Lesson Development

Objective 1-Justify that Multinational Corporations drive Globalization.

In what ways does Multinational Corporations actualize the process of globalization?

- They have provided sophisticated manufacturing techniques, technology, and improved skills to
emerging nations. They aid in the migration of money from countries with abundant resources
to those with scarcity. They support the growth of human resources and the advancement of
knowledge.

What are the different strategies used by Multinational Corporations?

- Three primary international strategies are available to multinational corporations: (1)

multidomestic, (2) global, and (3) transnational. The emphasis placed by these strategies on
global efficiency and meeting local needs varies.

Explain the 3 structural periods of Globalization.

Investment- based globalization (1950 to 1970) –

The investment base. Was dominated by producer driving commodity or value chains, Which in turn
tended to be dominated by firms characterized by large amount of concentrated capital focus on large
scale or capital intensive manufacturing or extractive industries

Trade- based globalization (1970-1995) –

Was due to the emergence of Japan as major producer nation, Especially of automobiles and consumer
electronics from the 1970s onward on. With this road to the scene new models of effective production
focus specially on the quality and regimes or flexible production. Which prompted the European firms to
rejoin the global commodity chains

Digital globalization (1995 to present) –

Has affected the enter structure of how global corporation operate. The integration of corporate
structure reducing the effects of time distance specially for services performed within the Corporate
Structures such as design finance and accounting Advertising and brand development legal services
inventory controls etc

Objective 2 - Assess the effects of Multinational Corporations to local economy

What are the effects of Multinational Corporations to our economy?

- Multinational firms give us cheaper commodities, jobs, and a healthy economy that generates a
lot of indirect opportunities from which many people benefit.

Do we have the capabilities to compete globally?

Yes, companies must compete internationally for both customers and staff due to global
competitiveness. Examples of how multinational corporations compete on all fronts, including pricing,
promotion, distribution, operations, and personnel, include KFC and Facebook. The core of the global
competition lies in this.

Objective 3 - Recognize the importance of Corporate Social Responsibilities

What are the social responsibilities of multinational corporations?

- Numerous multinational corporations, including Starbucks, the Body Shop, and Microsoft, create
comprehensive codes of conduct and work to fulfill certain social missions in order to conduct
business morally, reduce their negative environmental effects, increase public awareness of
certain issues, and raise money and donations.