Multinational Corporations

11610 WordsFeb 4, 201347 Pages
Sr no | Topic | Pg no | | IntroductionCharacteristics of MNC’sSignificance of MNC’sAdvantages & Disadvantages of MNC’sCultural Problems faced by MNC’sMarket ImperfectionInternational powersManagement Functions in MNC’sGrowth of MNC’sMNC’s and Developing WorldConsequences of MNC’s on developing countriesMNC’s in IndiaForeign Collaborations in India10 Best MNC’s all overConclusionbibliography | | Introduction A multinational corporation (MNC) or multinational enterprise (MNE) is a corporation that is registered in more than one country or that has operations in more than one country. It is a large corporation which both produces and sells goods or services in various countries. It can also be referred to as an international…show more content…
in 1890. There are three phases in the growth of MNCs. The first phase lasted upto the 1st World War. The field was captured mostly by the European Companies such as Imperial Tobacco, Dunlop, Siemens, Philips, etc. The Growth of MNCs halted during the post-war period between 1930-1950 on account of recessionary situation prevailing the world over in those days. During the second phase, covering the decades of fifties and sixties, American MNCs such as General Motors, Ford Motors and IBM emerged on the world scene. The third phase of the growth of MNCs began since 1970s. This new era belonged to the European, German and Japanese MNCs. In recent years, MNCs have also emerged from developing countries such as India, Malaysia, Hong Kong, Singapore, South Korea, Indonesia, etc. Based U.N. (1993) data, the number of MNCs in 1992 had exceeded 37000 and their global sales exceeded 5.5 U.S. dollar. American, European and Japanese companies are the world 's largest corporations. GROWTH OF MNCs The rapidity with the MNCs are growing is indicated by the fact that while according to the world investment report 1997 there were about 45,000 MNCs with 2,80,000 overseas affiliates; according to the world investment report 2001, there were over 63,000 of them with about 8,22,000 overseas affiliates. China was host to about 3.64 lakh of the affiliates (i.e., more than
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