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JANUARY 2006
Online
Geo file 513

Barbara Melbourne


Transnational Corporations
Transnational corporations (TNCs) are Figure 1: Top 20 non-financial TNCs in 2002, ranked by foreign assets
very large global companies. They have
an administrative headquarters (HQ), a 2002 Country Product
Research and Development 1 General Electrics USA Aero-engines, engineering
establishment…

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January 2006 no.513 Transnational Corporations

Figure 3: Industries by type in top 50 non-financial TNCs, ranked by foreign assets assessment studies on possible
future sites;
MEDCs LEDCs · reclaiming degraded land by
Motor vehicles 9 1 remediation schemes, e.g. planting
Electrical and electronic equipment 7 7 new trees to replace…

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January 2006 no.513 Transnational Corporations

Figure 4: effects of TNCS on host countries

Benefits Drawbacks
· Employment: jobs are created for locals both at the · Labour force: in LEDCs the local labour force is often
TNC and in associated building, transport and service exploited with long working hours and…

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January 2006 no.513 Transnational Corporations

Figure 5: Shell: employment by sector · Deeside, 7 miles from Chester on a many years they have grown rapidly
well-prepared industrial park. with little control on their activities
Exploration and
and operations, especially in LEDCs.
Production
The local authorities in both locations Increased control…

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Alex Niang

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