Essay on Multinational Companies Essay

Multinational companies are giant firms with their origin in one country, but their operations extending beyond the boundaries of that nation. For reasons of marketing, financial and technological superiority, these multinationals are generally considered as a sine qua non of the modernisation of an economy. They have been responsible for the rapid economic liberalisation in India in 1991, the question of the entry of multinational corporations (MNCs) has assumed significance. Multinationals corporations, mostly from the United States, Japan and other industrialised nations of the world, have en ­tered our life in a big way. Foreign investment proposals and commercial alliance have been signed on an unprecedented scale, thus giving rise to the controversy whether these multinational corporations are our saviours or saboteurs. This is so because of the vital difference between the economies of developed and developing nations. This requires that the entry of multinational corporations in India be examined from this angle. According to A.K. Cairn cross, â€Å"It is not possible to buy development so cheaply. The provision of foreign capital may yield a more adequate infrastructure, but rarely by itself generates rapid development unless there are already large investment opportunities going a begging That is why the intervention of multinational corporations is imperative in the context of the economic growth and modernisation of developing economies where ample investment avenues lie open and yet due to lack of capital and technical know-how, these potentials remain unexploited. Multinational corporations help in reorganising the economic infrastructure in collaboration with the domestic sector through financial and technical help. If we consider the case of our country immediately after Independence, ours was an agrarian economy with a weak industrial base and low level of savings. â€Å"Though the public sector was supposed to cure these ills, with problems like paucity of funds, lack of technical know-how and other amenities, it seemed an impossible proposition. Hence, the help of multinational corporation was sought in terms of fi ­nance and technology. As a consequence of the public sector multinational corporation nexus, from a miniature one, the Indian industrial economy assumed colossal dimensions and India is considered one of the most industrialised nations of the world today. However, there is another school of thought, which de ­nounces multinationals as an extension of imperialist power and potency source of exploitation of the Least Developed Countries (LDCs) by the developed economies of the world. According to them, MNCs are an expensive bargain for a developing economy from the foreign exchange point of view. These days when developing countries are struggling with massive foreign debts and their development plans are held up due â€Å"to paucity of funds† .this may be considered a serious drawback. Second, multinationals evade paying taxes in most countries by concealing profits. Government agencies entrusted with the task of collecting the taxes and scrutinising their accounts are often bluffed by them as they do not know enough about the industries they are asked to deal with. Third, multinationals often provide inappropriate technol ­ogy to the developing nations. The technology provided by them is very often too sophisticated to adopt or too absolute by international standards. Further, transfer to technology in accordance with resource endowment of LDCs involves high cost and this may prevent MNCs from transferring appropriate technology to these countries. Fourth, some of the evils of the multinationals emanate out of their  oligopolistic character. Collision is the main determinant of its price policy, which ensures profit at the cost of high level of consumption at a lower price. Even the impact of high productivity brought about by them through the technology-cal advancement is not conducive to the working class because of pre-determined level of profit under oligopolistic criterion. Fifth, concentration of economic power is the main charge against MNCs.This economic power is often used to distort national politics and international relations by multinationals. These enterprises build up a power entity of their own. They never hesitate in exploiting the social and political weakness and economic backwardness of the LDCs to their own benefit. A multinational corporation is neither a saviour as its pro ­tagonists claim, nor a saboteur as its detractors make it out to be. It is a mix of virtues and vices, boons and banes. Charges levelled against multinationals are serious, yet it also remains a fact that, despite all these disastrous consequences of their working, multinationals have emerged as the most dominant institutions of the late twentieth century. As such, third world countries in general, and India, in particular, will have to deal with multinationals despite their ugly designs. The Government must, therefore, have an optimally bal ­anced policy towards MNCs after weighting the various pros and cons of the issue. It would not go for foreign collaboration in areas where adequate Indian skills and capital are available. Whenever the need for foreign collaboration is felt in areas of high priority, emphasis should be on purchasing outright technical know-how, technological skills and machinery. But only if this is not possible, should MNCs be allowed to operate in India? Once these safeguards are taken, multinational corpora ­tions will give an uplift to national economy by bringing in quality goods and services to the country. They will reward enterprise and talent; the inefficient would, of course, have no place in the new scheme of things. Hence, the hue and cry by interested party, who, dub MNCs as saboteurs. Multinational corporations will demand efficiency, punctuality and dedication things which are deadly lacking in national life today. They will demand a certain work culture from the employees as well as the employers besides offering the best of goods and services to their clientele. They should, therefore, be viewed as saviours of national economy rather than saboteurs because we have seen where our previous policies, have landed us right at the bottom of the list of industrialised nations. The economy has steadily picked up since the liberalisation measures were introduced. This must ‘continue if we are to emerge as a global economic power in the next century. And multinational corporations are the only answer.

