Final Project on Mnc
Acknowledgement
First of all, we would like to thank our parents who have always been there as our strength, allowing us to stay in university so that we can work efficiently. We are grateful for their co-operation and support. We especially like to thank venerated Ma’am Naseem Bukhari for her support and precious time she has given us. We would also like to thank our esteemed seniors who were there all the time helping us and solving our problems. We owe a lot to the administration of IBA. Last but not the least our group members have worked their heart out for this presentation… THANKS TO ALL!!!
Table of Contents Acknowledgement 4 International business 9 Definition 9 MULTInational COORPORATIONS 9 Definition 9 Introduction 10 History 10 Terminologies 12 Why business become multinational 13 Larger Market: 13 Growth and Expansion: 13 Optimization of Resources: 13 Co-operation Need To Compete: 13 Economies of Scale: 13 Stages of evOlution 14 1. Export Stage 14 2. Foreign Production Stage 14 DFI versus Licensing 14 Licensing 14 Direct Investment 14 3. Multinational Stage 15 Features 15 Lobbying 15 Patents 15 Government Power 15 Tax Competition: 16 Market Withdrawal: 16 Types 16 Horizontally Integrated Multinational Corporations 17 1 Joint Verture: 17 2-BRANCH: 17 3-FRANCHISE: 17 4-SUBSIDIARY COMPANIES: 18 5-MERGER 18 6-ACQUISITION: 19 Vertically Integrated Multinational Corporations 19 Diversified Multinational Corporations 19 Hierarchy of multinationals 19 Merits 21 Merits of Multinational Corporations: 21 General Merits 21 Benefit to the Resident: 21 Promotion of Trade 21 Strengthening of Domestic Competition 22 Technological progress 22 Providing Employment 22 Growth of MNC’s 22 Economic Globilazation: 22 Merits to Host Country 23 demerits 23 General Demerits 23 Globalization: 23 Influence On Environment: 24 Problems To
First of all, we would like to thank our parents who have always been there as our strength, allowing us to stay in university so that we can work efficiently. We are grateful for their co-operation and support. We especially like to thank venerated Ma’am Naseem Bukhari for her support and precious time she has given us. We would also like to thank our esteemed seniors who were there all the time helping us and solving our problems. We owe a lot to the administration of IBA. Last but not the least our group members have worked their heart out for this presentation… THANKS TO ALL!!!
Table of Contents Acknowledgement 4 International business 9 Definition 9 MULTInational COORPORATIONS 9 Definition 9 Introduction 10 History 10 Terminologies 12 Why business become multinational 13 Larger Market: 13 Growth and Expansion: 13 Optimization of Resources: 13 Co-operation Need To Compete: 13 Economies of Scale: 13 Stages of evOlution 14 1. Export Stage 14 2. Foreign Production Stage 14 DFI versus Licensing 14 Licensing 14 Direct Investment 14 3. Multinational Stage 15 Features 15 Lobbying 15 Patents 15 Government Power 15 Tax Competition: 16 Market Withdrawal: 16 Types 16 Horizontally Integrated Multinational Corporations 17 1 Joint Verture: 17 2-BRANCH: 17 3-FRANCHISE: 17 4-SUBSIDIARY COMPANIES: 18 5-MERGER 18 6-ACQUISITION: 19 Vertically Integrated Multinational Corporations 19 Diversified Multinational Corporations 19 Hierarchy of multinationals 19 Merits 21 Merits of Multinational Corporations: 21 General Merits 21 Benefit to the Resident: 21 Promotion of Trade 21 Strengthening of Domestic Competition 22 Technological progress 22 Providing Employment 22 Growth of MNC’s 22 Economic Globilazation: 22 Merits to Host Country 23 demerits 23 General Demerits 23 Globalization: 23 Influence On Environment: 24 Problems To