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The Politics of International Economic Relations, 5th Edition by Joan Edelman Spero, Jeffrey A. Hart

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Multinational Corporations in the Third World

 

The issue of managing multinational corporations was of great concern in the developing countries until the debt crisis of the 1980s.1 Since that time, the developing countries have come to accept the growing presence of MNCs as a necessary evil, at worst, and as a contribution to the development process, at best. Multinational corporations may have greater power in the South than in the North, and there is some evidence that the costs of hosting multinationals have been greater in the developing world than in the industrialized world.

A number of developing countries have sought to implement public policies that can shift the perceived imbalance of power between host government and foreign ...

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