Multinational Companies

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Multinational Companies

Presented by:-
Swaraj S. Dubal (Roll no. 11)
Annapurna S. Hadimani (Roll no. 14)
Meaning

 An enterprise operating in several countries but managed from one


(home) country.

 Multinational companies (MNC) are the organization or enterprices


that manage production or offer services in more than one country .
Features of MNC
1. Big size .
2. Huge intellectual capital.
3. Operates in many countries.
4. Large number of customers.
5. Large numbers of competitors.
6. Structured way of decision making.
Objectives

• To expand the business beyond the boundaries of the home country.

• Minimize cost of the production, especially the labour cost.

• Capture lucrative foreign market against international competitors.

• Avail of competitive advantage internationally.


• Achieve greater efficiency by producing in local market and then
exporting the products.

• Make best use of technological advantages by setting up production


facilities abroad.

• Establish an international corporate image.


Examples of MNC’s

Ford Skoda
Nike
motors motors

Sony and
Apple
many more.
Why go International?
• Expanding the production capacities beyond the demand of the
Domestic country.

• Serve competition in the home country.

• To increase market share.

• Nearness to Raw material.

• Availability of quality human resources at low cost.


Why India attracting MNC’s
Fastest growing economy

Huge market potencial

Latest competitiveness

Macro economic stability


THANK YOU

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