The role of the transnational corporation

Question 1

What are TNCs or multinational corporations

Answer 1

Companies that operate in more than one country

Question 2

What is outsourcing

Answer 2

Where a business makes a contract with another company to complete some of the work rather than doing it within their own company

Question 3

What sort of things can be outsourced

Answer 3

Making products or providing a service

Question 4

What is the aim of outsourcing

Answer 4

To reduce costs

Question 5

What is Off shoring

Answer 5

Where a company moves part of its operations to another country often because labour costs are lower or because the economic situation is more favourable

Question 6

Who is JLR

Answer 6

Jaguar Land Rover

Question 7

What do Jaguar Land Rover do

Answer 7

U.K.’s largest automotive manufacture

Question 8

Who has owned JLR since 2008

Answer 8

Indian transnational corporation TATA

Question 9

How many vehicles did JLR sell in 2014

Answer 9

460,000 26% to China

Question 10

What are the 3UK manufacturing sites for JLR

Answer 10

Solihull, Castle Bromwich, Halewood

Question 11

How many employees does JLR have in the UK

Answer 11

17,000

Question 12

Who did JLR do into joint partnership with in 2012

Answer 12

Chery automobile

Question 13

Why did JLR partner with Chery automobile

Answer 13

As they wanted to chery motors to produce Vehicles and engines for seven models of car

Question 14

How much was invested into the chery automobile factory

Answer 14

£1 billion

Question 15

Where else are our JLR confirmed to build a manufacturing facility

Answer 15

Rio de Janeiro 

Question 16

How many jobs will be created with JLR create a facility in Rio de Janeiro

Answer 16

400 jobs

Question 17

Why will JLR be building manufacturing plants in Slovakia and Austria

Answer 17

As They have partnered with a company called Magna Steyer which operates in these regions

Question 18

What are some positives of TNCs on host countries

Answer 18

 Raise living standards, high environmental standards, technology transfer, political stability

Question 19

What are some negatives of TNCs on host countries

Answer 19

Tax avoidance, growing global inequalities, environmental degradation, unemployment

Question 20

How do TNCs raise living standards in host countries

Answer 20

FDI increase the productivity of the labour force mean higher wage and higher standard of living

Question 21

How to TNC cause global inequalities to grow

Answer 21

TNCs cluster in selected economies concentrating FDI and favoured regions The Chinese west East disparity

Question 22

How do TNCs create higher environmental standards

Answer 22

TNCs have international brands to maintain the high environmental standards as a result this Means countries with low standards might have to start implementing some things

Question 23

How do TNCs cause environmental Degradation

Answer 23

Export the negative externalities of the activities to less developed countries

Question 24

What is an example of how TNCs can be environmentally negative

Answer 24

Move manufacturing and production out of the EU to avoid carbon taxes
Shell and oil pollution in Niger

Question 25

Why is technology transfer important for development

Answer 25

Help accelerate economic development in emerging economies

Question 26

How do TNCs promote political stability

Answer 26

As they provide work for the floating population reducing conflict between rural and urban populations

Question 27

How can TNCs cause unemployment

Answer 27

Outsourcing and offshoring initiate unemployment in developed economies and lead to higher Social Security spending

Question 28

What is glocalisation 

Answer 28

Means adapting the goods or services of a business to increase consumer appeal in different local markets

Question 29

what is glocalisation used to address

Answer 29

Religious or cultural objections or regulatory or design restrictions

Question 30

What does BMW do that is classed as glocalisation

Answer 30

BMW makes right hand a car drive to the UK market but left hand drive cars for the German market because the countries drive on different sides of the road

Question 31

How to Tesco glocalise Their products

Answer 31

Don’t rap fruit or veg and plastic in Thailand because the country is wet market tradition by which they trust any produce taken/selected by hand