Keywords: multinational corporations in developing countries introduction for too long, citizens have been content to follow where government and multinational corporations lead the profit motive has become immune to attack. Mncs have contributed significantly to the development of world economy at large they have also served as an engine of growth in many host countries their importance in a developing country may be traced as follows: 1 mncs help a developing host country by increasing investment, income and employment in its economy 2.
Some of the world’s largest multinational corporations are given below: role of multinational corporations in the india economy: prior to 1991, multinational companies did not play much role in the indian economy in the pre-reform period the indian economy was dominated by public enterprises.
Therefore, role of multinational corporations in india and other developing countries have been criticised on several grounds we discuss below some of the criticisms levelled against multinational corporations capturing markets: 1. Multinational companies set up joint ventures with local foreign firms to manufacture inputs or subcomponents in foreign markets to produce the final product in the home country 5 role of mncs in india prior to 1991 multinational companies did not play much role in the indian economy. Global corporations have a key role to play in issues ranging from human rights to environmental policies specifically, corporations can be most effective in helping the poor by investing in local and global communities on a long-term basis rather than by acting as charities or aid agencies.
Multinational companies like nike, sony, apple, toyota, coca-cola all have investments and operations in developing economies this can lead to both benefits and disadvantages for developing economies advantages of multinational corporations in developing countries multinationals provide an inflow of capital into the developing country. While multinational companies played a significant role in the promotion of growth and trade in south- east asian countries they did not play much role in the indian economy where import-substitution development strategy was followed.
10 mncs are regarded as agents of modernisation and rapid growth 11 mncs are the vehicles for peace in the world they help in developing cordial political relations among the countries of the world 12 mncs bring ideas and help in exchange of cultural values 13. And now stop and become thoughtful, all four things, which i have mentioned here, are produced by the multinational corporations (mncs): ford motors, nokia, nestle sa, novartis and sony group and from this point we can see to what extent mncs are prominent in our daily life and whole world economy. The role and impact of multinational corporations in the world economy which i have mentioned here, are produced by the multinational corporations (mncs): ford motors, nokia, nestle sa, novartis and sony group and this of course can hinder economic growth of vulnerable economies of developing countries and force domestic firms to.
Multinational companies (mncs) play an important role in linking rich and poor economies and in transferring capital, knowledge, ideas and value systems across ith institutions, organizations and.