UNIT 1: 1.6 Multinational Companies (MNCs) Flashcards
1
Q
What is a MNC?
A
A company that produces goods and services in more than one country with huge size and substantial power/influence
2
Q
Potential benefits of MNCs on their host country
A
- Jobs creation/employment opportunities
- tax revenues to gov boosted
- benefits economy, GDP raised
- Local businesses benefit from supply services
3
Q
Potential disadvantages of MNCs on their host country
A
- Exploitation of local workforce
- increased pollution
- kills off local businesses
- profits may be sent back to MNCs hq, rather than reinvestment in host nations
