Multinational Corporations

AN INTERNATIONAL corporation is one which pursues business activities in one or more countries other than its home country. A multinational company is one in which a significant proportion of activities occur away from the home country. A global company is one which does not recognize a home country, but which conducts its activities on the basis of whichever location happens to be the most appropriate and efficient. In each of these cases, the organization is motivated by profit and considers activities in countries where they can obtain either new resources or new markets.

Multinational corporations first emerged as early as ancient Assyria and Mesopotamia, when overseas trading ventures were organized by partnerships of private individuals and facilitated by state governments. With people moving away from ...