Topic > Multinational Case Study - 1200

A multinational, also known as an MNC, is a company that has its facilities and other resources in more than one country, in addition to its home country. These companies operate comprehensively in more than one country by having a head office in a centralized location where they systematize global management and have offices and/or factories in several countries. Multinational corporations can participate in numerous activities such as manufacturing, importing and exporting in different countries. Furthermore, it can also provide licenses, patents and management services to companies in host countries. There are four types of multinationals, listed below: 1) a decentralized multinational Nestlé has been accused of many unethical business methods such as using suppliers who violate human rights, controlling and/or abusing water sources , the promotion of unhealthy foods and deceptive harmful strategies that violate the International Code on the Marketing of Breast-milk Substitutes. In contrast, “Nestlé also has a cocoa program that is training farmers on sustainable farming practices and introducing high-yielding trees in order to improve its supply chain.” (Rai,This awareness led to the decision and Nestlé announced that the company will no longer use any products that cause rainforest destruction. “In 2010, Nestlé committed that its products will not be associated with deforestation. This is detailed in our Deforestation and Forestry Commitment, which covers all the raw materials we use to make our products and packaging. We have also developed accompanying guidelines on responsible sourcing guidelines and eliminate all associated companies to deforestation. The company has followed unambiguous guidelines to achieve sustainability against all other RSPO principles and criteria. “Our goal is to be a leader in environmental sustainability, efficiently managing the use of natural resources in our facilities and products.” (Nestlé USA, n.d.)