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Transnational Corporations

Transnational Corporations. A corporation or enterprise that operates in more than 1 country (can be called a multi-national too). Top 10 non-banking TNCs - sketch the table. F eatures. Large, wealthy organisations HQ in 1 country, branches across world

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Transnational Corporations

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  1. Transnational Corporations A corporation or enterprise that operates in more than 1 country (can be called a multi-national too)

  2. Top 10 non-banking TNCs - sketch the table

  3. Features • Large, wealthy organisations • HQ in 1 country, branches across world • Improvements in transport and communications • HQ in richer areas (Japan,USA) with research and development • Production in poorer areas with lower labour costs, lenient laws or government wants investment

  4. Features • Large, _ _ _ _ _ _ _ organisations • HQ in 1 country, branches across _ _ _ _ _ • Improvements in transport and communications have made them rich. • HQ in _ _ _ _ _ _ areas (Japan,USA) with research and development • Production in _ _ _ _ _ _ countries with lower labour costs, lenient laws or where a government wants investment

  5. TNCs and GDP 2012 • Revenue in $billions per TNC • Wal-Mart-USA=244 • Nestle=49 • Coca Cola-USA=21 • Gap-USA=15 • Nike-USA=11 • Total wealth produced in $billions per country • Bangladesh=259 • Tunisia=68 • Ghana =44 • Jamaica=10

  6. Provide jobs/wages Income benefits local businesses-multiplier effect Training-skills New technology Money to invest Improved infrastructure and comms. Leakage-profits taken out of host country Low wages Key jobs to outsiders Branch plants may close Poor work conditions Safety compromised Health jeopardised Air, water pollution Advantages Disadvantages

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