TNCS Flashcards
What does TNC stand for?
Transnational Corporation
Why are TNCs considered vital players in globalization?
They significantly influence global economic activity and development.
How much revenue did the 2015 Top Ten TNCs earn compared to some countries’ GDP?
More revenue than the GDP of some countries
How many TNCs were there in 2016?
Over 60,000 TNCs
What percentage of the global workforce was employed by the top 200 TNCs?
1%
What percentage of the world’s economic activity was accounted for by the top 200 TNCs?
25%
Fill in the blank: TNCs employed _______ of the global workforce.
1%
True or False: The top 200 TNCs employ more than 10% of the global workforce.
False
What is the significance of the 2015 Top Ten TNCs in relation to global GDP?
They earn more revenue in a year than the GDP of some countries
List the key statistics regarding the top 200 TNCs.
- Employed just 1% of the global workforce
- Accounted for 25% of the world’s economic activity
What are the advantages of Transnational Corporations (TNCs)?
TNCs provide:
* Lower costs of labor
* Economies of scale
* Significant source of employment for host country
* Source of investment for host country
* Improved technology and skills
What are the disadvantages of Transnational Corporations (TNCs)?
Disadvantages include:
* Vulnerability of local economies to international markets
* Loss of jobs in the home country
* Exploitation of host labor force
* Economic dependence on TNCs
* Threats to local businesses
True or False: TNCs can lead to economic restructuring of the home country.
True
Fill in the blank: TNCs can have a significant impact on the local and global _______.
[environment]
What is a potential negative impact of TNCs on local businesses?
Threats to local businesses
What is one advantage of TNCs in terms of regional operations?
Bigger merits in different regions
What can be a consequence of TNCs on local employment?
Source of employment for host country
True or False: TNCs always benefit the local economy.
False
What is a disadvantage related to the local workforce when TNCs operate in host countries?
Exploitation of host labor force
What economic effect can TNCs have on the home country?
Economic restructuring
