Economy, asked by makarim196, 1 year ago

Explain the ways by which production is interlinked by mncs

Answers

Answered by AniketVerma1
1

1) MNC buy up local companies and the expand the production. eg:- Cargil Foods bought smaller indian companies as Parekh Foods

2) MNC produce raw materials for their production from local producers which has helped the latter to grow.

3) they set up production jointly with local companies.

Hope this helps you



Answered by harshi926629
2

Answer:

The production is getting interlinked in the following ways:-

1. The MNC's form joint ventures with the local companies of various countries to expand their production.

2. Wealthy MNC companies buy small companies for example, Cargill foods an American MNC bought up Parakh foods, a good reputed company in india. It owned 4 oil refinaries which are now controlled by cargill foods.

3. The MNC's also place orders for production with small producers and those goods are given their brand name and sold across the globe.

In this way the MNC's set up partnerships globally with local companies and thus production is getting interlinked through the MNC's.

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