Transnational corporations, or TNCs, are corporations that have their headquarters in one country and operate wholly or partially owned subsidiaries in one or more other countries. Some people benefit from the growth of transnational corporations than others. Developed countries benefit as they get cheaper imports from developing countries which benefits the consumers and companies in the developed countries as everyone pays less and companies can compete with others easier. Another benefit is that developed countries lose industry to developing countries, improving the environmental quality in the developed country, reducing CO2 emissions helping to combat climate change. Developing countries also benefit as the population get access to employment and the development of new skills, leading to more money being spent helping the economy to improve infrastructure and services improving the quality of life in the country.
Chapter 16, Question 5 Why is frictional unemployment important to have in any economy? Frictional unemployment is the sign of an economy’s strength and unemployment that is in a fast- paced economy with an expanding labor force. This unemployment is suitable to workers as it allows them to search for jobs that they want the most. It also benefits the company, because it allows them to obtain the best talent. Without frictional unemployment people remain in the same career for life Frictional unemployment is important in the economy because it matches the worker with supply and creates equilibrium in the labor market.
She did have a salary which may not be as good or as high than the men but was of course a great help to the family and a privilege to her.By 1850, employers did have better economic improvements which benefits a women coming from a middle class. If I work more, I earn more so there was a possibility to improve the income and life during that time. During this era, there was wars and that was actually the best time for a women to work because she could actually get a work easily and still be useful as her husband went to war. By working in a factory during the industrial revolution, I get money to buy my food which means that I could actually eat more food and food of a higher nutritional quality. Another reason why factory work is better according to me is the fact that if I worked in my own cottage, the income would be for the whole family ( the whole family earn a sum) but by working in a factory, we get paid individualy in the family which brings more money and of course if we have a cottage some merchants could actually mess of stock of materials.
Further more , at this point every small business face trade-off , people running small businesses make decision for changes in strategic by comparing benefits and cost at the margin , as long as the marginal profit exceed the marginal cost . It can increase the cost of running the business and to keep their business profit stable, the opportunity cost is that employers may not be able to employ as many employees The higher minimum wage make less skilled workers become useless and benefit the better skilled workers. In the price floor analysis, if the minimum wage is above the equilibrium level, the quantity of labour supplied is larger than quantity demanded .Finally the consequence is unemployment. Therefore the
Perhaps the greatest benefit of offshoring is the cost advantage it produces, which directly affects the company's bottom line. In tight fiscal situations, any savings in operating costs will contribute toward the company's sustenance and growth. Companies in recession segments sustain themselves and grow through innovation. Lower operating costs means they have more money to invest in innovation, resulting in a stabilized domestic workforce. In the service sectors, the cost saving from offshoring enables companies to create new service lines, many of which had been deferred for want of investment.
The higher wages paid by the employer have to be made up somewhere. In a free market, if an employer is producing a commodity, he will inevitably try to use the fewest possible dollars to make the highest quality products. This means that he will hire the best workers he can, for the lowest wages he can. This enables him to hire more workers, thus creating jobs and decreasing unemployment. It also ensures that he can put a high quality product on the market at a relatively low price.
Staying educated with additional skills and having diverse expertise will greatly increase your value to an employer. Many consider salary as a key factor when they are looking for a job. Although people are differentially motivated by money, when looking or accepting job offers I’ve learned that salary is only a small part of job satisfaction. Compensation or pay can be a powerful motivator because it determines if I will be able to live comfortable and if I will be able to meet my families’ needs and wants. I also want to know if the company I am working for has annual raise or cost of living raises.
They’re able to monitor and track the productivity within the supply chain allowing them to increase productivity in the sectors they feel necessary which leads them to processing more efficiently and effectively; which in results brings in more revenue to the company allowing them compete by investing more money not within the company but also within the future technology for the company. Having RFID allows Boeing to reduce cost within the company by not misplacing, losing their products within the shipment off flyable and non-flyable goods. By having products or shipments off thousands off dollar not being misplaced allows the company to save and reduce cost in that portion of the company. As well as, biggest advantage in reducing cost would be the time spent on looking for lost or misplaced parts. People tend to state “Time is money”, by having the RFID implemented for the company, reducing time spent searching on the misplaced parts could help them replace their time in doing something more productive for the company.
Pros and Cons of Free Trade Agreements Free trade agreements promote competition in the business world which is a good thing for most people because it can help lower prices and keep those prices stable. The theory behind free trade is that everyone wins by lifting either all or most tariffs on trade between the participating countries. With the tariffs and duties gone business can operate at a lower cost more efficiently. However a free trade agreement does not always benefit everyone in fact a lot of times participating parties lose big. Jobs move overseas leaving thousands and sometimes millions unemployed.
There will be far less cost to the union of a better condition in terms of lost membership and to its members in terms of lost employment. By it means the effect of trade union on its members depend on the industry it is in. In industry with inelastic demand, the trade union can serve more members than create problems for them. By theory, trade union always creates unemployment. The trade union