1 Competence Centre for International Business-Society Management Research RSM Erasmus University Prof.dr. Rob van Tulder Fabienne Fortanier, MSc

2 Multinationals, SCOPE, & the Wage Indicator Questionnaire  Presentation of SCOPE Competence Centre  Why include a ‘multinational chooser’ in the Wage Indicator Questionnaire  Implementation:  What can you expect from SCOPE?  How is it implemented in the Wage Indicator Questionnaire?

3 The SCOPE Competence Centre for International Business Research  Established in 1997  Part of RSM Erasmus University; dept. of International Business-Society Management  Mission: To conduct high-level academic research… …by analyzing the international strategies and practices of the largest firms world-wide… …in order to assist policy makers, managers, and NGOs in enhancing the economic and societal contribution of these firms.

4 Why the largest firms world-wide?  Top 500 firms account for 90% of global FDI  The sales of Top 10 largest firms > GDP of Africa; Top 25 > GDP Asia (ex China)  Multinational affiliates employ 53 million workers world-wide  1/3 of world trade is intra-MNE trade, another 1/3 has at least 1 MNE as partner  The top 10 (50) largest corporate R&D spenders account for 10% (40%) of global R&D expenditure.  Etc…, see [click international business]

5 The core of our studies: the SCOPE Database  Firms followed from 1990 onwards:  Global Top 300 non-financial firms; and  Top 50 non-financial firms from the US, Japan, Germany, UK, France, and Netherlands  Base years 1995 and 2000  Total: app. 500 firms (n changes due to M&As)

6 The SCOPE Database: data  Main variables:  Degree and spread of internationalization  International location of subsidiaries  Research & Development  Vertical integration (value added)  Performance (profitability)  Data sources:  Annual Reports, SEC filings, other corporate information, news paper clippings, secondary databases (sparsely), UNCTAD (collaboration).

7 SCOPE results and contributions Books, e.g.: Van Tulder,with Van der Zwart International Business- Society Management. Routledge Fortanier & Van Tulder Networking for Development. Routledge Articles, in e.g.: Journal of International Business Studies; World Development; International Business Review; Journal of World Business; European Management Review;… ACADEMIC

8 SCOPE results and contributions Books, e.g.: Van Tulder,with Van der Zwart International Business- Society Management. Routledge Fortanier & Van Tulder Networking for Development. Routledge Articles, in e.g.: Journal of International Business Studies; World Development; International Business Review; Journal of World Business; European Management Review;… ACADEMIC For UNCTAD (since 1997): Lists of largest transnational firms from developed and developing countries in the World Investment Report For others like: Governments including Dutch ministries and the Treasury, OECD, and EC; Firms including Rabobank and Ballast-Nedam; and Non-Profit Organizations such as ICCO (development finance), Dutch Consumers Organization, International Metalworkers Fed. ADVISORY WORK

9 SCOPE & The WageIndicator: why a multinational chooser  Multinationals play a large and increasing role in the participating countries…  …but concerns continue to be expressed regarding the effect of these multinationals on wages and working conditions FDI/GDP 2004 Argentina25,2% Brazil35,3% India5,9% Mexico27,0% South Africa21,7% South Korea8,1% UNCTAD WIR 2005

10 SCOPE & The WageIndicator: why a multinational chooser  Differentiate between foreign and domestic firms regarding wages, terms of employment, working conditions.  Compare wages, terms of employment and working conditions in individual multinationals across countries.  Collects previously unavailable information that can strengthen the bargaining position of employees and trade unions towards multinationals, local firms, and policy makers

11 SCOPE & The WageIndicator  SCOPE provides detailed lists of subsidiaries of:  of the largest 500 multinationals firms worldwide, and  the 50 largest foreign subsidiaries in your country  Partners in the participating countries:  Brief check of the lists  Potentially translate (South Korea)  Update after 1 year:  based on Wage Indicator Questionnaire answers and updated lists

12 SCOPE & The WageIndicator: Example of the list of subsidiaries

13 The Internet Questionnaire (1)

14 The Internet questionnaire (2)

15 The Internet Questionnaire (3)

16 The Internet Questionnaire (4)  NB: the questions ‘are you foreign owned’ and if so, ‘from which country is the investor’, will remain in the questionnaire

17 We look forward to working with you! RSM Erasmus University Burg. Oudlaan 50 PO BOX DR Rotterdam The Netherlands Tel /