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Multi-National Corporation’s Strategies for Special Interest Groups Within a Host Country

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Submitted By dukbtr1979
Words 4358
Pages 18
Abstract
Developing countries seeking to build their economy commonly look to attracting multi-national corporations (MNCs) through low cost labor and lucrative tax incentives plans in the hopes of creating a mutually benefiting relationship between both parties. However bringing in these outside businesses poses a legitimate threat to elite special interest groups already existing and thriving in the current economic state. MNCs must due their due diligence when selecting a potential host country and then determine the best strategy to deal with these groups in order to mitigate as much risk as possible.

Contents
Abstract ……………2.
Contents……………………………………………………………………………………………………………………………………. 3
Intorduction 4
Literature Review 6
MNCs must determine the political environment 6
Why elite special interest groups exist 8
Strategies for dealing with elite special interest groups 9 Corupption………………………………………………………………………… 9 Assisting host government in creating a functioning economy………………… 11
Methodology 12
Conclusion 12
References 16

Multi-National Corporation’s Strategies for Special Interest Groups within a Host Country
Research of developing countries has shown that economic growth is closely correlated to its cash flows and the quickest way for developing countries to increase those cash flows is through attracting new businesses. Technology has played a major role in the globalization of business and has made it much easier for corporations to reach an entirely new market of customers previously out of reach. This overseas venture can be a lucrative source of cash inflows for larger companies with the ability to expand their operations into foreign countries as well as the foreign country they are doing business in. Companies are increasingly becoming Multi-National Corporations (MNCs) for a variety of reasons including: tax and

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