super Study
Topics: International economics, Investment, Corporation, Multinational corporation, Globalization, International relations / Pages: 28 (6900 words) / Published: Sep 28th, 2014

Multinational Corporations
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A. A. Lazarus

Multinational Corporations
The multinational corporation is a business organization whose activities are located in more than two countries and is the organizational form that defines foreign direct investment. This form consists of a country location where the firm is incorporated and of the establishment of branches or subsidiaries in foreign countries. Multinational companies can, obviously, vary in the extent of their multinational activities in terms of the number of countries in which they operate.
A large multinational corporation can operate in 100 countries, with hundreds of thousands of employees located outside its home country.
The economic definition emphasizes the ability of owners and their managerial agents in one country to control the operations in foreign countries. There is a frequent confusion that equates the ability to control with the flow of capital across national borders. Since



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