Explain any three methods of controlling production across countries by MNCs.
Multi-National Corporations are large companies established in a particular country and has offices, markets and produces and sells its products in many countries. They try to integrate and control production across countries where close markets, low labour, and high profits are earned. They control the market to maintain their economic and social power and their marketing network.
MNCs control production in the foll. Ways:
1. They have enormous wealth, sometimes more than the government of a developing country. This shows their enormous power and influence.
2. Large MNCs in developed countries place orders for production with small producers. These products are sold by the MNCs under their brand name at much higher prices.
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