Pest on Unilever Essay

Political factors influence organisations in many ways. Political factors can create advantages and opportunities for organisations. Conversely they can place obligations and duties on organisations. Political factors include the following types of instrument: – Legislation such as the minimum wage or anti discrimination laws. – Voluntary codes and practices – Market regulations – Trade agreements, tariffs or restrictions – Tax levies and tax breaks – Type of government regime eg communist, democratic, dictatorship Non conformance with legislative obligations can lead to sanctions such as fines, adverse publicity and imprisonment. Ineffective voluntary codes and practices will often lead to governments introducing legislation to regulate the activities covered by the codes and practices. ECONOMICAL The second element of a PEST analysis involves a study of economic factors. All businesses are affected by national and global economic factors. National and global interest rate and fiscal policy will be set around economic conditions. The climate of the economy dictates how consumers, suppliers and other organizational stakeholders such as suppliers and creditors behave within society. An economy undergoing recession will have high unemployment, low spending power and low stakeholder confidence. Conversely a â€Å"booming† or growing economy will have low unemployment, high spending power and high stakeholder confidence. A successful organization will respond to economic conditions and stakeholder behavior. Furthermore organisations will need to review the impact economic conditions are having on their competitors and respond accordingly. In this global business world organisations are affected by economies throughout the world and not just the countries in which they are based or operate from. For example: a global credit crunch originating in the USA contributed towards the credit crunch in the UK in 2007/08. Cheaper labour in developing countries affects the competitiveness of products from developed countries. An increase in interest rates in the USA will affect the share price of UK stocks or adverse weather conditions in India may affect the price of tea bought in an English cafe. A truly global player has to be aware of economic conditions across all borders and needs to ensure that it employs strategies that protect and promote its business through economic conditions throughout the world.

Absolute Thresholds and Differential Thresholds

Absolute thresholds are the minimum level of stimulus intensity needed for a stimulus to be perceived. In other words, the absolute threshold is the amount of intensity needed for a person to detect a difference between something and nothing. Differential thresholds refer to the intensity difference needed between two stimuli before people can perceive that stimuli are different. Thus, the differential threshold is a relative concept. Weber’s law (1834) states the positive relation between the first stimulus and the second stimulus. The greater the initial stimulus, the stronger the additional intensity need for the second stimulus to be perceived as different. Absolute thresholdDifferential threshold Amount of stimulusOne stimulusTwo stimuli MeasurementDistance between stimulus and nothingDistance between two stimuli Compare between absolute threshold and differential threshold, absolute threshold just include one stimulus while differential threshold include two. In measurement, absolute threshold measures the distance between stimulus and nothing while differential threshold measures the distance between two stimuli. As I am a marketing student, therefore, the first thing which comes to my mind when I am trying to start off with this piece of journal is that, do these differences between the two thresholds matter with marketers’ marketing strategies? And after I do some research on the internet and with my personal experience, I am quite sure that it does matter. The importance of two thresholds can be different to marketers under different situations. Absolute thresholdDifferential threshold Advertising ElementsExposure, Size, ColorAdvertising quality PeopleInvolvement, motivation, attention, attitude Concerning advertising elements, absolute threshold focuses on exposure, size, color, etc to attract target customers’ attention while differential threshold focuses on the advertising quality appear to customer in order for them to percept the different between those. These two thresholds are based on different people and are closely related to their involvement, motivation, attention, attitude on the particular good or service. So different people will have different threshold when percept the same object. When a firm launches a new product or a new brand emerges in the market, this is when the absolute threshold is more important to marketers. Because absolute threshold measures the minimum intensity that the customers can percept, as the new brand or product probably needs recognitions from them, otherwise poor sales arise. Therefore, the higher the exposures of advertising advance to gain consumers’ attention. On the other hand, the well use of five sensory techniques in the advertising can easier imprint in their mind. When a firm is modifying a product or service (positive improvement or negative change) that either willing or unwilling to let a customer in perceiving the difference, the differential threshold will be considered to be more important. Because differential threshold measure the intensity difference needed between two stimuli before people can perceive, the intensity modify of a product that cause the customer percept or not is what marketers’ concern. For instance, marketers want to know to what degree of a price cut or a bigger meal can be percept by customers, and thus affect their motivation to consume more. On the other hand, marketers want to know to what degree of raise in price or a smaller meal that can’t be precept by customers, or else it will increase the customer’s cost risk and decrease his or her motivation in purchasing. When taking in the consideration in such a negative change, it reminds me with one of my personal experience. As I am a fan of Coca-Cola, I used to drink at least three cans a week and I would save those cans up on my own desk in order to bring those cans for recycling once a week. One day when I was doing the same practice after washing the can and try to put it to the group of cans on my desk, I found out that the can was smaller than those cans that I bought before, and when I took a look on the volume of the Cola, the drink can was cut to 330 ml from 355 ml which indicates a 7 percent reduction in the size of the can. I was kind of shocking that how come a Coca-Cola fan could not recognize such a change in size. After attending the lecture, I know that there is another dimension of sensory discrimination what is known as the â€Å"just noticeable difference† (JND). Weber’s work was applied to marketing by Miller (1962) which states that a 7 percent change in other sizes of similar products is needed before a change is noticed. This implies and explains what I experienced and how the marketers try to apply this theory in their strategic moves.

