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DRIVE – winter 2016
PROGRAM - Master of
Business Administration- MBA
SEMESTER - Semester
3
SUBJECT CODE &
NAME - IB0012 – Management of Multinational Corporations
BK ID - B 1906
CREDIT & MARKS
- 4 CREDITS, 60 MARKS
Q1. Define
Multi-National Corporations & Transnational Corporations? What are the Main
difference between MNC & TNC? 10
Ans: Multinational Corporation: Multinational Corporations (MNCs)
are business entities that operate in more than one country. MNCs are
entities that undertake foreign direct investment. They own or control
income generation assets in more than one country, produce goods and
services in the host country and sell in international markets. In other words,
MNCs have their home in one country but operate in many countries under
different laws, customs and regulations. Several definitions of MNCs
have been propounded by economists and researchers on the basis of their
size, variety of products, sales and volume of business operating in
multiple countries. However, there is no standard definition of
multinational corporations as their nature of business varies significantly
across the globe. The
Q2. What are the
different types of organizational structures discuss in detail? (Bureaucratic Structures, Functional
Structures, Divisional Structure, Matrix Structure) 10
Ans:
Bureaucratic Structures: In terms of people management,
bureaucratic structures maintain strict hierarchies. Bureaucratic
structures may be understood through the following division:
(i)
Pre-bureaucratic
structure: This
kind of structure is visible in organizations which lacks standards.
Pre-bureaucratic structure is generally seen in start-up ventures or
small-scale companies. The main feature of this set up is that the
Q3. Write a note on
concept of organizational control& characteristics of effective control? 10
Ans:
Concept of Organization Control: Control is very important both in
organized living as well as ‘living’ organizations. When things go
smoothly as planned, they are considered to be under control. ‘Self-control’
is a word we are all familiar with and which simply means that we discipline
ourselves in such a manner that
Q4. Explain in
detail about logistic system analysis& trade-offs of logistic analysis.
(Explain in detail about logistic system analysis, Explain in detail about
Trade-offs of logistic analysis.) 5, 5
Ans:
Logistics Management in MNCS: Physical distribution is the set
of activities concerned with efficient movement of finished goods from
the end of the production operation to the consumer. Physical distribution
takes place within numerous wholesaling and retailing distribution channels,
and includes such important decision areas as customer service, inventory
control, materials handling, protective packaging, order
Q5. Define Foreign
Direct Investment & types of Foreign direct investment? 2, 8
Ans;
Foreign Direct Investment (FDI): Foreign direct investment is one of the most
effective methods of cross-border investing. A foreign national may want
to invest in a country offering new markets, higher returns or cheaper
factor costs. Generally, there are two kinds of cross-border
investments.
(i) Foreign Direct Investment
(FDI): Investments
made by a company or entity based in one country, into a company or entity
based in another country
(ii)
Foreign
Portfolio
Q6. Explain in
detail Foreign Policy of India. (Routes for FDI in India, Revision in FDI
Policy of 2013) 5, 5
Ans:
FDI Policy of India: In order to augment FDI inflows,
the government had taken various steps to liberalize the FDI regime in
2010 by allowing overseas investments in bee-keeping and share-pledging for
raising external debt. The government also allowed hundred per cent
foreign investment in single-brand retail.
Routes for FDI in India: The two routes for FDI investment
in India are:
(i)
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