Shell in Niger Delta

Question 1

define TNC

Answer 1

transnational corporation

Question 2

example of TNC in Nigeria

Answer 2

Shell

Question 3

Advantages of TNCs in Nigeria

Answer 3

international links that provide access to markets around the world

bringing financial investment into the host country’s economy

providing jobs and training to local people
higher wage levels

introducing new technology that might otherwise not be available

Question 4

Disadvantages of TNCs in Nigeria

Answer 4

profits leave the country and benefit shareholders, often in HICs

exploit the low wage economy

causing significant environmental damage,

being able to withdraw from a country if circumstances change

powerful TNCs can exert pressure on governments

raw materials are exported before being refined which reduces profits in LICs and NEEs

Question 5

what are the environmental impacts of TNCs in Nigeria?

Answer 5

Farmland has been damaged by leaking oil pipes meaning crops no longer grow in some areas.
Oil pollution from tankers and damaged pipelines kills fish in the sea and the delta.
When gas is burned off from the oil greenhouse gases are released, contributing to climate change.
The process also causes respiratory problems for local people.
40 million liters of oil are spilled in the Niger Delta each year compared to 4m in the US.
destroyed local employment opportunities, and pushed many into militancy.
Life expectancy in the Niger Delta is ten years below the national average.