Foreign Branches vs. National Interests

2008 ◽  
pp. 36-50 ◽  
Author(s):  
I. Rozinskiy
Keyword(s):  
Multinational Corporations ◽  
Value Chain ◽  
International Competition ◽  
Considerable Part ◽  
National Interests ◽  
Economic Interests ◽  
Foreign Investors ◽  
Corporate Governance Mechanisms ◽  
National Economic ◽  
Substantial Degree

Sizeable sector of foreign-owned entities has emerged in Russia, comprising branches, daughter companies and majority-owned companies of foreign investors. The focus of regulator’s and researcher’s attention should be moved from the extent to which FDI are to be admitted / attracted to Russia to the analysis of whether the format of the already existing foreign-owned entities is the desired one. Globalization leads to differentiation of branches and daughter companies of multinational corporations. People, plants, business lines and even corporate head offices have become transferable from one country to another. This process is greatly intensifying the international competition for the share in the value chain attributable to individual countries. Russia, being the huge market, is in a position to demand a substantial degree of localization from international companies seeking to enter the country. The regulator’s approach towards those potential entrants should be dependent upon their readiness to allocate to Russia a considerable part of the company’s value chain. It is proposed to use corporate governance mechanisms as an instrument to promote national economic interests.

scholarly journals Promising Directions of Cooperation Among Eurasian Economic Union Countries

2018 ◽  
Vol 7 (3.14) ◽  
pp. 386
Author(s):  
Olga Yurievna Myasnikova ◽  
Irina Ivanovna Shatalova ◽  
Elena Vyacheslavovna Zenkina ◽  
Tatyana Vyacheslavovna Bogacheva ◽  
Nikita Igorevich Illeritsky ◽  
...  
Keyword(s):  
Value Chain ◽  
Regional Integration ◽  
Economic Interests ◽  
Eurasian Economic Union ◽  
Space Industry ◽  
Technological Cooperation ◽  
Technical Potential ◽  
National Economic ◽  
Economic Union ◽  
Technological Improvements

The paper explores the possibilities of technological cooperation among the countries of the Eurasian Economic Union (officially EAEU, but sometimes called EEU or EAU). Based on specific and individual backgrounds of each EAEU country, the promising areas for its expansion are determined within the framework of industries with export potential, high-technological, oriented at national markets for the formation of an economic strategy focused on regional integration with the highest level of encouragement of the national economic interests of the EAPC countries. The most significant sectors of the economy are identified: the space industry, energy, metallurgy, engineering, agriculture, etc. The feasibility of value chain development in the region was highlighted, as well as the development of inter-industry and intra-sector cooperation with partner countries in strategically important sectors of the economy, which includes the opportunity of forming specific sectoral niches through specialization and development of national industrial potential of the member states. This focus will promote development and realization of internal scientific and technical potential of the EAEU countries, commercialization of R&D results, technological improvements and will increase their competitiveness on the global markets.  

scholarly journals Trade Policy and National Economic Interests in Korea

2020 ◽  
Vol 15 (2) ◽  
pp. 236-254
Author(s):  
Irina Korgun ◽  
◽  
Vladimir Zuev ◽  
Keyword(s):  
Trade Policy ◽  
Negative Impact ◽  
National Interests ◽  
Economic Interests ◽  
Protection Measures ◽  
Special Support ◽  
National Economic ◽  
The Republic ◽  
The Government ◽  
Support Programmes

Membership in the World Trade Organization (WTO) and participation in free trade agreements (FTAs) are important instruments for governments to realize national economic interests. The Republic of Korea has been particularly successful in doing so. As the experience of Korea shows, a trade policy mix between multilateral liberalization under the WTO and preferential liberalization through FTAs allows the government to optimally balance national interests and strive for higher levels of social welfare and economic effectiveness, while simultaneously protecting national industries. However, such results seem to be possible only if national economic interests are clearly defined and are synchronized with a country’s goals regarding WTO membership and its strategy for FTAs. During recent decades, Korea has practiced an active long-term planning of trade policy so that trade benefits are not excessively concentrated in a narrow range of trade actors and are distributed more evenly in society. This meant appropriate balancing of liberalization and protection measures, reinforced by special support programmes that neutralized the negative impact of higher market openness. In this article, Korea’s strategy regarding trade policy is analyzed, including the reasons Korea pursued an FTA-centric policy and the benefits it obtained in addition to those it obtained from WTO membership.

