see the world as a single entity that impact transcends all national boundaries. MNC make decisions not in terms of what is best for the home country of operations, but rather what is best for the corporations as a whole on an international basis.

According to Boundless.com, A multinational corporation (MNC) is a corporate enterprise that manages production or delivers services in more than one country. MNC's are companies with foreign subsidiaries. Multinational corporations can have a powerful influence in local economies, and even the world economy. (Boundless, 2016)

So, author can said

Multinational organizations build up innovative work divisions for the examination and development of new innovation underway, dispersion and for advancement of business exercises. Restraining infrastructure is new logical innovation is one of the primary explanations behind the improvement of some multinational organizations. Such multinational organizations can get simple section in creating nations. They likewise move new innovation into creating nations through their branches and backups which are useful for industrialization

3. International operations

One of the important features of a multinational company is its operation in two or more countries. It performs production and distribution activities at the international level through its branches or subsidiaries. Examples companies are coca cola, IBM, National Panasonic, Toyota, Pepsi Cola etc.

Well, author can said that one of the essential elements of a multinational organization is its operation in two or more nations. It performs creation and circulation exercises at the global level through its branches or auxiliaries. Illustrations organizations are coca cola, IBM, National Panasonic, Toyota, Pepsi Cola and so

Ownership and control

The ownership of multinational companies remains both with the parent company and the subsidiary company. However, major shares of the subsidiary companies established in various countries are contributed by the parent company. Therefore, the parent company plays a major role in the management and control of the subsidiary companies.

So, author can said that the responsibility for organizations stays both with the home and house company. Nonetheless, significant shares of the backup organizations set up in different nations are contributed by the guardian organization. In this way, the guardian organization assumes a noteworthy part in the administration and control of the auxiliary organizations.

6. Productive organization

Multinational companies are known as productive organizations. They produce goods and services of a specific nature both in the parent company and the subsidiary companies in various countries. This is done to spread their products at the international level. The parent company uses its own technology, brand, trademark and method of