Unit 4 - Airbus - Transnational Corporations Flashcards
1
Q
Where is Airbus based?
A
- based in Europe
2
Q
What are the benefits for host countries (manufacturers, assemblers, etc.) of Airbus?
A
- profit from sale of aircraft
- employment
- taxes paid by the company
3
Q
Why is Airbus a good example for a transnational corporation?
A
- one of the world’s two major manufacturer of jet airliner
- multinational company
4
Q
Who is the ownership of Airbus shared by?
A
- France
- Germany
- Spain
- UK
5
Q
What is the commodity chain for Airbus?
A
1) natural resources (metal, rubber, etc.)
2) manufacturing (in aerospace factories in France Germany, Spain, Italy UK)
3) Transportation (two main assembly parts Toulouse and Hamburg)
6
Q
How does Airbus use outsourcing?
A
- > 12000 suppliers
- over two thirds of the company’s revenues
- for aerostructures, equipment, systems, materials, parts, specialised IT and services
- around 80% of Airbus activity is sourced
- valued at 49.6 billion Euros
7
Q
How does Airbus use FDI (foreign direct investment)?
A
- commodity chain (France, Germany, Spain, Italy, UK, China, USA)
8
Q
How does Airbus damage the environment?
A
- clean process → recycling
9
Q
What is outsourcing?
A
- obtaining (goods or a service) by contract from an outside supplier
10
Q
Who is the ownership of Airbus shared by?
A
- France
- Germany
- Spain
- UK
