Nama : Andi Tahmid Aswan.

Class : Manajemen 2022 I

NIM : 22080574100

1. Multinational companies like McDonald's, Burger King, Pizza Hut, and KFC operate using various
business strategies to enter into the global market some of them are :
1. One such strategy is franchising, where companies sell the right to use their brand name and
system to local operators.
2. Another strategy is direct investment, where companies establish their subsidiaries or
purchase existing companies in foreign countries.
3. Joint ventures and strategic alliances with local companies are also common strategies to
enter into new markets.
4. These companies also adapt their products and marketing strategies to suit local tastes and
preferences.
For example, KFC introduced rice dishes in China and McDonald's has separate vegetarian
menus in India. Additionally, these companies focus on expanding their global supply chains
to source materials and produce goods more efficiently.

2. Positive impacts:
 Economic growth: MNCs contribute to the country's economic growth by creating job
opportunities and promoting investment in local industries .
 Technology transfer: These companies bring advanced technologies and expertise, which
can enhance the productivity and competitiveness of local industries .
 Infrastructure development: MNCs often invest in infrastructure projects, such as
building factories and logistics networks, which can benefit the local communities .
 CSR initiatives: Many MNCs engage in CSR activities, such as community development,
environmental conservation, and education programs, which can have a positive social
impact.
Negative impacts:
 Exploitation of resources: MNCs may exploit the country's natural resources without
proper environmental safeguards, leading to environmental degradation .
 Ethical concerns: Some MNCs have faced criticism for labor rights violations, poor
working conditions, and low wages .
 Unequal distribution of wealth: The economic benefits generated by MNCs may not
always be evenly distributed, leading to income inequality .
 Cultural influence: The presence of MNCs can lead to the homogenization of local
cultures and the dominance of global consumerism .

3. Bluewashing refers to the deceptive marketing tactics used by companies to portray themselves
as socially and economically responsible without actually implementing meaningful changes.In
the case of PT Jaba Garmindo-UNIQLO, the company's exploitation practices indicate a violation
of ethical standards and the practice of bluewashing.
 To prevent and minimize bluewashing practices, companies can adopt the following strategies:
 Transparency and Accountability: Companies should be transparent about their practices
and initiatives, providing accurate and comprehensive information about their social and
economic responsibility efforts. This includes disclosing their supply chain practices,
labor conditions, and environmental impact.
 Independent Verification: Seeking third-party verification or certification from reputable
organizations can help ensure the credibility of a company's claims. Independent audits
and assessments can provide assurance to stakeholders and consumers that the
company's actions align with their stated commitments.
 Stakeholder Engagement: Engaging with stakeholders, including employees, customers,
local communities, and NGOs, can provide valuable insights and feedback on a
company's practices. This engagement can help identify areas for improvement and
ensure that the company's initiatives are aligned with the expectations and needs of its
stakeholders .

So there is a big chance to minimize the bluewashing by following this strategies.

4. Greenfield Investment:

Advantages:
 Full control: Companies have complete control over the design, construction, and
operation of new facilities.
 Customization: Companies can tailor the new facility to their specific needs and
requirements.
 Technology transfer: Greenfield investments facilitate the transfer of advanced
technology and expertise to the host country.
Example: Toyota's construction of a new manufacturing plant in Thailand.

Disadvantages:
 High start-up costs: Greenfield investments require significant capital investment for
land, construction, and equipment.
 Time-consuming: Building new facilities from scratch can be time-consuming, delaying
market entry.
 Market uncertainty: There is a risk of market acceptance and demand uncertainty for
the new product or service.
Example: Tesla's construction of a new Gigafactory in Germany.

Brownfield Investment:

Advantages:
 Reduced start-up time and costs: Brownfield investments utilize existing facilities,
reducing the time and expenses associated with construction.
 Established infrastructure: Brownfield investments benefit from existing infrastructure,
such as utilities and transportation networks.
  Faster market entry: Companies can quickly establish operations and start serving
customers.
Example: Vodafone's acquisition of Hutchison Essar in India.

Disadvantages:
 Facility upgrades and maintenance: Brownfield investments may require additional
investments to upgrade or maintain the existing facility.
 Operational inefficiencies: Existing facilities may not be optimized for the company's
specific operations, leading to inefficiencies.
 Locational constraints: Companies may be limited in their choice of location due to the
availability of existing facilities.
Example: Tata Motors' acquisition of Jaguar Land Rover in the UK.

5. Monetary policies can have a significant impact on global businesses, including companies like
PT Jaba Garmindo-UNIQLO expanding their operations in different countries. Some ways in
which monetary policies can affect businesses include:

Interest Rates: Changes in interest rates can influence borrowing costs for businesses,
affecting their investment decisions and expansion plans. For example, if a country
lowers its interest rates, it can encourage businesses to take loans and invest in new
branches or facilites
Exchange Rates: Fluctuations in exchange rates can impact the profitability of
international businesses. A strong domestic currency can make exports more expensive
and reduce competitiveness, while a weak currency can make imports costlier.
Businesses need to consider these factors when entering new markets. For instance, if a
country's currency depreciates, it can make it more affordable for PT Jaba Garmindo-
UNIQLO to open branches there.
Inflation: High inflation rates can erode the purchasing power of consumers and increase
costs for businesses. This can affect pricing strategies and profit margins. Countries with
low inflation rates may be more attractive for businesses as they offer a stable economic
environment.

Examples of countries where monetary policies can impact businesses include:

United States: The Federal Reserve's monetary policies, such as interest rate changes,
can have ripple effects on global businesses due to the U.S. dollar's status as a global
reserve currency.
China: The People's Bank of China's policies, including exchange rate management, can
influence the competitiveness of businesses operating in or competing with Chinese
firms.
European Union: The European Central Bank's monetary policies, particularly regarding
the euro, can impact businesses operating within the EU or trading with EU member
countries.