5.1.15

Case Study: TNCs in India

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Trans-National Corporations (TNCs) in India

TNCs (Trans-National Corporations) are businesses that sell goods & services globally in lots of different countries. Unilever Hindustan and Vodafone India are TNCs operating in India.

What are the advantages of TNCs in India?

What are the advantages of TNCs in India?

  • In 2018, Unilever Hindustan employed 18,000 people.
  • In 2018, Vodafone India also employed 18,000 people.
  • TNCs create jobs. They also train local people in skills demanded in developed countries, allowing more value to be added in India, rather than added in developed nations.
  • Both Unilever and Vodafone make profits in India, which can be taxed by the government. The taxes can then be spent on improving India's infrastructure and public services.
What are the disadvantages of TNCs in India?

What are the disadvantages of TNCs in India?

  • TNCs often take the profits made in India and give them to Western shareholders as dividends.
  • TNCs may stop new local businesses emerging; competing against Unilever and Vodafone can be hard.
  • TNCs can make developing countries compete by promising jobs in exchange for tax incentives. Ireland is a developed country. However, it offered businesses like Apple tax incentives to operate in Ireland instead of other European countries.
Jump to other topics
1

The Challenge of Natural Hazards

1.1

Natural Hazards

1.2

Tectonic Hazards

1.3

Weather Hazards

1.4

Climate Change

2

The Living World

2.1

Ecosystems

2.2

Tropical Rainforests

2.3

Hot Deserts

2.4

Tundra & Polar Environments

3

Physical Landscapes in the UK

3.1

The UK Physical Landscape

3.2

Coastal Landscapes in the UK

3.3

River Landscapes in the UK

3.4

Glacial Landscapes in the UK

4

Urban Issues & Challenges

5

The Changing Economic World

5.1

The Changing Economic World

5.2

Economic Development in the UK

6

The Challenge of Resource Management

6.1

Resource Management

6.2

Food

6.3

Water

6.4

Energy

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