Explain the term ‘globalisation’ and the role that multinational companies play in the development of globalisation. Globalisation is the process by which the world is becoming increasingly interconnected as a result of massively increased trade and cultural exchange. Globalisation has increased the production of goods and services and has therefore lead to increased trade between countries. This trade encourages countries to work together and removes trade barriers such as quotas and tariffs. This increased openess allows countries to specialise in producing goods which they have a comparitve advantage in (this means they can produce goods at lower unit costs) A multinational Company is a corporation that has its facilities and other assets in at least one country other than its home country.
It can provide domestic employment opportunities that may not otherwise be available, resulting in higher levels illegal immigration. In some cases, however,(cons) it results in competition that destroys industries in one nation. There are also risks that free trade may lead to developed nations supporting work conditions in a developing nation that it would not allow in its own. One of the benefits of free trade is that tariffs are often reduced or eliminated. This means that a producer's goods are often more attractive to foreign consumers and that those consumers can acquire those goods at lower prices.
Innovation impacts the cost of production as well. Even the innovation helps in lowering the cost of production and making economies more efficient – producing more outputs with the same number of inputs. Technology affects market structure. In today’s market world, technology advances more rapidly because individuals gain incentives, in the form of profits, to discover new and cheaper ways of doing things. Even the dynamic efficiency refers to a market’s ability to promote cost-reducing or product-enhancing technological change.
By regulating these prices they make sure that companies are not taking advantage of consumers. The regulations also protect companies by regulating the competition therefore it lessens the effects that competition has on other companies. (McConnell, 2008, p. 583) The entities affected by industrial regulation are oligopolies and natural monopolies. (McConnell, 2008, pp. 589-590) A natural monopoly is where one company produces a product at a lower cost to the consumer than any other company.
One of the most famous reasons given in the opposition of the free trade is the protection of the local economy and provides local people with more job opportunities. For this purpose different protectionist barriers have been placed (Stone, 2011). However, it is important to acknowledge that this is not the actual case. The trade protection and protectionist barriers are not able to protect the American jobs or the economy. This believes that the import from other countries results in damaging the local industry and thus negatively impacts the job market, is only one side of the argument.
What evidence suggests that Cash Connection’s strategy and business model are ethical and beneficial to customers and to society at large? What evidence suggests the company’s strategy and business model are neither ethical nor beneficial to customers and that the entire payday lending industry has few if any redeeming qualities? * There are many evidences suggest that Cash Connection’s strategy and business model are ethical and beneficial to customers and to society at large. Cash Connections is not breaking any legal laws which may lend people to think they are ethical, but does Cash Connection pass the moral test is the question. Cash Connection as well as other lending organizations is taking advantage of the hard times individuals have fallen on but at the same time the lending industry is beneficial in that it provides more than 150,000 jobs and contributes up to $10 billion to the U.S. gross domestic product.
Export commodities which have been banned from sale in the United States No, a business shouldn’t be able to export commodities that have been banned from the United States. There are reasons that these products have been banned whether its drugs, chemicals or some other product it most likely causes harm to individuals or has some kind of danger to it. Although a company’s main concern is making a profit they still have other responsibilities that also contribute to their profits that they receive. Everything a business does reflects on them in either a good
Free economies foster people’s sense of private owner- ship and prompt them to value property rights. When government policy interferes with eco- nomic activity, the economy suffers and people’s liv- ing standards decrease. Governments can infringe on property rights directly by enabling a weak judi- ciary or indirectly by raising taxes, enacting burden- some regulations, consuming scarce resources, and mandating that business implement social programs. Government infringement of property rights subtly confiscates wealth, decreases the value of economic activity, and prevents resources from flowing to their most valuable use. At the same time, it helps to con- centrate wealth in the hands of a few at the expense of the poorest.
Moreover, governments will not accept findings which go against their beliefs, this suggests that social policy is only influenced by sociological research if the research findings happen to agree with the governments view. Furthermore the government is able to twist or manipulate the findings, for example, a government could show a certain type of crime has been lowered simply by labelling it as something else. This shows how governments are able to use sociological research in social policy because if they choose to use the research they can manipulate it to show something in a more positive light than what it really is. Powerful individuals and interest groups are able to influence social policy. Large and powerful businesses are able to have an influence over social policy.
There must be some weakness in the state system which is failing to counter check paths of illegal immigration. While we have to respect the poor and needy, there is no depth in the argument, that it is fair to break laws if it is for good reasons. However, illegal immigrants pose potential problems to American economy. They are often a financial burden on America’s economic industry and its’ employers, and they retain a high percentage of injured workplace employees, resulting in more costs to the employers. The economic effects can also be a worthy