The Implications of the Economic Theory of the Multinational Enterprise for Control at the International Level

1989 ◽  
pp. 113-122
Author(s):  
Peter J. Buckley
Author(s):  
Jovanna Nathalie Cervantes Guzmán

The chapter explores the utility of neuroeconomics in decision making and behavior. Scientific knowledge will be advanced in the need for the application of neuroeconomics focused on one of the services of the information and communication technologies (ICT) of companies, that is, e-commerce of exponential artisanal SMEs of women entrepreneurs, by developing a proposal for a business model to increase the possibility of growth of their companies at the level national and international level. The methodology used was deductive, exploratory, descriptive, correlational, and documentary. Neuroeconomics have the potential to explain the phenomena that are considered as a deviation from the prediction or behavioral bias of decision-making models in economic theory. The study up to this point is quantitative using primary and secondary sources for research.


Author(s):  
Marco Colacurci

Abstract The debate on introducing the international crime of ecocide and corporate liability at the international level has been intense during the last fifty years. A recent research project elaborated two draft conventions on the supranational crime of ecocide and transnational crimes (eco-crimes), both acknowledging corporate liability. Also in recent years, the International Monsanto Tribunal – an opinion tribunal – found the Monsanto multinational enterprise responsible for ecocide: although not binding, its advisory opinion tackles most of the critical issues arising from corporate environmental crime. After a review of the case, the article analyses the Draft Convention Ecocide, focusing on the main features of this crime and the corporate liability system provided. Albeit some aspects could be subject to critics, the project has several strengths, particularly for its pragmatic approach to corporate remediation, and also aimed at fostering the dialogue between the national States through the approval of a specific convention.


Author(s):  
Jovanna Nathalie Cervantes-Guzmán

Scientific knowledge will be advanced in the need for the application of neuroeconomics focused on one of the services of the information and communication technologies (ICT) of companies that is e-commerce of exponential artisanal SMEs driven by women entrepreneurs, by developing a proposal for a business model to increase the possibility of growth of their companies at the level national and international level. The methodology used was deductive, exploratory, descriptive, correlational, and documentary. Neuroeconomics have the potential to explain the phenomena that are considered as a deviation from the prediction or behavioral bias of decision-making models in economic theory. The study up to this point is quantitative using primary and secondary sources of information for research.


Author(s):  
Jovanna Nathalie Cervantes-Guzmán

The chapter explores the utility of neuroeconomics in decision making and behavior. Scientific knowledge will be advanced in the need for the application of neuroeconomics focused on one of the services of the information and communication technologies (ICT) of companies that is e-commerce of exponential artisanal SMEs of women entrepreneurs by developing a proposal for a business model to increase the possibility of growth of their companies at the level national and international level. The methodology used was deductive, exploratory, descriptive, correlational, and documentary. Neuroeconomics have the potential to explain the phenomena that are considered as a deviation from the prediction or behavioral bias of decision-making models in economic theory. The study up to this point is quantitative using primary and secondary sources for research.


2005 ◽  
Vol 27 (2) ◽  
pp. 419-435
Author(s):  
Benoît Trotier

The multinational enterprise (MNE) is clearly a major factor for economic development but it exacts a heavy toll upon nations : a genuine loss of economical and political autonomy. Both home and host countries may feel their national goals put in jeopardy due to centralized decisions and commercial practices of this type of firm. Thus, nations have conceived a wide variety of controls seeking to sway the behavior of the MNE but such controls tend to exacerbate tensions between home and host countries while compelling the MNE to work amidst contradictory regulations in an uncertain environment. On the international level, many agreements have been concluded or are being discussed within different organizations but none of them has resulted in a binding act with compelling effects on the MNE. Nonetheless, if these agreements are considered to be a pledge to pursue future multilateral action, they may be completed by an all-encompassing collection of industrial and financial data on MNE's as well as by bilateral conventions on the conditions of foreign investment.


2014 ◽  
Vol 22 (3) ◽  
pp. 205-226 ◽  
Author(s):  
Mark Casson

Purpose – This paper aims to argue that management capability is a complement to ownership advantage. Ownership advantage determines the potential of the firm, and management capability governs the fulfilment of this potential through overcoming barriers to growth. The economic theory of the firm is central to the theory of the multinational enterprise (MNE). Design/methodology/approach – Multinationals play an important role in coordinating the international division of labour through internal markets. The paper reviews the economic principles that underlie this view. The analysis is applied to a variety of issues, including out-sourcing, geographical dispersion of production and regional specialisation in marketing. Findings – The economic theory of the firm is central to the theory of the MNE. Recent literature on multinationals, however, makes only limited reference to the economic theory of the firm. Optimal internalisation equates marginal benefits and costs. The benefits of internalisation stem mainly from the difficulties of licensing proprietary knowledge, reflecting the view that MNEs possess an “ownership” or “firm-specific” advantage. The costs of internalisation, it is argued, reflect managerial capability, and in particular the capability to manage a large firm. Originality/value – The paper demonstrates the value of the economic theory of the firm in analysing the strategy, structure and size of multinational firms. It restates classic economic principles and applies them to contemporary issues, including the performance and survival of multinational firms in current times.


Author(s):  
Matei-Alexandru Apăvăloaei ◽  
Octavian-Dragomir Jora ◽  
Mihaela Iacob

Abstract This paper is an interdisciplinary analysis of the benefits and limits of political competition. We start from the economic theory of monopoly and extend its implications on matters concerning political action. If the state is defined as the institution that holds the monopoly on coercion over a given territory, are the democratic selection process (internal political competition) and the possibility open to an economic agent to leave for more economically free jurisdictions (international political competition) enough to temper its reach? By referring to the inherent limits that plague collective action, voter rational ignorance, and the possibility of redistributing benefits and incumbent decision-maker collaboration when it comes to trading votes, we argue that democratic competition cannot be considered an effective restraint against political discretion. Because of this, we consider that international political competition can offer better protection against political action. However, even the possibility of voting with one’s feet or observing the political milieu in another territory become manageable if political decision-makers decide to collude at the international level. Also, emigration is an economically costly and psychologically exacting decision that ultimately implies choosing between two state-controlled jurisdictions. Therefore, even the choice of voting with one’s feet is a second-best solution that, in practice, might not prove to be an effective restraint on the state’s monopoly discretion.


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