Why are global enterprise considered superior to other business?
Answers
Answer:
Well,
Explanation:
Global enterprises are considered superior to other business organizations because it has following advantages which other business organizations may not have.
1. Availability of capital: MNCs possess ample of capital resources and they are able to raise lot of funds from various sources.
2. International operations: A MNC has production, marketing and other facilities in several countries.
3. Centralized control: MNCs have headquarters in their home countries from where they exercise their control over all branches and subsidiaries. It provides only broad policy, framework to them and there is no interference in their day to day operations.
4. Foreign collaboration: Usually they enter into agreements relating to sale of technology, production of goods, use of brand name etc. with local firms in the host country
5. Advanced technology: These organisations possess advanced and superior technology which enable them to provide world class products and services.
6. Product innovations: MNCs have highly sophisticated research and development departments. These are engaged in developing new products and superior design of existing products.
7. Marketing strategies: MNCs use aggressive marketing strategies. Their brands are well known and spend huge amounts on advertising and sale promotion.
Answer:
Explanation:
Answer: Global enterprises are large industrial organizations which extend their industrial and marketing operations through a network of their branches or subsidiaries in several countries. ... Thus, losses in one country may be compensated by profits in another country.