Tncs Flashcards
1
Q
What is a TNC?
A
Transnational corporation: a corporation or enterprise that operates in more than one country.
2
Q
Where are the headquarters based and what happened there?
A
Rich areas e.g USA, U.K., France
Research and development is usually centred here
3
Q
Where are factories and productions and why?
A
Poor areas where labour costs are low, safety and polluting rules are not a strict
4
Q
What are the benefits to the country?
A
Provides jobs Increases economic income Better lifestyle Multiplier effect New and developed technology for communication overseas
5
Q
Disadvantages
A
Leakage, profit from company is taken outside the country
Country becomes dependent on factories if is shut down can lead to mass unemployment