scholarly journals Mechanisms of State Regulation of Counteracting Threats to the National Interests of Ukraine in the Field of Economic Security

2019 ◽  
pp. 92-105
Author(s):  
Inna Shevchuk
Keyword(s):  
Public Policy ◽  
Public Administration ◽  
Effective Interaction ◽  
Economic Security ◽  
State Regulation ◽  
The State ◽  
National Interests ◽  
Economic Interests ◽  
National Economic ◽  
Individual Family

The article deals with topical issues of defining the essence of the categories of «state regulation», «public administration», «mechanisms of public administration», «mechanisms of state regulation», including in the sphere of economic security. It is established that the system of public administration has a managerial influence form and exercises through the appropriate mechanism. The concepts of «mechanisms of public administration» and «mechanisms of state regulation» are delimited. It is established that the object of public administration is public relations, systems; the subject of state regulation are human activities and economic relations. It is proved that the key difference between «government» and «state regulation» is the interests of those subject groups that these processes provide. Taking into account the specifics of the current political and economic situation in the country, the state of the security and defense sector, the situation with the temporarily occupied territories of Ukraine has improved the definition of mechanisms of state regulation in this area, in particular organizational, legal, economic, social, information and security: organizational mechanism. The key principles of economic security are identified, among which are: the rule of law while ensuring economic security; maintaining the balance of economic interests of the individual, family, society, state; mutual responsibility of individual, family, society, state for ensuring economic security; timeliness and adequacy of measures to prevent threats and protect national economic interests; the priority of contractual (peaceful) measures in resolving both internal and external economic conflicts; integration of national economic security with international economic security. The author noted that the above list of economic security principles is not exhaustive, so the system is complemented by the following principles: targeted consistency (approval of short, medium and long-term plans at the state, regional and local levels in the process of policy-making by the public administration bodies in the specified sphere taking into account the state of affairs in the field of economic security of the country, the priority and hierarchical subordination of the goals in the specified sphere in order to achieve the desired results and to achieve state policy on the basis of efficiency and quality development of the state), security and defense orientation (combination of defense and realization of national interests and processes of state regulation of the sphere of security and defense, strategic planning of actions with the purpose of effective streamlining in a certain sphere and adjustment of the system of vital security), criterion threats to the field of economic security (pursuing public policy in the defined field based on defined criteria, based on a system of indicators c indicating the predictive, qualitative and quantitative values that would reflect the situation in the state, determining the qualitative characteristics and effectiveness of public policy in the field of economic security, taking into account the strategic direction of socio-economic development of the state); competences of non-state actors for ensuring economic security (establishing effective interaction of civic institutions societies with state authorities, local self-government bodies, legal entities and individuals in the part of active participation in the implementation of policy in a certain field); openness and consistency of the policy of counteracting the threats to the national interests of Ukraine in the field of economic security (ensuring unimpeded access of citizens, public institutions and other subjects of economic security to information on the investigated sphere, efficiency, legitimacy and transparency of state-administrative decisions in a certain sphere). It is determined that in order to protect the national interests in the sphere of economic security and to effectively implement the mechanisms of state regulation of counteraction to threats in the specified sphere, the levers of ensuring the economic security of Ukraine in the conditions of external aggression and globalization transformations should be rationally applied. These levers include: organizational, legal, socio-economic and political-diplomatic.

scholarly journals Conceptual foundations of information security of national economy in the conditions of digitalization

2020 ◽  
Vol 59 ◽  
Keyword(s):  
Information Security ◽  
National Economy ◽  
Structural Model ◽  
Rapid Development ◽  
Cyber Attacks ◽  
Information Environment ◽  
National Interests ◽  
Economic Interests ◽  
National Economic ◽  
Conceptual Foundations

