Description

Module 08: International Factor Movements and Multinational Enterprises

This module continues with an examination of international flows of the factors of production, labor, and capital, some of which occur within large multinational enterprises. We will explore multinational enterprises’ (MNEs) strategies and how MNEs seek to gain comparative advantage using organizational means. In addition, we will discuss MNEs and trade theory.

Discussion Requierments

International Growth in Multinational Enterprises

• What are some of the factors that limit the international growth of multinational enterprises?
• How do regulations and rules varying from nation to nation affect multinational corporations?
• What are some advantages and disadvantages of multinational enterprises?

Directions:

• Discuss the concepts, principles, and theories from your textbook. Cite your textbooks and cite any other sources if appropriate.
• Your initial post should address all components of the question with a 500 word limit.

Learning Outcomes

1. Apply classical trade theory to explain the activities of multinational enterprises (MNEs)
2. Analyze the welfare effects of transborder flows of labor (migration)

Readings

Required:

Chapter 9 International Economics

Narula, R. (2020, July 15). (PDF) The Theories of the Multinational Enterprise. ResearchGate. Retrieved October 12, 2023, from

Recommended:

Chapter 9 PowerPoint slides

Chen, Z. (2022, June). Research on International Trade Theory and the Status Quo of World International Trade. American Journal of Industrial and Business Management, 12(6).