Thursday, February 13, 2014

Why are multinational corporations criticized and how do multinational corporations counter the criticisms?

Why are multinational corporations criticized and how do multinational corporations counter the criticisms?
These companies often have considerable power and influence, and as a result are often criticised for their actions. One of the most famous of such cases was the problem faced by Nestl in selling its baby milk in Africa. Critics pointed out that Nestl was pushing the product on people when it was likely to cause harm to babies. According to a study in the British Medical Journal in 2003, the company was ignoring a code of conduct on marketing the productto countries in Africa. In addition, events like the Bhopal chemical explosion in 1984 have attracted much criticism. The incident took place in the Indian city of Bhopal and resulted in the death of more than 3,000 people, according to official figures. The plant belonged to the American chemical multinational Union Carbide.

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