The Expansion of Multi-National Corporations in the UK - Essay Example

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This research is being carried out to discuss the expansion of multi-national corporations in the UK. And what effect has this had, if any, on British HR practices. In this discussion, the author will refer to varieties of capitalism theory…
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The Expansion of Multi-National Corporations in the UK
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Download file to see previous pages This paper illustrates that the role of multinational corporations is perhaps the most critical aspect of evaluation regarding the impacts of the functioning of these corporations in the national systems of the host countries. Though different types of multinational companies choose to enter different economies with distinctive intention like market seeking, efficiency seeking, strategic asset seeking and resource seeking intentions, yet the intensity to which these companies influence the functionalities of the host industries and economies cannot be overlooked. Multinational corporations are recognized as the emerging internationally accepted class of business organizations which have the inherent potential to develop their own organizational field and influence the functioning of industries in the foreign country to a noticeable and recognizable extent. This also includes the major effects of the functioning of the multinational enterprises on the way employment practices and policies are conducted, modified and developed in the host countries in which these enterprises operate. Capitalism refers to an economic system in which the industries, trade systems and the means of production are entirely or largely controlled by the privately owned enterprises functioning in the economy. The main features of capitalism may include capital accumulation, private property, wage labor and the development of fully competitive sectors. There are different models and varieties of capitalism based on the role of the government in the country, the intensity of competition in the market, the influence of regulations and interventions on the economy and the scope of private and state ownership in the country. The various forms of capitalism may include welfare capitalism, free market capitalism or laissez-faire capitalism, state capitalism, “third way” social democracy, crony capitalism, and corporatism. All of these models of capitalism have their unique characteristics based on the employment of different degrees of dependency of the market economy, constraints in the way of free capitalism practices, public ownership structures and consideration of the state-sanctioned regulatory and social policies. ...Download file to see next pagesRead More
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