The role of Multinational Corporations in Developing Economies Essay

The role of Multinational Corporations in Developing Economies - Essay Example On the other hand, Maheshwari (2006, p.53) generally postulates six characteristics of a multinational corporation: (1) operates and carries direct investment to several nation-states; (2) formulates and maintains an industrial organization; (3) widely functions on the basis of globally owned assets; (4) largely transfers capital, goods, and services from home to host countries; (5) transfers resources but does not trade such resources; and (6) manages not its local subsidiaries but the nationals or people from the host country. Maheshwari (2006, p.52) notably provides several examples of MNCs such as Goodyear, Pepsi, and Nestle Corporations. These multinational corporations function and operate in numerous nation-states -- particularly those so-called Third World nations such as Indonesia -- as their host countries. Many of the MNC’s home countries are highly industrialized nations of which the United States is highly prominent. Multinational corporation fundamentally originates from a humble beginning, so to speak: firms. When firms firmly decide to become multinational corporations, there are necessary factors that they systematically fill-up or comply to. Maheshwari (2006, p.53) strongly argues that the underlying reason why certain firms become multinational corporations is because of their desire for vertical expansion. It implies that these firms wanted to substantially expand their business enterprise from production towards distribution. In setting up subsidiaries in other nation-states, these firms -- which ultimately become multinational corporations -- greatly endeavor either to accumulate raw materials from the resources of their host countries or to acquire global markets for the distribution or sale of their capital, goods, and/or services (Maheshwari, 2006). First, firms pursue an expansion business in order to acquire raw materials from the countries whose natural resources are exceedingly abundant. Normally, these firms are

Liyuan Stanford 19970 5-6 days services Essay Example | Topics and Well Written Essays - 1750 words

Liyuan Stanford 19970 5-6 days services - Essay Example My determination kept inspiring me to get across the challenge and thus I identified a new trend in folk dance featuring a leader who was taller than others in which I could easily fit in. When it came to my passion in modeling, height turned to be a limiting factor once again, but this time in the reverse order. I identified my role as a coach and a team builder which helped others also to chase their dreams as I established university’s first modeling association. These experiences made me understand the necessity to search for higher values in each and everything you do in life. The endless competition in the job market has frozen the ethics behind the professional endeavors as many people experience a lifelong tug-of-war between professional success and these ethics. But for me career has higher purpose than mere money and reputation. I have always looked on to my mother who for ever stood for her values. .While she created profit-making enterprises during the open policy in the late 1970s, her prime aim was to help many middle aged Chinese women gain independence. It was the search for the higher values and morals which persuaded her to close her companies to rejoin the state-owned enterprise to help it survive a major transformation in the Chinese national economy. As being an early-driver of venture capital in China, I too believe that capital can be successfully combined with the search for social transformation .I have proved this by helping socially beneficial initiatives to have a higher growth by utilizing the possibilities of venture capital. More than money and economic sharing, charity should have a higher purpose. Since 2003, I assisted Net 263 CEO with his 10-year project, which had built 100 Hope Schools to ensure support and education to children who are deprived of the basic rights of schooling and other facilities. Rather than the capital involved in the charity, what