Theme 4 Global business Discuss these quotes. 4.4.3 Controlling MNCs.

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Presentation transcript:

Theme 4 Global business Discuss these quotes. 4.4.3 Controlling MNCs

4.4.3 Controlling MNCs In this topic you will learn about Factors to consider: political influence legal control pressure groups social media

Political influences Politicians can act to influence the operations and strategies of MNCs Trade initiatives and trade delegations offering financial and non-financial support hosting trade events parliamentary visits abroad to promote UK industries Subsidies and tax incentives Protectionism Trading blocs How effective are trade delegations? What evidence has there been of trade delegations following Brexit? https://www.gov.uk/government/news/uk-and-china-building-a-long-term-relationship http://www.bbc.co.uk/news/uk-24906730

Distinguish between tax avoidance and tax evasion. Legal control Regulatory controls competition policy employee legislation environmental protection Taxation rates to influence location decisions Both vary significantly between countries Distinguish between tax avoidance and tax evasion. https://www.foe.co.uk/sites/default/files/downloads/tesco_every_little_hurts.pdf To what extent do you agree that Tesco needs to be “tamed”? Should there be greater legal controls?

This has been greatly helped by social media. Pressure groups Organisations who fight to influence the actions of others for the good of a particular cause Seek to influence: Government policies Consumer behaviour Business activities Actions include: Media attention Protests and lobbying Boycotting The success of pressure groups is largely down to raising awareness of issues. This has been greatly helped by social media. https://www.youtube.com/watch?v=8NbsVwzTb_A

Research In pairs select one of the following pressure groups Confederation of British Industry Greenpeace Compassion in world farming Corporate watch Draw a mind map to show how the actions of the pressure group contributes towards the control of MNCs

How did the WWF harness the power of social media? Social media is the use of virtual communities to communicate with actual and potential customers e.g. the use of blogs, online forums, viral marketing, podcasts, social networking sites Reach a wide audience including: global reach younger demographic culture of sharing i.e. like, share, favourite, retweet etc. Powerful way to raise awareness using a range of media How did the WWF harness the power of social media? https://storify.com/mnolet/world-wildlife https://www.youtube.com/watch?v=TOAHBSxMBEA

4.4.3 Controlling MNCs In this topic you have learnt about Factors to consider: political influence legal control pressure groups social media