Study of TNC operations and impacts Edexcel B

Does anyone happen to have a case study for a TNC and its 'operations and impact.' The specification - edexcel b - states that you need a ' study of TNC operations and impact. One in detail.' I was looking through past papers and found a question asking you to 'outline and explain the global distribution of any one TNC.' However, I have never studied this aspect of a TNC in any depth (extremely poor teachers). Does anybody happen to have a case study of one to hand which outlines this, with explanations as to why they are located there and the impacts they have had?

Be great if someone could provide me with one. Thanks.

Reply 1

matchu

Nissan - it'll be in your big AQAB book

Reply 2

matchu

Just realised you aren't doing aqab

Reply 3

Lynnie

21. Dyson – TNC
Dyson Vacuum cleaner making record profits, sweeping up in US and Japan too.
It was invented by James Dyson an inventor in Norfolk, the no bag model was launched in 1993 first produced in Malmesbury in Wiltshire.
Until 2002 Dyson regarded as unusual British business, James Dyson deliberately resisted moving operations abroad, despite the fact that labour and land costs would be cheaper elsewhere. He was often portrayed by media as patriotic figure, given his reluctance to relocated.

James Dyson changed his mind!!

Why? – UK worker = £9 per hour, Malaysian worker = £3 per hour
- UK office rent = £114 sq m a year, Malaysia = £38 sq m a year

2002 Dyson announced that he was relocating the production wing to Malaysia. 800 semi skilled UK assembly workers made redundant, although 1200 head office (tertiary) and research (quarternary) employees have remained in place in Wiltshire.
Sackings lead to accusations of hypocrisy, became “a symbol in the debate over globilsation” – Independent on Sunday 27/02/2005.
This year’s record profit of £102.9m seems to vindicate his decision to move.
Friends episode seen using Dyson, American sales began to soar. $20m in US advertising helped. With production based in Malaysia, Dyson able to quickly and cheaply transport vacuum cleaners to North America brining a 350% increase in sales in 2003. Dyson captured 20% of US market at around $450 each.

So how did Dyson use Geography?
· Malaysian officers cheaper.
· Good geographical distribution for global exporting to new markets in Japan and US. Many assembly parts made in south east Asia and are now cheaper to gain access to.
· Easier to get planning permission to extend factory when required.
· Overall production costs have fallen by 30%
· Production retained high quality specification and also its high price tag. Malaysian labour is relatively more skilled than in other LEDCs.
· Dyson has been able to expand the research division in Malmesbury, employing more quaternary staff to think up new designs. Dyson spent £40m last year on research in UK, being close to Oxford and Cambridge is helpful.

Benefits more Malaysia as helps development of that country, wages help to boost Malaysian consumer markets. Also, there are more opportunities for scientists to work in theUK and increased corporated taxes means more money is available for public services in the UK.

22. Ravenswood, West Virgina : TNCs
Kaiser Aluminium a Chemical corporation purchased by Ravenswood Aluminium Corporation.
Production speeded up at Ravenswood, worsening plant’s safety record.
Contracts of existing 1,7000 workers allowed to expire, and cheaper outside labourers were brought in.
Redundant workers were all members of a powerful national union the united steel workers of America, began a campaign to get their jobs back.
Workers traced Marc Rich’s (head on Ravenswood an American financier) commercial interests and found that he was planning to invest in a hotel in Romania.
USWA got 20,000 Romanian workers to protest against Rich’s proposed hotel purchase which then fell through.
USWA also campaigned against proposed Rich Aluminium buyout in Venezuela.
Union pressure was successful and Ravenswood workers were reinstated with improved wages and pensions.

23. Liverpool dockers : TNCs
Liverpool docker sacked by Merseyside docks and harbour company.
500 members of docker’s union went on strike, and all were sacked.
Docker’s union began to campaign to raise support from other dockers.
New York dockers were persuaded to boycott goods transported by Atlantic Containers, a major transnational shipper using Liverpool.
Austrailia dockers used daily 5 hour stoppages to disrupt port trade in Sydney.
Liverpool dockers campaign failed and all 500 men were offered redundancy payments.

These are the 3 i am using