Multinational Enterprises: An Overview
Introduction
In analyzing Multinational Enterprises (MNEs), we first highlight five key features that distinguish these companies:
- Centralized management and overall strategy.
- Significant power in the industrial and economic landscape of major developed countries.
- Control over a substantial percentage of production and trade.
- Dominance in technology.
- Origin in the United States for a large number of these corporations with a global presence.
The most salient feature of MNEs is their central direction,
Read MoreMarketing and Production Management
The Marketing Concept
A) Concept, Functions, and Responsibilities
We can distinguish two components of marketing:
- It is a mental attitude towards the problems of the company.
- It is a set of techniques focused on consumers.
Marketing is a responsible process aimed at identifying, anticipating, and satisfying consumer needs profitably for the company.
B) Basic Marketing Tools
- Product
- Price
- Communication
- Distribution
C) Types of Marketing
Marketing is classified as:
- Industrial Marketing: Developed by manufacturing
International Trade and Exchange Rates
International Trade
Voluntary Trade and Comparative Advantage
Voluntary trade occurs only when both countries benefit. The principle of comparative advantage explains that even if one country is more efficient at producing all goods (absolute advantage), it’s still beneficial to specialize in producing goods where it has the lowest opportunity cost and trade for other goods. This specialization and trade lead to mutual gains.
Protectionism
Protectionism involves government intervention to protect domestic
Read MoreAccounting and Banking Basics: A Comprehensive Guide
What is Accounting?
Definition of Barter
Barter is the exchange of goods or services without the use of money.
Formal Accounting
Formal accounting is carried out by businesses, institutions, and professionals. It follows established standards and regulations, such as Generally Accepted Accounting Principles (GAAP) or International Financial Reporting Standards (IFRS).
Informal Accounting
Informal accounting is typically used for personal or small business finances, such as tracking bi-weekly expenses.
Read MoreTypes of Companies and Business Structures
Unit 2: The Company
Definition
The company is the institution or agent that makes economic decisions on the utilization of production factors for goods and services offered in the market.
New Concept: The company is a universal tool used to produce and provide the public with most of the goods and services available in the economy.
The Entrepreneur
An entrepreneur is a person who provides the capital and, at the same time, performs functions of organization, management, planning, and control. In many
Read MoreOperations Management Concepts and Techniques
1. Principles of Quality Management
1.1. Focus on Customer Needs
Constancy of Purpose: Maintain a commitment to improving products and services to stay competitive, remain in business, and provide jobs.
1.2. Embrace Change
Adopt a New Philosophy: Management must be open to the opportunities and challenges presented by new economic stages.
1.3. Build Quality In
Cease Dependence on Inspection: Eliminate mass inspection by building quality into the product from the start.
1.4. Long-Term Supplier Relationships
End
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