Communication with My Father Essay Example | Topics and Well Written Essays - 750 words

Communication with My Father - Essay Example Bound by respect, kindness, and love, our ever-growing communication continuously gives me the motivation to achieve my dreams. My communication with my father has made me understand the value of respect. In our culture, children are expected to love and respect their parents at all times. Children do not answer back whenever being reprimanded, and they obey their parents’ will no matter what. In my case, I have developed respect for my parents not only because of our culture but also because of the way they have treated me with respect. Specifically, my father demonstrated to us, his children, what respect means by listening to us and giving us the freedom to speak up and say what we feel. As a family, we make time to listen to each other by gathering every night to discuss what happened to us during the day. My parents listen to our stories and advise us when we need their advice. By allowing us to express what we feel, my parents show us the importance of listening to peopl e and respecting their feelings. After the family meeting, I spend time with my father whenever I have the time. My father shows me what respect means by listening attentively and looking into my eyes. My communication with my father is also characterized by kindness. I have a feeling that my father favors me over my siblings. Thus, he is often kind and gentle to me than to my brothers and sisters. I feel this is unfair and should be changed so that my siblings will enjoy the same privileges I enjoy. Nevertheless, I am grateful to my father for showing me kindness each day. He has been very supportive of me since I was a child. We spend time doing a lot of things and telling stories. We enjoy each other’s company and often while away time with stories to tell. He is like a best friend to me whom I can count on in times of disappointments. However, unlike a friend who expects something in return, he does not pressure me to comply with his expectations. This is so because I kno w what he wants for me and I usually do what I think would please him. I do not ever want to disappoint him because he is my role model. If I fail to be good, I know that he will be disappointed. Thus, to avoid disappointing him, I study hard and limit the time I spend with my friends. In return, he is very kind to me and supports me in every endeavor. Love is also an important factor in our communication. The love of my father serves as my fountain of gladness. It gives me the motivation to strive hard and succeed in my dream, express hope and compassion towards others, and deal with other people with respect. I can feel the love of my father as he communicates with me. He is always after my benefit. Every time we talked, he inquired about my studies, health, activities, and other personal matters. As a son, I feel secure to have him around asking that way. Other children may find my father’s inquiries limitative of their freedom but I never thought of that. Whenever my fath er inquired about my whereabouts, I tell him everything and keep no secrets. He does the same and shares his problems. This way, we enjoy an open-line communication. However, one problem that I have is how to convince him to quit smoking. It concerns me a lot whenever I see him smoking and coughing at times or struggling for breath. Despite what he is feeling, he never stops smoking and would not like to be reprimanded about it. It hurts me to see him smoking because it could take his life

Small-Business Idea Paper Assignment Example | Topics and Well Written Essays - 1250 words