The article focuses on defining the conceptual foundations of information security of the national economy in terms digitalization. The study revealed the dual relationship between the processes Djilas and the development of the economic system, actualized the problem of information security in today’s economy. Based on the analysis of the chronology of major cyber-attacks on information systems, the level and dynamics of cyber-attacks and cybercrime, the financial losses of the national economy from cybercrime the need for information security was justified. The conceptual-categorical basis of information security of the national economy was formed. The links between the basic categories of development of digitalization processes, management of the national economy and provision of information security were determined. Based on the analysis of the scientific literature, three main conceptual approaches to defining the essence of information security were defined, in accordance with which information security is considered as a component of national security; the protection of the information environment and national interests from possible threats; the state of the system, which is able to ensure appropriate security settings. The content of the notion ‘information security of the national economy’ was extended and defined as a condition of protection of the information environment, ensuring the realization of national economic interests, the stability of the national economy to both internal and external, real and potential threats associated with the rapid development of digitalization. The structural model of information security of the national economy was developed, based on systemic and protective approaches, its properties and interrelation of elements with external environment were defined. It was proved that the protection of national economic interests is the basis of the information security of the national economy. The proposed system of information security of the national economy has identified a legitimate basis for further study of the priority directions of ensuring information security in terms of digitalization.

scholarly journals Problem of Multinational Transnational Corporations under Covid-19

2020 ◽  
Vol 80 ◽  
pp. 01003
Author(s):  
Tran Si Lam ◽  
O.A. Antipanova ◽  
V.U. Babyshev ◽  
Tran ThiBich Ngoc ◽  
Dao Thanh Binh ◽  
...  
Keyword(s):  
Economic Development ◽  
Multinational Corporations ◽  
Value Chain ◽  
Older Workers ◽  
Transnational Corporations ◽  
Global Supply Chain ◽  
Manufacturing Industries ◽  
Global Value Chain ◽  
National Economic ◽  
National Economic Development

The multinational corporations intensify activities in worldwide. For example, Vietnam’s international integration has also changed rapidly with the trend of gradually entering the global supply chain and global value chain that help to create a powerful dynamic for national economic development. A part domestic enterprises is engaged either in outsourcing, or become a multinational corporations suppliers, but their role was unstable. The article also provides an overview of the unprecedented impacts of the COVID-19 pandemic on Vietnamese businesses, and the appropriate responses to reshape and strengthen corporations for processing and manufacturing industries. Special measures are given to be implemented at enterprises to prevent the risk of sickness among workers, including older workers.

Foreign investors' choices in China: going it alone or in partnership?

2002 ◽  
Vol 21 (2) ◽  
pp. 137-150
Author(s):  
Daniel Yan ◽  
Malcolm Warner
Keyword(s):  
Multinational Corporations ◽  
Foreign Investment ◽  
Government Policy ◽  
Management Practices ◽  
Dynamic Approach ◽  
Foreign Investors ◽  
Business Plans ◽  
Indigenous Management ◽  
Human Resource Management Practices ◽  
Mode Of Operation

This article argues that sino-foreign joint ventures (SFJVs) and wholly foreign-owned enterprises (WFOEs) have been influenced by a number of ongoing changes, for example, government policy toward foreign investment, indigenous management practices, human resource management practices and the nature of investment. In its overview of the longitudinal changes in these four areas, it suggests that foreign investors do not necessarily make an either WFOE or SFJV decision when considering their desirable mode of operation in China. Meanwhile, it argues that multinational corporations should take a dynamic approach to constantly re-position themselves as SFJVs in their business plans with respect to the mentioned areas, so as to achieve the best result as China enters the WTO. Finally, this analysis sets out a preliminary ‘Dynamic Positioning Model’ of these two modes of operation in China, which serves as a foundation on which further hypotheses can be built.

scholarly journals COVID CRISIS AND TOURISM EVOLUTION IN SOME EUROPEAN COUNTRIES: ADAPT TO REALITIES OR REINVENT THE FUTURE?

