Should the Kenyan Government encourage TNCs to invest in Kenya?
Globalization is the process by which businesses or other organizations develop international influence or start operating on an international scale (Capital, 2013). Globalization has increased the production of goods and services, for instance the biggest companies are no longer national firms, but transnational corporations with subsidiaries in many countries. Transnational Corporations (TNCs) are companies with branches in many different countries worldwide. They have their headquarters in their country of origin, and many manufacture their products in LEDCs. Examples of TNCs include Nike, Wal-Mart and Microsoft. They often locate their factories in countries that are
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It has a terrible water use ratio at 2.7:1 meaning for every one litre of product produced 1.7 litres is discarded as waste (Global Encyclopedia, 2014).It has made water access difficult for many by affecting the quality and quantity of local water supplies. As nearly 50% of Kenya’s population doesn’t have access to drinking water, converting fresh water into water that cannot be used is very irresponsible. Also the bottling plants produce noxious liquid effluent that is known to be harmful to the environment. An example is the bottling plant in Embakasi that discharges the effluent directly into the Ngong River that passes by heavily populated areas. This has led to contamination of the waters source thus causing a health effect on the residents as they depend on these water sources. The company has poor hygienic operation conditions. This has greatly affected coca cola’s reputation and has made many of their consumers move away from purchasing their products. For example the Equator bottlers was shut down after samples of sodas from the plant were found to have impurities. This saw many of the workers in this bottling plant go jobless. Lastly, Coca Cola produces a very large amount of beverages which floods the local market and displaces the locally produced goods. The Coca-Cola Company continued to hold the largest market share at 41.9 percent (James, 2012).As a result the local manufacturers such as Masafi juices have less or no
Everyone wants power, control over his or her life. In “To Kill a Mockingbird”, which is based on a rape trial, Mayella Ewell wins the case against Tom Robinson and seems to be powerful. Taking into account the troubles of the economic class, the role of women in society, and the importance of skin color in Maycomb, Alabama 1930’s, the real question is: Is Mayella Ewell powerful?
Globalisation is the internationalization of trade and often forces businesses to adopt new strategies for operations to suit different cultures and economies. The often easily saturated domestic market has triggered many large
Globalisation is a channel by which the world is rapidly connected due to massive trade and culture change .It has increased the development of goods and services. Many countries around the world now have subsidiaries rather than national firms. It has taken hundred of years to establish itself but has raised in the last half of the century. The international trade has increased due to the presence of globalisation. The companies started to operate in more than one country because of it. The global economy started heavily depending on globalisation. The movement of capital, services and materials
Globalization is the international influence, change, and interaction within or between countries and or nations. This creates an idea of connectedness between the facilitating nation and the nation being influenced. Within this interaction and influence on another nation there becomes this desire to become a “trendsetter” through the use of products and other various commodities throughout the world. One such example can be seen through the United States which is associated with so many different types of brands such as Coca-Cola or Nike. These influences and trends though cannot be simply placed anywhere, rather they are developed and strategically thought of
The business activity of companies in most industries is affected by the process of globalization. The need of globalization was determined by the necessities of companies that had to address markets in other countries in order to expand their business. In addition to this, they had to reduce their costs by hiring employees from other countries, and by outsourcing some of their processes to other regions.
I feel that transnational cooperation’s have had a large impact on globalisation. A transnational corporation (Multinational Corporation) TNC is a corporation or enterprise that manages production establishments or delivers services in at least two countries such as Coca Cola and Nike. Very large multinationals have budgets that exceed those of many countries. Multinational corporations can have a powerful influence in international relations and local economies and play an important role in globalisation. I feel that the economy is the most significant motivating force
The critical acclaim for The Canterbury Tales as a whole is matched by the puzzlement over the work’s conclusion, the “Parson’s Tale” and Chaucer’s retraction. By modern standards, it hardly seems the “merry tale” the Parson promises his audience, and after the liveliness of much of the rest of the Tales, it appears to close the work not with a bang, but a whimper.
Globalisation on a local scale has been greatly impacted by businesses. Several smaller, local businesses have been kicked out of action by their transnational cooperations. This is often a result of end consumers turning to cheaper retail prices which transnational cooperations can offer as they have mass manufactured products using cheap foreign labour. For example; the brand name 'Nike' mass produces products overseas employing approximately 38 000 employees in sweatshops and only pay them
Transnational corporations help control the economic market in developing countries. TNCs do this by helping the balance of payment export material as a result of increasing the Growth Domestic Product (GDP). An example of this would be manufacturing where companies such as Walmart are much wealthier and larger. By manufacturing plenty of products to larger companies,
What is a Transnational Corporation and what impacts do they have on society? Before we can discuss the impacts these types of corporations have on society, we must first have a basic knowledge of exactly what a Transnational Corporation is and how they are formed. Then we can begin to comprehend how these corporations’ impact things such as international trade and the effects they have on cultures throughout the world. Let’s begin by defining a Transnational Corporations.
Globalization: Globalization is the tendency of investment funds and businesses to move beyond domestic and national markets to other markets around the globe, thereby increasing the interconnection of the world. Globalization has had the effect of markedly increasing international trade and cultural exchange. Such as Starbucks, globalization became the topic of discussion, because they had to adjust to the different coffee taste that originated in different countries to maintain their customer
Well known companies like Nike, Microsoft, Sony, Shell Group are just some of the big companies that went global and expanded their trading around the world, they are large businesses that operate internationally in many countries. Development of worldwide integration urges companies to reach out international markets and interact with foreign customers. Businesses focus on fulfilling the demand of the market by its products or services, besides their target is increasing profit, in order achieve these goals they favor to expand their work in a foreign market. Other reasons to internationalize their business may be to become
The rapid pace of Globalization has led to a change in the global economy during the past several decades; it is believe that factors such as trade liberalisation, access to cheaper labour and resources, similarity of consumer demand around the world, and advances in technology and communication has widened the market of consumption, investment as well as production on a global scale. These globalization driven factors created new challenges and global competition for businesses around the world thus as a response many companies decided to expand their operation across national borders in order to be competitive. A company that operates their business in at least one country other than its country is called Multinational
2. What is the risk to Coca-Cola’s reputation in using too much water and producing waste water?
Water is turning into a scarce resource around the world; this has raised both cost and criticism; due to the large amount of water required for its production. However, the main threat is that water scarcity is on the rise and with the climate changing; sooner or later someone might start blaming beverage companies for it. Thus, Water sourcing is a sword hanging on the head of Coca cola. If water is limited or rationed, it may lead to a major downfall in their revenue and capacity of distribution.