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Multinational corporations (MNCs) can have both positive and negative effects on domestic companies. MNCs can bring in technology, knowledge, and investment that can boost the domestic economy, create jobs, and foster innovation. However, they can also pose competition to domestic firms, leading to market concentration, reduced market share for local companies, and sometimes exploitation of labor and resources. It is essential for governments to have robust policies in place to ensure a balance between reaping benefits from MNCs and protecting the interests of domestic companies.
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MNC are a mixed blessing to the developing countries Comment on this statement?
Multinational Corporations are indeed a mixed blessing for the development countries. This is because of the fact that although MNCs has there advantages but, along with them it also has its own disadvantages.The following points highlight the advantages of MNCs to the developing countries.i. Better employment opportunities- MNCs help to create better and high number of employment opportunities in the developing countries. With increased market operations, they help in boosting the employment in the nation.ii. Employing new technologies- As MNCs enter the markets of the developing countries, it brings along the new technologies and innovations with them. This adds to the development of the domestic industries.iii. Improvement in infrastructure- Along with the use of new technology, the overall level of infrastructure of the country also rises. This also adds to the benefits to the developing countries.iv. Wide variety of goods available- As MNCs enter the domestic market, it brings along a flood of variety of the goods and services that are provided in foreign markets. This provides the developing nations a variety of goods to choose from.The following points highlight the disadvantages of MNCs.i. Exploitation of cheap labour- MNCs often lead to the exploitation of the cheap labour in lieu of low wage rates.ii. Increasing domestic competition- By influencing the market, MNCs increase the level of competition among the domestic industries and thereby damages the domestic market.iii. Outflow of funds to protect MNCs- The government in order to protect the MNCs for foreign investment, directs huge amount of funds to them. Also, large amount of funds in terms of profits and dividends, etc also flows out to the foreign countries.iv. Environment degradation- As MNCs use the natural resources present in the developing countries, it leads to a depletion in the domestic resources. All this may result in environment degradation and displacement issues.Thus, analysing the above pros and cons of MNCs, we can say that they are a mixed blessing for the developing nations.
What are the effect of international finance on domestic trade?
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Domestic airline effect on Indian aviation?
Domestic airline effect on Indian aviation?
History of Multinational Companies?
Multinational Companies(MNCs) are large companies that operate in several countries at the same time. The first MNCs were established in the 1920s. Many more came up in the 1950s and 1960s as US businesses expanded world wide and Western Europe and Japan also recovered to become powerful industrial economies. The worldwide spread of MNCs was a notable feature of 1950s and 1960s. This was partly because high import tariffs imposed by different governments forced MNCs to locate their manufacturing operations and become 'domestic producers' in as many countries as possible.
Effect of domestic violence?
hey there guys domestic effect of violence is happening all over the world these days.
How do humans effect their environment?
We destroy it! Cos that's all we know how to do!
Why people are againt domestic violence?
People are against domestic violence because of the effect on the family and society. Domestic violence has both emotional and physical effect.
What is the role of multinational companies in your Indian economy?
There is no distinction between an MNCs & a domestic company in India policy regarding MNCs is the same as for Foreign Private Capital in indie. Large & dominant MNCs along with Indian Companies are covered under MRTP Act. MNCs are specifically covered under Foreign Exchange Management Act (FEMA).Now, we study the operation of MNCs in India:1.) Profit Maximisation.2.) International Network of marketing.3.) Diversification Policy.4.) Concentration in Consumer goods.5.) Location of central control offices.6.) Techniques to achieve Public Acceptability.7.) Existence of Modern & Sophisticated Technology.8.) Business but not social Justice.9.) MNCs & Process of planned Economic Development in India.10.) Cultural Explosion.Read more: What_is_the_role_of_Multinational_companies_in_India
Which are the MNCs of Indian origin Which are the Indian MNCs operating abroad?
ITC Hotels Kingfisher Tata Steel Jindal CISCO
What are disadvantages of multinational corporations?
The adverse effects of MNCs A.On the home country: 1.Loss of jobs. 2.Loss of tax revenue. 3.Flexibility of operation is reduced in a foreign political system and thus causes instability. 4.Competitive advantage of multinationals over domestic firms. B.On the host country: 1.Remittance of dividends and profits that can result in a net outflow of capital 2.MNCs engage in anticompetitive activities such as formation of cartels and dumping.. 3.MNCs offer higher wages to its employees in the host countries,which is much more than any other domestic firm. 4.Obsolete technology may be used in the host country.
What are disadvantages of corporation?
The adverse effects of MNCs A.On the home country: 1.Loss of jobs. 2.Loss of tax revenue. 3.Flexibility of operation is reduced in a foreign political system and thus causes instability. 4.Competitive advantage of multinationals over domestic firms. B.On the host country: 1.Remittance of dividends and profits that can result in a net outflow of capital 2.MNCs engage in anticompetitive activities such as formation of cartels and dumping.. 3.MNCs offer higher wages to its employees in the host countries,which is much more than any other domestic firm. 4.Obsolete technology may be used in the host country.
Bubble ogly does corn syrup effect the quantity of a bubble?
no it dosent cos i tested it
