Financial Strategy

Multinational Corporation - business enterprise with manufacturing, sales, or service subsidiaries in one or more foreign countries, also known as a transnational or international corporation. These corporations originated early in the 20th century and proliferated after World War II.

Becoming a multinational corporation encourages the company to be risky and also presents a way to offer what you have to another market, it gives to other people the possibility to know you in other places. In addition, it also will help the country where you are going because for example some "developing countries encourage multinational companies because of the innovative technology they bring to the host country and because they typically offer higher wages than the national average."What Are Two Strategies Commonly Used by Multinational Companies? (n.d.). Retrieved November 19, 2017, from https://yourbusiness.azcentral.com/two-strategies-commonly-used-multinational-companies-27096.html In conclusion, multinational corporations are a way to success when you are already a big company and sometimes when you are a small one because it gives you and the other countries the opportunity to

Should a risk or benefit analysis be used in situations where a defect in design or manufacturing could lead to death or seriously bodily harm, such as in the Ford Pinto situation? And was it the proper framework to use in this situation? If so, it seems that the correct decision was made. Examining this question after-the-fact, it certainly seems like a poor decision. There are arguments both for and against such an analysis.

A multinational corporation houses other offices and factories in different countries and regions (Investopedia.,2014). In addition, these corporations tend to have a centralized office where global management is carried out. Becoming a multinational corporation has the advantages of vertical and horizontal economies of scale as well increased market share due to the increased outputs (Investopedia.,2014). To contrast these corporations can be portrayed as entities that seek political and economic control. While this perception is not always the case it does occasionally occur because big businesses can impact the countries they are in.

The business purpose of multinational companies is to generate revenue, to dominate the preferred market and sourcing the cheapest way to run the business.

Multinational Corporations have always been and are currently now under harsh criticism. They are mainly condemned for exploiting resources and workers of third world countries, taking jobs away from the US industry, and destroying local cultures. Although there are negatives of multinational corporations, there are also positives. Business done overseas provides jobs for the people of the host country, improving the standard of living, and transfers technology. Richard T. De George explains moral standards, in five basic theses, that multinational corporations must adhere to in order to maintain corporate ethics.

Multinational corporations are companies that have branches and operations in two or more countries. These companies are the main results of globalization, since they operate all over the world as if it was one country. Multinational corporations have a home country which contain their headquarters and offices for management and have host countries in which their operations take place. The home countries of multinational corporations are usually developed countries that have great capitals and the host countries are developing countries due to the low costs of labor, raw materials, and taxes paid to the governments.

Multinational corporations are business entities that operate in more than one country. The typical multinational corporation or MNC normally functions with a headquarters that is based in one country, while other facilities are based in locations in other countries. In some circles, a multinational corporation is referred to as a multinational enterprise or a transnational corporation .

International business ethics challenges the corporate world to deal with questions of what to do in situations where ethical standards come into conflict as a result of the different cultural practices in the nation. Since, there is this dilemma that has progressively troubled the large multinational corporations, international business ethics has arisen to help address these adhesive subject matters. There are several international business ethics discussions on the question of how to act in the home country as opposed to the host country is at the central point of most international corporations. The argument in question is how companies should practice their business according

All companies have certain ethical and moral responsibilities that they should uphold. For most companies figuring out these ethical responsibilities is done through a combination of the owner’s and/or shareholder’s moral and ethical views on their responsibilities, laws set for by the government one is working under, and the cultural traditions of the area one operates their business from. Multinational companies have a much harder time deciding where they stand on some ethical issues because they may operate out of many different cultural areas and countries with very different laws. Nike is one such multinational company and the focus of this paper.

A multinational corporation (MNC) is a corporation that operating in two or more countries, known as host countries but managed from one country, known as home country. Multinational Corporation is also known as international corporation (Wikipedia, 2011). Besides that, MNC can be defined as a corporation that derives revenues from operations in countries other than home country (BusinessDictionary, 2011).

Multinational corporations are evidently playing a starring role in the current process of globalization. This has been fueled by the rising share of cross-border capital flows attributable to foreign direct investment of such multinationals. Further, the multinational corporations have played an integral role in linking financial and product markets globally through transfers of technology, physical capital as well as management techniques. However, in order to venture into foreign markets, corporations have to use well-thought strategies to avoid failure. Some of the strategies used include, operating production facilities in a foreign market to cater for that market and the entire region, fragmenting its global production and research and design, or operating wholesale-trade outlets to import and distribute products into new markets.

Multinational Organizations provide jobs to individuals all over the world, helping to expand the job market and bridge the gap between different countries. Although this sounds reputable it does have its share of issues, since all countries operate in their own way following their own laws and customs thus making it difficult to have a set standard of moral obligations for the multinational companies who operate within them. These countries however are not free from moral obligation and instead need to find creative ways to insure ethical behavior in each individual country and as a whole. Companies have an obligation towards social responsibility, which if violated may result in various costs such as fines or lawsuits. In order to effectively fulfill this obligation they need to act ethically in terms of competing fairly and paying taxes. They also need to insure that they are adhering to the laws and customs of society in terms of who they hire and how they treat both employees and individuals in general. While both of these facts are important another concern is the way a company conducts business, which reflects heavily on itself, creating its own reputation. If a company acts immorally people will hear about it and the business may find that they are no longer able to recruit ethical employees, since more often than not ethical individuals want to work for a moral company with good business practices. This behavior is important as it impacts long term relationships

The primary purpose of this essay is to evaluate the Multinational Corporations (MNCs) role in discharging their ethical and philanthropy beyond the statutory requirements and its implications on the reporting system.

A multinational business will face many ethics challenges, but with the right management and the right training, these challenges can be dealt with in an effective and ethical way. It’s sometimes hard to understand the thoughts one may have when making a decision that is unethical. The best thing to do is to think through all options you have and options you think you may not have before taking action.