Multinational coporations in third world countries. (a case study of nigeria)

Thesis Overview

<p> </p><p>1.2 BACKGROUND OF STUDY<br>Multinational corporations have existed since the beginning of overseas trade. They have remained a part of the business scene throughout history, entering their modern form in the 17th and 18th centuries with the creation of large, European-based monopolistic concerns such as the British East India Company during the age of colonization. Multinational concerns were viewed at that time as agents of civilization and played a pivotal role in the commercial and industrial development of Asia, South America, and Africa. By the end of the 19th century, advances in communications had more closely linked world markets, and multinational corporations retained their favorable image as instruments of improved global relations through commercial ties. The existence of close international trading relations did not prevent the outbreak of two world wars in the first half of the twentieth century, but an even more closely bound world economy emerged in the aftermath of the period of conflict.<br>Multinational corporations take many different forms, ranging from companies that participate only in direct importing and exporting, to those making significant investments in foreign countries, to those buying and selling licenses in foreign markets, to others engaging in contract manufacturing (permitting a local manufacturer in a foreign country to produce their products), and still others opening manufacturing facilities or assembly operations in foreign countries.<br>In more recent times, multinational corporations have grown in power and visibility, but have come to be viewed more ambivalently by both governments and consumers worldwide. Indeed, multinationals today are viewed with increased suspicion given their perceived lack of concern for the economic well-being of particular geographic regions and the public impression that,……</p><p><strong>1.2 STATEMENT OF PROBLEM</strong><br>Multinational corporations exist everywhere in Nigeria because of the availability of resources based in the country, they dominate the economy, straddle the indigenous entrepreneur and in the process create a monopoly and accumulate unimaginable profits. The followings are the questions arising;<br>1. How much is their contributions to the economic development of Nigeria given their enormous resources?<br>2. Are the contributions of the multinational corporations negative or positive?<br>3 If the negative contributions outweigh the positive ones, what can be done to balance the effects?<br>These are most of the questions that will be answered in the course of the long essay</p><p><strong>1.3 RESEARCH QUESTIONS</strong><br>ï‚· What is responsible for the formation of Multinational Corporations?<br>ï‚· What are the contributions of Multinational corporations to Nigeria?<br><strong>1.4 OBJECTIVE OF STUDY</strong><br>The objectives of this study will include the following;<br> To examine the positive and negative impacts of multinational corporation on Nigeria‘s economy.<br> To identify the role of multinational corporations in the development of the country‘s economy.<br> To proffer solutions to lapses where necessary.<br><strong>1.5 HYPOTHESES</strong><br>In order to achieve the statement of problem and objective of study, the following are the proposed hypotheses;<br>ï‚· The activities of Multinational Corporations have contributed positively to the development or underdevelopment of Nigeria<br>ï‚· The activities of Multinational Corporations have contributed negatively to the development or underdevelopment on Nigeria.<br><strong>1.6 SIGNIFICANCE OF STUDY</strong><br>The study is significant for several reasons, they include the followings;</p> <br><p></p>