本文摘要:本 英文范文 主要内容是讨论跨国公司的基本概念和形式,包括研究跨国企业的优势与劣势。总结跨国企业在当今商业背景下所面临的问题。《 现代管理论坛 》是一本为企业管理及相关理论服务的社会学期刊。该刊不仅涵盖了管理理念,还涉及对不同业务与企业管理发
本英文范文主要内容是讨论跨国公司的基本概念和形式,包括研究跨国企业的优势与劣势。总结跨国企业在当今商业背景下所面临的问题。《现代管理论坛》是一本为企业管理及相关理论服务的社会学期刊。该刊不仅涵盖了管理理念,还涉及对不同业务与企业管理发展趋势的解读、讨论与评价。《现代管理论坛》致力于为企业与员工提供高质量的独特交流平台,并通过将期刊传递的有价值信息应用于现实工作环境、通过将管理理念与实际经验的有机结合来惠及企业及员工。
跨国企业(TNC)也可以被称为跨国公司(MNC),这是一个公司或者企业,有权控制等方面的经营和提供服务,在多个国家的时间甚至不拥有它(Peter Dicken,2007)。iTNC有许多办公室和工厂,在许多不同的发展中国家,其总部将设在发达国家。它是地理上的灵活和能力,以优势,在不同国家的工厂,在生产的因素。除此之外,也要引进外国直接投资(FDI),有很大的影响,对地方经济和全球经济能提供工作机会,提高生产力,提高出口和产生经济发展欠发达国家或发展中国家以及。TNC的一个例子是索尼。全球经济是指一个国家的商品、服务和资本的自由流动的综合性世界经济。而“自由”意味着企业可以做的一切,自由地探索都没有任何限制,甚至进入或退出市场。
Transnational Corporation (TNC) can be known as Multinational Corporation (MNC) which is a corporation/ enterprise that have power to control operations such as productions and deliver services in more than one country at a time even does not own it (Peter Dicken, 2007). ITNC have many offices and factories in many different developing countries while their headquarters will be located in developed countries. It is geographical flexible and ability to take advantage by locate its factories in different countries in the factors of productions. Besides that, TNC will bring in foreign direct investment (FDI), has a great influence in local economy and global economy as it can provide work opportunity, increase productivity, enhance in exportation and generates economic development in less developed countries or developing countries as well. an example of TNC is Sony. Global economy means an integrated world economy with free movement of goods, services and capital across countries. While 'footloose' means companies free to do everything, free to explore to everywhere without any restrictions and even enter or exit market as they like.
ADVANTAGES/ STRENGTHS OF TNC TOWARD HOST COUNTRIES
Based on the research found by Economist Newspaper Group, Incorporate, TNCs are big, rich and have a larger budget than nation's GDP. Hence, it has power influence on global economy by enrich a country economy. It can be shown by the example of how the ownership of American manufacturing plants affects their chances of closing.
2.1 Economic impact
According to the research found by Andrew Bernard of Dartmouth College's Tuck School of Business and Bradford Jensen of the Institute for International Economics, they found that between 1987 and 1997 American factories owned by multinationals not only less likely to close down but last longer than local firms. It because TNC richer, larger size and have greater production which assist them achieve greater economic of scale and much more efficient in access cheaper finance. Possess with these strengths, exporters are able to survive within global economy compare to factories which only produce for domestic market, while multinational firms are able to stand apart from their competitors from low wage countries.
2.2 Increase employment rate
The benefits of multinational provided are much more than local firms. As a multinational firm enters into a developing country or low wage country, it can provide job opportunities to local workers. For example, Nike enters into low wage countries such as Malaysia, Singapore and Indonesia in order to seek low labor cost which indirect increase the employment rate of the countries. In addition, the multinational firm's labors are better beneficial than local firms' labors with higher paid and compensation from losing jobs. This may create workers' loyalty toward company and contribute more to the firm.
2.3 Technology contribution
TNC play an important role in developing countries in terms of technology contribution. For example, development of deep-water oil extraction may require mature technical skills and capabilities. For those in West Asia tend to remain State-owned oil companies in hand may require high technology and skillful technical from TNC which are not locally available like knowledge of long-distance horizontal drilling expertise used to exploit huge oil. Not only that, for certain countries which with sufficient expertise sometimes may cooperate with TNC in the development of oilfield like Kuwait. By relying on TNC's advance technology and managerial expertise, it can assist them expand globally.
