Question

Q. Explain the difference among the multinational corporation (MNC), multinational enterprise (MNE), and multinational organization (MNO). Give example for each?

Answer 1

A firm that has operation in more than one country is multinational corporation. These usually have offices and factories in other countries and also centralized head office.

Example : walmart , Volkswagen , Nestlé etc

Multinational organization is a company which has its headquarter in one country but has production facilities in other countries.

Example: coca cola , nike

MNE is a company that has worldwide approach to markets , production and operations in several countries. These are engage in foreign direct investment to avoid transaction costs. They makes direct investment for equality ownership

Example: apple and nike