Month: September 2017

PASSIVE INDIVIDUALS

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Multi National Corporations Disected

MNCs

An Enterprise, which allocates company resources without regards to national frontiers, but is nationally based in terms of ownership and top management. It comprise of three words multi, national and corporations. These words together means that corporations which have established their offices to increase the interaction either by their own efforts or by collaborations with other companies. Thus Multinational represents highest level of overseas involvement and is characterized by global strategy of investment, production and distribution. MNCs are enterprise which owns or controls production or service facilities outside their home country.

Classification of MNC by behavior

1.Ethnocentric: These are the type of MNCs which have strong orientation towards home country. This means that home country people are considered as superior and allocated all key posts.
2.Polycentric: Just opposite to Ethnocentric polycentric type of MNCs has strong orientation towards host country where few key people are nationals and remaining are from the host country.
3.Regiocentric and Geocentric: These MNCs have their concentration in whole world and they make selection for best employees whether they are from host country or home country it does not matter.

Characteristics of MNCs

1.Single Managerial Authority control
2.Worldwide Integration, better profitability
3.Global Perspective
4.Close Coordination in parents & affiliates
5.Worldwide Market

Benefits of MNCs

1.Training of domestic manpower
2.Increase pace of economic development
3.Promote better products at lower costs
4.Employment to labour
5.Increase in production, GDP, exports
6.Increase in Governments revenues

Criticism of MNCs

1.Increase gap between rich & poor countries
2.Misallocate & misuse scarce natural resources
3.Home country loses jobs when MNC overseas
4.Employ transfer pricing
5.Aggravate Unemployment in developing countries
6.Competition from MNCs local Industry

Entry Strategies used by MNCs

1.Exporting
2.Licencing
3.Joint Ventures
4.Manufacturing
5.Contract Management / Turnkey Projects

Arguments in support of MNCs in India

1.Change in Perception
2.Economic Arguments
3.Technology Transfers
4.Foreign Investment vs. Borrowing

Benefits of Indian Liberalization to MNCs

1.Positive steps taken by government
2.Effect of these steps

Direct Benefits to India of the increasing presence of MNCs

Increasing scope of professional Education
Increasing competition among states for FDI
Expanding Indias consuming class
India as a source of Inputs
Infrastructural gains

Criticism of MNCs in India

1.Inappropriate products launched by MNCs
2.Overshadowing Domestic Industry
3.MNCs and child labour
4.Workers Exploitation

MNCs and FUTURE

Leading Global Business intelligence and consultancy firms such as Giga, Forester Research and McKinsey & Co. have cited various reasons for the increase of offshore outsourcing by MNCs to India.

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Offshore Corporation And Offshore Merchant Account.

Having a credit card with you helps you be at ease. With the credit card in your wallet you can shop around merrily without worrying over your money getting stolen. The credit card also facilitates you to carry out huge purchases without having to shell out tons of money at the payment counter. Most of the shopping arcades, restaurants, supermarkets, and private shop owners have credit card machines installed at their payment counters to help the consumer pay by credit cards and which perform the task of online credit card processing. This has made it possible and convenient for the consumers to avoid carrying hard cash, thus avoiding the risk of an occurrence of any kind of mishap.

Many merchant businesses today, have credit card machines at their disposal. The merchants find it easier to accept the credit card payments by getting them processed via the credit card machines. For the realization of the payments done by the consumers by using their credit cards, these merchants open up a merchant account. Also the credit card processing method enables quicker online transaction. Many merchants who have their business, be it big or small, have also opted for opening an offshore merchant account that facilitates them even to carry out international trade.

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For doing businesses outside their home country, many people set up offshore structures, conducting their business affairs that do not infringe any laws. Many people live in other countries wherein they require offshore merchant accounts, offshore bank accounts, offshore corporations, offshore real estate, etc. Very often people use offshore privacy for the purpose of protecting themselves from identity theft, kidnapping, blackmail, and possible extortion.

The banks that offer offshore merchant account dont have to perform credit history checks; it means that even if you have had a bad credit history and disqualify for a merchant account in US, yet youll qualify for a free offshore merchant account. A free offshore merchant account doesnt require statement fees. No monthly or annual charges have to be incurred for this type of account. The completely computerized payment process, which involves real time processing, makes the whole thing simple. So, even though you are a high-risk merchant, still your company can get an offshore merchant account.

An offshore merchant account offers high security business account processing which is completely hassle free and also doesnt charge excessive fees. Free offshore merchant accounts offer benefits that one cant get with a domestic merchant account. All your offshore commercial activities are dependent on them. These accounts have come up as a wonderful endowment for the business world.

Psychology Subjects for a Research-Paper

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