The Expansion Of Multinational Corporations ( Mncs ) Essay

The global economy has been inundated with the expansion of multinational corporations (MNCs). MNCs growth and dominant position in the global economy has been achieved through the process of globalisation. In order to explore the MNCs and globalised supply and production chains, the raise of MNCs need to be established. This essay will then demonstrate how the power attained from MNCs has restructured and diversified the geographies of retail connecting, production, distribution and consumption. The transformations undergone in these geographies will be explored with the use of examples: Tesco and Toyota. The examination of MNCs within different industries will allow for a wider understanding of scale. MNCs are widely considered to be organisation with operations in numerous countries. The world is becoming more globalised due to increased flows of goods and services; MNCs expand at a greater capacity. The concept of time-space compression presented by David Harvey emphasises how the acceleration of economic countries actions lead to the decay of spatial barriers (Harvey, 1989). It is this concept driving MNCs expansion into new terrains as spatial barriers are being defied. In turn, the erosion of spatial barriers allows for a larger pool of organisations to be accessible to MNCs to include within their supply and production chains. Supply and production chains refer to the system of organisations involved within supplying and producing a commodity. Therefore the chainsShow MoreRelatedMultinational Corporations ( Mncs ) Essay1070 Words   |  5 Pagesidentified as Multinational Corporations (MNCs), or Transnational Corporations (TNCs). Usually, an MNC can produce at least 25 per cent of its world output outside of its country of origin. Recently, a new breed of MNC emerges thanks to Internet based communication tools. They begin their operations in different countries very early on. 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