why does the global shift of manufacturing lead to the growth of new industrial regions Flashcards

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1
Q

what are transnational corporation (TNC)

A

It is a large enterprise that has companies or factories in more one countries. their headquarters are usually located in the more developed countries (home country) and production plants are built in the less developed countries (host country) through foreign direct investment

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2
Q

operation of TNCs

A

they adopt multi-point production to build networks of companies around the world

the headquarters and regional centres are usually located in MDCs

the production plants are set up in LDCs

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