GMS 200 Lecture Notes - Lecture 4: Multinational Corporation, North American Free Trade Agreement, Proxemics

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 200
• Professor: Deborah De Lange

Document Summary

Nafta (north american free trade agreement) is the trade agreement that links. Canada, mexico, and the us in a regional economic alliance. Trade in goods & services (not free capital or people movements as in the eu) The european union is a political & economic alliance of 28 european countries that have agreed to supper mutual economic growth by removing barriers that previously limited cross-border trade & business development. The euro is the common currency used in the eu. When mncs enter other countries to do business . Problems excessive profits economic domination interference with government hire best local talent limited technology transfer disrespect for local customs. Benefits larger tax bases increased employment opportunities technology transfers the intro of new industries the development of local resources. Mncs have traditionally come from developed countries and sometimes they have problems in ldcs . Multinational corporation complaints about host countries: profit limitations overpriced resources exploitative rules foreign exchange restrictions failure to uphold contracts.