Multinational companies are those who operate in more than one country. Hence the term multinational companies define itself as a company which operates or executes its business operations in more than one country. Multi, in this context, may mean more than one and national may mean countries or nations.There are a number of famous companies which we deal with. These companies are famous around the world rather than just operating in their host countries.The dealings of such companies and management of these companies is a complex phenomenon. The Governments of various countries are giving much priority to the health concerns of high-fat and ‘junk’ food. The advertisement campaigns and awareness about the nutritional facts are somehow important for the local residents and the government. Licensing is one of the issues that companies have to deal with when opening a new business or a new franchise. The tax rules of the country that McDonalds, Pizza hut and other companies work in must be adhered to in order to maintain good relationships with the government. Laws and restrictions on the protection of employees, requirement of safe working environment and quality of food to the customers are some of the issues that need careful attention. Laws relating to quality assurance and any deviation from the employment or other regulations may not only result in fines, penalties and huge reputational risk but may also threaten the success of the organization.
However, Hofstede (2004) offers a concise definition of culture as a collaborative realignment of the minds of a number of persons, making a group of people to differ from others. Culture refers to a set of gained knowledge that some individuals may employ to make meaning of experiences towards generating a unique set of behaviour.
Production Cost 7. Conclusion Multinational Companies Abstract This report reveals the significant impact that foreign direct investment has to the host countries where investments are made. This investment also targets at long term impacts on businesses that are outside of the investor.
Foreign direct investment simply refers to a situation where a business entity for a particular country invests in an income-generating asset in another country with a hope of return on the investment. Foreign direct investment has its benefits to the foreign investor, the home country, and to the host country (Froot 1993, 60).
In doing so, various factors have been considered such as language barrier, geographical distance, HRM practices. References to various previous studies on the subject have been provided to further affirm the aforementioned argument.
Global business is constantly evolving and competition across businesses has led to a surge in companies expanding across domestic borders.
According to the initial study that has been conducted the author has gained an understanding on the following, employee engagement and employee loyalty are very different from one another and both variables are related and essential to the profitability of the organisation.
Though these programmes are in existence since 1950s (Wikepedia) but it became a popular topic in the last decade of 20th century when large scale implementation of these measures were initiated in Latin America and Asia with a declared good intention of bringing prosperity to native population.
The author of the paper states that both the companies place high value in their people. A company is its people. This shows the significance which the Korean based company attaches with its people. Similarly, according to, GE’s people are its greatest asset. This highlights the worth of employees in GE.
Mny people believe that globalization is one of the major culprits in encouraging child labour. According to Brown et al. (2002, p.45), the “trade between an unskilled-labour abundant/developing country and a skilled labour
Several parts of the vehicle including the crew compartment were later recovered from the floor of the ocean following a lengthy recovery operation. Given the intensity of public interest in the accident and the grisly deaths of the crew, the
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Multinational companies are those who operate in more than one country. Hence the term multinational companies define itself as a company which operates or executes its business operations in more than one country…