Trans National Corporations

The impact of the expanding Trans National Corporation in International Business is enormous. There is a lot of discussion and debate on globalization, free market economy as well as climate change. The people who argue that Trans National corporations have a big role in International Business; as Human Rights activist tries to find out the abuse of corporate power to maximize profit growth where the local people form Sub-Sahara were seize their right to live with human dignity. The environmental activist raising their voice to protect Tar Sands in Canada form corporate greed.

After the World War II there was a significant growth in the number as well as size of transnational corporations. It also creates controversy regarding economic and political power and complexity of their operations. The critics claim that TNCs show no loyalty to any Nation Country whether it's Developed or Developing no matter. Some critics argue that transnational corporations exhibit no loyalty to the countries in which they are incorporated but act solely in their own best interests.

The United Nations Monetary and Financial Conference, which are also known as the Bretton Woods Conference welcomed more than 700 representatives, form 44 Allied countries. They were trying to set a system of rules, institutions and procedures that would rebuild and regulate the international economy. This follows NAFTA and GATT as regional and international trade-liberalization agreements in order to reduce trade barriers among nations.

The proponents of free trade argue that eliminating trade barriers increase global wealth, consumer choice, and international security and peace. On the other hand the critics show how it increases the gap between rich and poor countries widening rather than shrinking. They also claim that free trade allows developed nations to exploit developing countries, destroying local industry and undoing the "vital health, safety, and environmental protections".