week 3 mix of all

Question 1

A multinational enterprise has its management headquarters—-

Answer 1

in one country, the home country, while also operating in other countries, the host countries.

Question 1

Multinational corporation or enterprise is——

Answer 1

an enterprise producing goods or delivering services in more than one country

Question 2

What year did Ray Kroc get involved

Answer 2

1954

Question 3

what were the names of the two brothers that formed Mcdonalds

Answer 3

Richard & Maurice McDonald.

Question 4

Where did the McDonald brothers open up their first store?

Answer 4

San Bernardino, California

Question 5

What year did Ray Kroc buy out the brothers

Answer 5

1961

Question 6

Who invented the BIG MAC INDEX and when?

Answer 6

The Economist in 1986

Question 7

Define PPP?

Answer 7

Purchasing-power-parity the notion that in the long run exchange rates should move towards the rate that would equalise the prices of an identical basket of goods and services in any two countries.

Question 8

What is the Big mac index based off of?
aPurcahsing-power-parity
bPurcahsing-pinal-plants
cPurchasing-power- plans
dPurcahsing- pins- parity

Answer 8

a

Question 9

What gave countries the opportunity to not be so reliant on Italy?

Answer 9

Developing technology (ships) these countries had the ability to get to trading routes/zones on their own without the help of Italians.

Question 10

Venice dominated the exchange of goods until the 1400s. What countries resented them?
a. England, Holland, France, Portugal
b. Poland, America, France, Spain
c. Holland, France, America, Australia
d. None of the above

Answer 10

a

Question 11

True or False Expanding Trade Companies
Investors would join together and mitigate the risk of unsuccessful trade voyages.

Answer 11

True

Question 12

True or False
Two great examples of going on adventures to get silk and spice were the Dutch East India Company (known as VOC) and the British East India Company.

Answer 12

True

Question 13

Dutch East Indian Co desired what?

Answer 13

Pepper, and other spices

Question 14

What year did the four-ship exploratory occur?

1659
1899
1595
1706

Answer 14

1595

Question 15

Where did the four-ship exploratory head off to?

Answer 15

The main pepper port of West Java, where they fought both the Portuguese and indigenous Indonesians.

Question 16

In March 1599, a fleet of eight ships was the first Dutch fleet to reach the ‘Spice Islands’ of Maluuku, the source of pepper, cutting out the Javanese middlemen. The ships returned to Europe in 1599 and 1600… How much profit did they make.

Answer 16

the expedition made a 400 percent profit

Question 17

What does VOC stand for?

Answer 17

Vereenigde Oostindische Compagnie

Question 18

The United East Indian Company (Dutch) or (VOC) was created by who and when?

Answer 18

created by the government of the Dutch Republic in 1602

Question 19

The United East Indian Company or VOC was given a ———- on all trade in the Pacific and Asia

Answer 19

monopoly

Question 20

What was one key to the success of the East Indian Dutch Company?

Answer 20

Any Dutch citizen could have a stake in the company and therefore be much more inclined to support the idea of a monopoly. Within their regulations, the home governments allowed the company to go out in those territories and create their own armies and laws.

Question 21

True or false In the early 1600s the Dutch East India company used their military power to seize and enslave the Indonesian islands of Banda.

Answer 21

True

Question 22

Resistance by the Bandas was met with extreme military force
In 1621 the Dutch company launched a major military campaign
By the end of this Banda Besar campaign, Dutch records indicate that—out of a pre-conflict population of about 15,000 in the year 1500—only 1,000 to 2,000 Bandanese remained cross all 11 islands

Answer 22

Wow

Question 23

In 1982, locals in the Banda’s took over the state-owned nutmeg growing enterprise, which still made up a major part of the local economy.

Answer 23

Nationalise the nutmeg industry. Banda restored their history.

Question 24

The end of the Dutch East Indian Company

Answer 24

As time went on the VOC suffered from local conflict and internal corruption. As the Dutch fought with the British the VOC paid a price as the rival BEIC rose in power and influence By the end of the 1700s the company was in ruins and was absorbed by the Dutch government End of the 1700s, the company was in ruins. Facilities got knocked down. The Dutch empire lost control as time went on.

Question 25

In 1866 two Americans in Switzerland created a company Anglo-Swiss to make what product?

Answer 25

to make condensed milk

Question 26

Henri Nestlé began selling a mix of what

Answer 26

mix of milk and flour as a baby formula

Question 27

What year did Anglo-Swiss and Nestle combine

Answer 27

1905!!!!!!!!!

