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What is the role of multinational corporations in globalization?

Multinational companies play an important economic role in developing countries. One example is the ability of multinational companies to fill a country's trade gap by providing an influx of foreign capital.


What is the difference between a Transnational corporation and a multi national corporation?

A Multinational Corporation (MNC) is a corporation with extensive ties in international operations in more than one foreign country. Examples are General Electric, Exxon, WalMart, Mitsubishi, Daimler Chrysler, etc...A Transnational Corporation is a MNC that operates worldwide without being identified with a national home base. It is said to operate on a border less basis.


What is horizotal foreign direct investments?

A measure of foreign ownership of productive assets, such as factories, mines and land. Increasing foreign investment can be used as one measure of growing economic globalization. Horizontal foreign direct investments happen when a multinational company carries out a similar business operation in different nations.


How firms become multinational enterprises?

they are a number of ways in which a firm can become a multinational. for instance through Foreign direct investments, this is basically when a firm invests in physical items in a foreign country, to add value to their current level of trade. another way is through licensing and exports.


What factors determine the demand for a foreign currency?

The demand for a foreign currency is based on how many buyers are in the market. Generally speaking, when a corporation seeks to buy products from another company in a foreign country, that corporation will need to make the purchase in the currency of the aforementioned company. Usually their bank will enter the foreign exchange market on behalf of their client and buy the currency required. The greater the demand for that currency, the higher its price.

Related Questions

What is the role of multinational corporations in globalization?

Multinational companies play an important economic role in developing countries. One example is the ability of multinational companies to fill a country's trade gap by providing an influx of foreign capital.


Advantages of multinational corporations?

One advantage to having a multinational corporation is the fact that you can reduce your tax liability. Many foreign nations have reduced taxes when you the tax rates to the US.


What type of business ownership does business in the US but is charteredin another country?

A foreign corporation.


What has the author Marianne Inman written?

Marianne Inman has written: 'Foreign languages, English as a second/foreign language, and the U.S. multinational corporation' -- subject(s): Employees, English language, Foreign speakers, International business enterprises, Modern Languages, Study and teaching, Study and teaching (Continuing education), Training of


What has the author Masahiro Kuwabara written?

Masahiro Kuwabara has written: 'Japanese labour law cases dealing with foreign multinational corporation in Japan' -- subject(s): Cases, International business enterprises, Employees, Legal status, laws, Labor laws and legislation


What has the author Eric Browndorf written?

Eric Browndorf has written: 'Bibliography of multinational corporations and foreign direct investment to March 1978' -- subject(s): Bibliography, Foreign Investments, International business enterprises, Investments, Foreign


What is defined as the gap between the home market and a foreign market resulting from the perception and understanding of cultural and business differences?

defined as the gap between the home market and a foreign market resulting from the perception and understanding of cultural and business differences.


When did Corporation of Foreign Bondholders end?

Corporation of Foreign Bondholders ended in 1988.


When was Corporation of Foreign Bondholders created?

Corporation of Foreign Bondholders was created in 1868.


What has the author F Steb Hipple written?

F. Steb Hipple has written: 'Multinational companies in United States international trade' -- subject(s): Foreign Investments, Foreign economic relations, International business enterprises, Investments, Foreign


What is the definition of multinational enterprise?

A firm with over 10% of foreign ownership and the movement of long-term capital to finace business activities abroad, with foreign investors controlling at least 10% of the enterprise.A multinational enterprise is a firm that has productive capacity in a number of countries. The profit and income flows that they generate are part of the foreign capital flows moving between countries


What is the difference between a Transnational corporation and a multi national corporation?

A Multinational Corporation (MNC) is a corporation with extensive ties in international operations in more than one foreign country. Examples are General Electric, Exxon, WalMart, Mitsubishi, Daimler Chrysler, etc...A Transnational Corporation is a MNC that operates worldwide without being identified with a national home base. It is said to operate on a border less basis.