Blog Assignment 4: What is the relation between economy and globalization? - MENGRU LI
Summary Regarding the 5 questions raised in this article: (1) the scale and geographical distribution of TNCs in the global economy; (2) why and how corporations engage in transnational activities; (3) the geographical embeddedness of transnational corporations; (4) the ‘webs of enterprise’ manifested in transnational production networks; (5) the power relationships between TNCs and other actors in the global economy. Global companies come in different forms and sizes, from global companies to multinational corporations operating only in a few countries, but they operate in different political, social, and cultural environments. The activities of multinational corporations are usually measured by statistical data on foreign direct investment, which has grown at an accelerated rate over the past two decades, surpassing world trade growth and becoming a major force in global economic integration. Although foreign direct investment in developing countrie...