The Pros And Cons Of Tncs

1312 Words6 Pages
Globalization is a process in which the world becomes more inter-connected as a result of trade and the exchange of culture. Big companies that were once national corporations have become trans-national corporations (otherwise known as TNCs). These companies are mostly based in more economically developed countries (also known as MEDCs) such as the United States, or the United Kingdom. The TNCs invest in MEDCs and LEDCs (less economically developed country) to maximize their profit. Most TNCs, including Nike, get their products manufactured in LEDCs such as China, Taiwan, Indonesia, Vietnam, and Bangladesh. There are many reasons why TNCs manufacture in LEDCs, such as cheap raw materials, cheap labor, and friendly government policies. The…show more content…
This means that they need a great number of factories to be able to supply those demands. When the product is manufactured the machines usually give off carbon dioxide. This is negative because CO2 is the gas that causes global warming, when too much is released into the atmosphere. One negative factor of TNCs is air pollution; one major result of air pollution is smog, which is a smoke fog. Many TNCs have their factories in China, this is a reason why China is one of the most polluted countries in the world. One of Apple’s main suppliers of touchscreens for their iPod and iPhones, in Suzhou, China had an incident. In that factory there was a N-hexane poisoning, where forty-nine employees showed symptoms of poisoning and were treated in a nearby…show more content…
Transnational Corporations are damaging the environment in different ways. Air pollution is caused because of the factories’ machines giving off carbon dioxide and other hazardous gases. Water pollution is caused by the clothing TNCs because of the chemicals they use for the manufacturing of the fabric and the dyeing process. TNCs are also a big part of deforestation because they cut down the forests to make way for their palm oil plantations or animal farms for their products. TNCs are also dumping all their waste into natural water sources such as lakes, rivers, and
Show More
Related

  • Pros And Negatives Of Globalization

    2650 Words  | 11 Pages

    as poverty is reduced. Thirdly, some new products are available and often at a low price. It allows consumers to buy what they need and want for the lowest possible price. Last but not the least, new jobs are created in term of there are much more TNCs established in the fanaticism environment of transnational

    Read More

More about The Pros And Cons Of Tncs

Open Document