Multinational Corporations (MNC's) .pptx

Role of Multinational Corporations in business world.

1. Meaning of Multinational Companies gaint firms headquarters in one country business operations in other countries also called Multinational Corporations

2. Multinational Companies can be defined as: According to David E. Liliental , “ Multinational Companies are those which have their home in one country but operate and live under the laws and customs of other countries as well.”

3. FEATURES OF MNCs Operations in number of countries Transfer of Resources

4. FEATURES OF MNCs Giant size International Market

5. FEATURES OF MNCs Professional Management Centralized Management Dominate Market

6. Merits of MNCs Transfer of technology Supplementing Capital Improving Balance of trade Lower Cost of Production

7. Merits of MNCs Philip to Domestic Industries Creating employment opportunities Research and development activity

8. Demerits of MNCs Disregard for national priorities Creation of Monopolies Harmful for Producers Harmful for Consumers

9. Demerits of MNCs Promote Alien Culture i.e. Western dresses, fast food, sunglasses etc. Political Dominance Evasion of Taxes

10. HOMEWORK Discuss in brief Benefits of Multinational Companies in Indian Context. Find any 5 Multinational Companies of India.