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Multi - National enterprises

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  1. Introduction.
  2. Development.
    1. Superior in terms of employment.
    2. Quantitative and qualitative aspects.
    3. Employee remunerations.
    4. Working conditions and employee recruitment.
    5. Gender issues.
    6. Superior in terms of industrial relations.
    7. Trade Unions and adaptability to adapt to change.
    8. Technological, economic and political changes.
  3. Conclusion.
  4. References.

A uni national company is an enterprise or a business, a venture which target is to have some customers in order to make some profits. But, it is represented in only one country. They can be smalls or big like the railway company in France SNCF for example. A multinational enterprise (MNE) may be defined as a company that owns or controls production or service facilities in more than one country. In other words, a multinational is not simply a company that trades internationally by exporting its product (or by licensing overseas producers). It actually owns (via a wholly or partly-owned subsidiary) or controls (via a branch plant, joint venture or minority shareholding) productive facilities outside its home country. Very large multinationals have budgets that exceed those of many countries. They can have a powerful influence in international relations, given their large economic influence in politicians' representative districts, as well as their extensive financial resources available for public relations and political lobbying.

[...] The report's "employment elasticities" indicator allows one to look at the relationship between economic growth - measured in GDP - and two of growth's contributory variables, the positive or negative change in employment and productivity. The biennial study found that for every 1 percentage point of additional GDP growth, total global employment grew by only 0.30 percentage points between 1999 and 2003, a drop from 0.38 percentage points between 1995 and 1999. The economic expansion in East Asia was sufficient to generate employment growth, productivity growth and a reduction in the high incidence of poverty in the region. [...]


[...] Adaptability to adapt to change -change technological: The main 0-specific advantages of MNEs is their ability to produce, acquire, master the understanding of and organize the use of technological assets across national boundaries. Of course, the degree of such adaptation would appear to vary between country, sector and firm. Market characteristics also affect the willingness of MNEs to adapt their products to meet local needs. Too often the costs of technology transfer and adaptation are underestimated. In a pioneering study, Teece (1976) showed that depending on the production and product-specific characteristics of the foreign investors, the cost of the adaptations to product, process and materials made necessary by a different production and marketing environment might be considerable. [...]


[...] Plans and policies regarding lay-offs are much less specific, and the Japanese have had to adapt some of their collectivist labour policies to meet the individual needs of European and US workers. (Dunning.1993 p377) Concerning the employee recruitment, we cannot say that MNEs have any particular superiority or advantage to uninational companies. They just have to, once again, adapt themselves. In general, MNEs have a good record for acknowledging and trying to work with local labour-related practices to meet the needs of both efficiency and equity. [...]

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