2021 ◽  
Author(s):  
Jean Vasile Andrei ◽  
◽  
Mihaela Cristina Drăgoi ◽  
Keyword(s):  
Economic System ◽  
Value Chain ◽  
European Countries ◽  
Economic Sectors ◽  
Health Crisis ◽  
Eu Countries ◽  
Synoptic Analysis ◽  
Tourism Sector ◽  
National Economic ◽  
Multiplicative Effects

The health crisis has exerted a significant pressure on the global economic system, implicitly on the evolution of tourism, value chain creation and supply chains, generating shocks on various national economic sectors. In this context, the objective of the paper is to make a brief synoptic analysis on the evolution of the tourism sector in some EU countries. Two periods of time were considered - before the onset of the pandemic (2018-2019) and during the pandemic (in 2020). The results of the analysis confirm the specific trends of reducing the multiplicative effects that tourism has on the economy as well as the decrease, even contracting of the sector, a phenomenon identified through specific analyzed indicators.

Multinational Corporations

2019 ◽  
pp. 460-479
Author(s):  
Leena Ajit Kaushal
Keyword(s):  
Multinational Corporations ◽  
Poverty Alleviation ◽  
Retail Sector ◽  
Developing Economy ◽  
Foreign Investors ◽  
Economic Framework

Foreign Investors are looking forward to enter organized retail sector, which has a mere 8 percent presence in India, but the present government in India which endorses liberal economic framework proscribe 100 percent FDI in multi-brand retail sector on the grounds of safeguarding small indigenous retailers known as ‘kirana stores'. The objective of the chapter is to explore the importance of Multi National Corporations (MNCs) not only in multi-brand retail sector but otherwise as a potent source of technology, efficiency and equality for farmers and poor, poverty alleviation and growth for a developing economy as a whole.

British and German Local Business Taxes under Criteria for a ‘Good’ Local Tax

1987 ◽  
Vol 5 (1) ◽  
pp. 43-52 ◽  
Author(s):  
H Zimmermann
Keyword(s):  
Local Government ◽  
Local Authority ◽  
Point Of View ◽  
International Competition ◽  
Green Paper ◽  
Tax Rates ◽  
Compliance Costs ◽  
Ability To Pay ◽  
Business Taxes ◽  
National Economic

In this paper, local government taxes on business in Britain and Germany are examined from the point of view of criteria for a ‘good’ local tax. The following criteria are evaluated: Ability to pay; support for national economic objectives (intranational allocation, international competition); distribution and stabilization; collection and compliance costs; local authority requirements of revenues, tax rates, stability, and response to growth; and interarea effects. Comparison of the two countries shows major deficiencies with both tax systems, as well as with many reform proposals. The recent British Green Paper is evaluated in particular and criticized for its divorce of accountability to businesses.

scholarly journals Cross-cultural collaboration for inclusive global value chain: a case study of rattan industry

2019 ◽  
Vol 15 (1) ◽  
pp. 149-170 ◽  
Author(s):  
Aluisius Hery Pratono
Keyword(s):  
Technology Transfer ◽  
Multinational Corporations ◽  
Value Chain ◽  
Cross Cultural ◽  
Global Value Chain ◽  
Social Mechanism ◽  
Content Type ◽  
The Social ◽  
Innovation And Technology

Purpose The purpose of this paper is to understand how the cross-cultural collaboration between developed market and emerging economies promotes an inclusive global value chain (GVC) through innovation and technology transfer. Drawing on global rattan industry, this paper identifies the three typologies and social mechanism of cross-cultural collaboration in GVC. Design/methodology/approach This study uses a qualitative method with a case study of rattan industry. The case study analysis covers the linkages between upstream industries in emerging economies and downstream industries in developed countries. Findings The result shows that innovation and technology transfer play an essential role in the cross-cultural collaboration through presenting the creative value-adding process beyond the simple trade of rattan. This study identifies the social mechanism of cross-cultural collaboration in three GVC typologies of rattan industry. Research limitations/implications The study was undertaken between 2015 and 2017. The observed value chain in rattan industry context demonstrates the selected business network from Indonesia to the European countries. Practical implications There were some activities that worked well for decades, such as creative innovation and technology transfer from multinational corporations to small businesses. The initiative to promote brand seemed to work less well for the local designers in developing countries from being part of the GVC. The creative innovation and technology transfer from multinational corporations to rattan farmers continued to struggle. Originality/value This study draws a distinction between the typologies of GVC, where cross-cultural collaboration has developed slowly and those where it comes about quickly. This extends the discussion about creative value between players in developed and developing countries, including the social mechanism of cross-cultural collaboration in GVC.

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