2.4 Enhancement of export
One of the advantages that TNC provided is enhancement of export. This could be seen through mineral industry that TNC helped to boost its exportation by expand it production facilities, value added to minerals and use of transfer pricing within global market. According to the world investment report, involvement of TNC in trading has led the exportation of country increase especially in the field of mineral industry and resulted mineral become main export sources in most of the developing countries such as in Chile, percentage of the exportation of copper in total exports goods rose from 38% to 61% in the period of 2003- 2006.
Another industry that has been affected by the Involvement of TNC in trading is oil and gas field. Participant of TNC helps increase production and exportation of some countries like Argentina, Indonesia, Ecuador and etc. In Ecuador, TNC help increase their exportation of crude oil by adding transport capacity for 400.000 barrels per day (ECLAC,2004).
2.5 Generation revenue to developing countries
Participant of TNC in trading not only increase the exportation of countries but also help to generate revenue. Firms from developing countries may gain a lot from TNC in terms of learn their experience in export market which skill may not found available in local and skills in add value to the raw material before export. Increasing revenue from exportation of countries may help them have the ability to import inputs they needed from foreign countries and the foreign countries may also generate revenue from it.
2.6 Generation of government revenue
A tax system has been designed by government in order to generate revenue from companies by encourage firms finance their investment through intra-company loan. Through this way, government can generate revenue from firms when firms make installment for the loan in which the repayment may reduce firms' revenue for several years (sources from UNRISD, 2005). As mention in the case of Peru (sources: World Investment Report 2007), the net profit has rose from $4billion to $67 billion between 2002 and 2006 due to the growth of exportation. At the same time, tax income the firm paid has been increase as well from $2 billion to $27 billion and it may increase government revenue.
2.7 infrastructure development
Involvement of TNC may increase the infrastructure development in the countries due to the activities of TNC may require public utilities such as water supply, electricity supply, transportation infrastructures like road, railway, and airports for them transfer and export the goods. As an example, involvement of TNC inthe development of Lake Victoria Goldfields in United Republic of Tanzania contributed to development of infrastructure like roads, hotels and airport facilities which affected to an increase in tourism in the countries. Following by this may increase income of people in local country, increase economic growth and government revenue as well.
2.8 Environmental impact
Government has been worked hard to minimize negative impact on environment which resulting by firms' activities especially extractive activities. Types of mineral extracted, technology the firm used to extract and scale of extraction may impose an impact on environment. According to the World Investment Report 2007, it stated that domestic firms were unable to minimize the impact on environment when undertake extractive activities due to they were lack of standard environmentally management, advance technology and resources as TNC possess. With the involvement of TNC in metal mining industry may help to reduce the impact on environment with their environment-friendly production technique, advance technique extraction, and standard environmentally management ability.
DISADVANTAGES OF TNC
Participant of TNC in trading not only provide advantages but disadvantages as well.
3.1 Labour exploitation
One of the disadvantage that TNC involve in trading include exploiting cheap labour . Most of the TNC decided to move production into low wage countries or developing countries intend to exploit cheap labour as well as Nike. In order to enter low wage countries, Nike makes agreement with local producers like India and Vietnam to manufacture their products because of the low labour cost and low production cost.. Through the low paid to labour force with few dollars a day and this may reduce their production cost as well, the firm can generate high profit and have a large budget to promote their brand.
3.2 Removal of capital
TNC can bring jobs, technology and inject capital to low wage countries easily as well as it could be leave easily. All capital of TNC does not stay in host country for a long time but it can be removed anytime by TNC. This can be seen through the example of Sony Corporation left West Java, Indonesia due to the poor business climate. When there is an opportunity for TNC injects capital in this low wage country, it could allocate their factory and office in this country as they like at any time. On the contrary, Sony could remove all their capital away from this country when they faced unfavorable climate like making lose.
3.3 Economic recession
Emergence of TNC could increase economic growth or contrary. As mention above, involvement of high technology and skillful technical from TNC which are not locally available like knowledge of long-distance horizontal drilling expertise may assist in extend exportation and increase economic growth. On the other hand, when TNC taking all their capital injected to the countries away may result economic recession as well due to most of the local workers lost their income and has no expend ability. Hence, they may reduce their expenses and save all their money. Finally, it resulted economic recession.
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