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The Changing Relationships between TNCs and Nation States - Term Paper Example

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The author assesses the changing relationships between TNCs and nation-states, comparing their respective roles, objectives, and power. The author states that the relationship between the state and TNCs has become highly complex and sometimes they have opposing interests which create tension…
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The Changing Relationships between TNCs and Nation States
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Download file to see previous pages In a recent attempt, globalization has been described as “a process that encompasses the causes, course, and consequences of transnational and trans-cultural integration of human and non-human activities” (Al-Rodhan and Stoudmann, 2006).
Information technology (IT) has played a very important role in the globalization of economies across the world. Improvements in information technology from the early ’90s and the growth of disruptive internet technology, computer hardware, and software have made it easier for both business enterprises and common people to access information. It has turned the world into a small global village. Improvements in technology have brought down the cost of doing business by all sectors of the economy and contributed to their efficiency gain. Information technology has made it easier for companies to restructure their business practices by modifying their inventory management system and “just-in-time” production technologies.
Nation-states have been described as a state which has the basic function of creating a cultural self-identity based on the strength of its national identity. It has been argued that the very creation of the nation-state is a type of an invention that signifies a combination of the nation and a state. A nation-state is connected in terms of its nationality, social and cultural aspects and a strongly organized political system that works in the best interest of the nation. The role of the nation-state has changed considerably in the era of globalization. In the modern era, the role of the nation-state has changed from that of a chief political organization. In the present times, they are adapting themselves to become the singular units that can meet the needs of its local people at a time when world economies are integrating strongly. ...Download file to see next pagesRead More
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