Explain any four features of a Multi-National company.
Explain any four features of a Multi-National company.
Four features of an MNC are explained below:
1. International operations: Global MNCs run their foreign operations by establishing branches or subsidiary companies in host countries.
2. Giant size: MNCs have huge basis of assets and revenues because of their huge size operations spread in a number of countries.
3. Centralised control: MNCs have a centralised control system. All the decisions for subsidiaries or branches are taken by the headquarters of MNCs. Headquarter of MNCs exercise control over their foreign subsidiaries.
4. Modern technology and management practices: Most of the MNCs compete in the international markets on the basis of their modern technology and efficient management practices. In fact, these global enterprises are sources of the spread of modern technology and management practices in the world.
Four features of an MNC are explained below:
1. International operations: Global MNCs run their foreign operations by establishing branches or subsidiary companies in host countries.
2. Giant size: MNCs have huge basis of assets and revenues because of their huge size operations spread in a number of countries.
3. Centralised control: MNCs have a centralised control system. All the decisions for subsidiaries or branches are taken by the headquarters of MNCs. Headquarter of MNCs exercise control over their foreign subsidiaries.
4. Modern technology and management practices: Most of the MNCs compete in the international markets on the basis of their modern technology and efficient management practices. In fact, these global enterprises are sources of the spread of modern technology and management practices in the world.
