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Multinational firms are a force for progress‟. Discuss - Essay Example

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Everyone knows that global free trade has advantages as well as disadvantages. Mostly it is advantageous to multinational corporations as they strive on agreements such…
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Multinational firms are a force for progress‟. Discuss
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Multinational firms are a force for progress‟. Discuss

Download file to see previous pages... That is exactly what we will be discussing in this paper.
Let us first see what a MNC really is. According to D. H. Robertsons “Multinational corporations are a substitute for the market as a method of organizing international exchange. They are islands of conscious power in an ocean of unconscious cooperation” (Hymer,S. 1994). They are powerful organizations whose power commands most countries and governments. Now my question is that how can that be a wonderful thing, when there is no one to protect you interests. It in layman term means ‘survival of the fittest’. But what happens to those who don’t have the strength that others have. Well they are doomed. In the long term as well as short term. So is that a good thing. If you are one of the weak would you be happy about this?
In this research paper I am going to outline, as stated by Margaret House, the costs MNC’s incurs for Developed/Advanced nations and Developing/Underdeveloped nation. I am going to outline the implications MNC’s has on the world as a whole.
First let us look at the terms Developed/Advanced nations and Developing/Underdeveloped nations. Developed countries are those nations having an elevated level of development in regards to GDP, Industrialization, Human development index, etc. In other words countries which are economic super powers like the Japan, United States in North America, Canada, Australia, New Zealand, most of Europe, etc. (United Nations, 2009).
On the other hand developing economies are nations that posses low levels of material well being. Countries such as Bangladesh, Pakistan, India, Nepal, Mongolia, Zimbabwe, Mexico, etc. (United Nations, 2009).
Now moving on to the diverse effects MNC’s is bound to have. First let us see what effect MNC’s will most definitely have the on jobs in developed economies. As it is well known that the cost of ...Download file to see next pagesRead More
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