Question

Write the role of mnc in globalisation

Answer 1

MNC work as a agent in globalisation MNC compete with local producers directly even after being miles apart thus integrating the market

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Answer 2

Answer:

Multinational Corporations (MNCs) are playing a tremendously big role in globalisation in the following ways:

• MNCs form partnerships with smaller local companies and thus establish their presence in a country with their help.
• But the most common route for MNCs to take is to buy up these small companies and use their factories and customer base to prosper eg. Cargill Foods has acquired Parekh Foods.
• They can also place orders with small producers and then sell the goods with their brand eg. Garments, Sports equipment, shoes, etc.
• By these methods, MNCs are integrating countries, increasing choice for consumers/buyers, closely competing with small producers and hence playing a big role in economic globalisation.
• Even though they are miles away from the country, their goods reach consumers of that country, hence globalisation is said to have taken place.

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