Question 28

Post World War One Nestlé began to expand their chocolate business in Europe and especially the United States. Despite the setbacks of the Depression they found success in creating Nescafe, an instant coffee that they sold to the U.S. Army

Answer 28

After the Second World War the company had established a strong international presence in condensed milk, baby formula, chocolate and a number of other products

Question 29

Expansion In the period of the 1960s and after Nestlé began to expand.

Answer 29

Since 2014 Nestlé has been the largest food company in the world by revenue Nestlé gained global power that allowed them to force situations to develop that local authorities are not able to control

Question 30

Controversies Controversies 1970s they were found to be selling baby formula in Africa as a replacement for, rather than a supplement to breastfeeding (for mothers that had trouble nursing). Poor water supply and incorrect usage led a number of infant deaths

Answer 30

The company’s status as an MNE made it difficult for local governments to regulate wanted to boycott cuz of infant deaths in Africa. The company ignored criticism until it reached the national level (representation of the way multinationals respond to things). They responded by launching an organization that would supervise the safe use of baby formula. Also used chocolate produced by forced child slave labour in Africa The American Supreme Court in 2016 found that MNEs could be held liable for violations of international law in American courts.

Question 31

One of the oldest based Indian companies founded in what year?

Answer 31

Tata, 1868

Question 32

What did tata sought to achieve several goals in?

Answer 32

including a steel company, hydro-electric plants, hotels and education

Question 33

Growth of tata the son continued

Answer 33

Opended office in London In 1938 JRD took over Tata. The Tata Group had 14 different enterprises. By 1988 these had expanded to 95 individual companies including chemicals, cosmetics, steel, education, engineering and tea In 1932 Tata had launched an airline. The government of India took controlling interest in the airline in the 1950s, but J.R.D. remained the chairman. When the airline was privatised in the 2000s Tata resumed control.

Question 34

What does tata currently look like?

Answer 34

Tata Group is India’s largest group do business in 150 countries and operations in 100 countries There are 29 publicly listed Tata companies with a combined market capitalization of nearly $400 billion U.S. dollars Tata H.Q.in Bombay Private enterprises, companies = multinational enterprises

Question 35

Where is the orgins of the east Indian from? (Tutorial)

Answer 35

In the late 1500s English sailors, like Francis Drake, found great success stealing from French and Spanish ships in both the Atlantic and Pacific. = Pirate Englishmen would sponsor this.

Question 36

Who granted the East Indian company royal charter? and when?

Answer 36

On the last day of 1600 Queen Elizabeth first granted a royal charter to a new East India company.

Question 37

Trading wihtin the East Indian Company

Answer 37

The new English East India Company was a monopoly in the sense that no other British subjects could legally trade in that territory, but it faced stiff competition from the Spanish and Portuguese, who already had trading outposts in India, and also the Dutch East Indies Company, founded in 1602.

Question 38

Shifting the East Indian Companies focus

Answer 38

Military setbacks in the Spice Islands and growing success in India led the company to shift focus to India. First focusing on Bengal and establishing a trade relationship with the Mughal Empire in interior India. Used their strengths and trading relationships to make great fortunes for both the company and the English government.

Question 39

More than a company The collapse of the Mughal empire sparked a rapid military expansion by the company under Robert Clive. The Company forced Mughal leaders and others to turn over administrative control of their territories to the company. In 1765, tax revenue in Bengal was turned over to the company. William Dalrymple has suggested: “It was at this moment that the East India Company (EIC) ceased to be a conventional corporation”. Instead, it became a colonial power, able to tax and enforce laws.

Answer 39

True

Question 40

The Decline Continues 1825- In 1825, a global crash forces the company to take on huge loans from the government 1833- In 1833 The Charter Act reduced the independent powers of the East India Company and removes its trade monopoly with China 1839- The Opium War with China was caused largely by company smuggling 1853- In 1853 The Charter Act further reduced the independence of the East India Company The Indian or Sepoy Mutiny In 1857-58 a huge uprising against the rule of the company swept India. It was put down with great difficulty. The End In 1858 the British government took control of India company In 1874 The British Parliament formally dissolved the company Models of MNCs

Answer 40

True

Question 41

Different models of MNC include

Answer 41

1. Centralized 2. Regional 3. Multinational

Question 42

Advantages of Being a Multinational Corporation

Answer 42

1. Efficiency 2. Development 3.Employment 4. Innovation

Question 43

Disadvantages of Being a Multinational Corporation

Answer 43

1. Increased Legal burden 2. Increased Tax compliance 3. Public Relations 4. Political instability