1. Multinational Corporations

2.  A firm that operates in more than one country  Headquarters in one country and branch plants in several other countries Ie. Microsoft Canada - Software, services and solutions. Motorola Canada - Wireless hardware products. Primus Telecommunications Canada - Voice, data/Internet and VoIP solutions. Xerox Canada - Document imaging equipment.

3. Improve profitability  Access to cheaper raw materials & labour = lower operating costs  Tax concessions or development grants  Geographic diversification - market & political instability (country A) = market & political instability (country B)

4.  Wealth and mobility = strong political influence in host country Strict environmental laws = 1. Shut down & move 2. Political pressure to change laws/special exemptions

5.  Outsourcing - business obtains services or products used in manufacturing from an outside (often overseas) supplier or manufacturer in order to cut costs. Ie?

6.  Push Production - manufacturers of products decide what to produce, how much to produce and the price of the product.  Pull Production - retailers determine what the manufacturer will produce, how much to produce and the price of the product.