Impacts Of TNCs Flashcards
1
Q
Positive impacts on host countries
A
- employment
- multiplier effects
- injected capital
- new methods of working
2
Q
UK 2007
A
FDI generated more than 50,000 jobs
3
Q
Negative impacts on the host country
A
- competition with local firms
- environmental concerns
- labour exploitation
- urbanisation
- removal of capital
- outside decision making
4
Q
Negative impacts on the country of origin
A
- unemployment
- disposable income will decrease
- negative multiplier effect
- traditional economic regions can be hit hard
5
Q
Positive impacts on the country of origin
A
- higher salaried jobs often stay in the country of origin
- dyson retains several hundred jobs in the U.K. in R&D
- government revenues from company taxation are also increased
6
Q
What is the total revenue earned by the U.K. Companies overseas in 2004
A
£63.8 billion
7
Q
Unilever - manufacturing TNC
A
1930
Owns: Ben and jerry’s, dove and lux
Merger
Operates in over 100 countries