Small-Business Idea Paper - Assignment Example Advantages and Disadvantages of Four Different Forms of Business Organizations There are fundamentally four types of business forms currently practiced by entrepreneurs, such as sole proprietorship, partnership, C-Corporation, and S-Corporation. However, with due consideration to their practical implementation, various advantages and disadvantages can be identified which are elaborated in the further discussion. Sole Proprietorship Majority of the businesses observed in the locality are of this kind. The most significant advantages served by this form of business are the minimum obligation of legal implications. To be elaborated, The profits accrued from the business is entirely receivable to the proprietor Unhindered employment of capital in the business The proprietor possesses exclusive control on the business Tax rebates and exclusion from capital gains are served to the proprietor Apart from these advantages, a sole proprietorship concern also require facing disadvantages as fol lows, In this case, the proprietor is liable for any loss or repayment of debt incurred from the business Transfer of proprietorship is subjected to a wide number of legal obligations (Pride, Hughes, & Kapoor, 2011) Partnership Partnership concerns are quite different from the forms of sole proprietorship. It is in this context that this form possesses significant advantages as well as disadvantages in its ultimate implications. These are as follows, Advantages: Partnership firms have no formal requirements for its creation or running the business The partners engaged in the firm are only liable to pay individual taxes and also enjoys distributed liability of any debt and/or loss incurred by the concern Disadvantages: Termination of partnership is subjected to various legal requirement As the concern is not termed as a legal entity, debts and losses incurred by the firms are to be repaid by the partners (Gitman & McDaniel, 2008) C-Corporation Similar to the aforementioned two busine ss forms, this form also possesses significant advantages along with few disadvantages which are as follows, Advantages: Limited liability of the owners as subjected to their investments to the business Gathering a significant amount of capital is uncomplicated in this form Number of owners or shareholders can be unlimited Disadvantages: Operational structure is quite complex Significant influence of legal barriers can be witnessed Rights and power of control in the firm is determined according to the investment considered by the shareholders (Barringer & Ireland, 2009) S-Corporation It has been widely termed that S-Corporations possess missed advantages and disadvantages of partnership firms and other forms of regular businesses. However, the most apparent advantages and disadvantages of S-Corporation are as follows, Advantages: The owners are required to disburse either corporate tax or individual tax only Constructive rules for employment tax with

Staffing Process in Organizations Essay Example | Topics and Well Written Essays - 1750 words - 1

Staffing Process in Organizations - Essay Example Actually, after the recruitment and apportionment are done, the employees will be prepared to start the work as soon as possible. But, sometimes or most times, the recruited employees should need to be given orientation and training to integrate or assimilate with the working environment and importantly fulfill the work needs. That is, the prospective employees may show optimum interest, performance, etc at the time of recruitment, but after selection, while working in the organization they may underperform. That is, after performing well during the recruitment process and getting the job, they may become over-confident and may not put the same effort during their work. Also, if the organization fails to give them an optimal working environment as promised during the recruitment process, employees may not perform well in that scenario also. So, this where an optimal staffing process through coaching and mentoring will come into the picture, equipping the recruited employees and match ing the job needs of the organization. Staffing involves coaching and mentoring the job seekers to make them fit for a particular job (koreone.com) As part of the staffing processes, organizations should coach or mentor the recruited staffs and even the old employees, for it reaches the top echelons. â€Å"Coaching and Mentoring can be used to effectively unlock the potential that already exists within any organization. The organization’s most valuable resource is its people or puts more concretely, the knowledge and passion that resides within the hearts and minds of its people... introducing coaching and mentoring within any organization, will reap the benefits to the organization† (oaktraining.com). That is, when the recruited employees fall short in their performance, mainly due to lack of skill and  knowledge about the process, they can be coached or mentored.

Summary of an article Essay Example | Topics and Well Written Essays - 250 words - 1

Summary of an article - Essay Example Students use their computer systems to copy music files and download movies and similarly they think that copying and pasting other writers’ work is the same non-serious task. Gabriel mentions a survey which shows that 40% of students admit plagiarizing, and the number of students who consider plagiarism as a serious act is declining with every passing year. Students going to libraries for research work are very few today and since everything is virtual online, thus they do not think that there is any harm in using words that do not belong to them. Students get motivated to use other works through TV shows that copy other shows and music that contains others’ lyrics. They just need a grade to pass the exam and do not mind plagiarizing for this purpose which makes their work unoriginal and unauthentic. Students mix their work with others which keeps them from bringing up new and innovative ideas. However, Gabriel quotes Ms. Wilensky who states that still there are many s cholars who are producing original pieces of work. She asserts that students should be taught to reproduce ideas in their own words right from the start so that they do not plagiarize when they go to