How do transnational corporations challenge state sovereignty?

Expert Solution

Transnational corporations share many qualities with multinational corporations, with the subtle difference being that multinational corporations consist of a centralized management structure, whereas transnational corporations generally are decentralized, with many bases in various countries where the corporation .

Clearly, MNCs gain much of their power from their ability to efficiently operate, coordinate, and manage transactions between states Corporations not only have the political power to influence states, but also the economic clout to devastatingly affect a state's economy should the state try to oppose a MNC.

Sovereignty expresses some core ideas of political modernity including the fundamentally important notion of political independence. It was originally an institution of escape from rule by outsiders and to this day it remains a legal barrier to foreign interference in the jurisdiction of states.

Rahul Sunny answered 1 year ago

Critics of globalisation often say that Multinational Corporations (MNCs) challenge the sovereignty of nations. Evaluate this...

Critics of globalisation often say that Multinational Corporations (MNCs) challenge the sovereignty of nations. Evaluate this claim using evidence.

Which makes a transnational (TNC) corporation? What kind of advantages have TNCs over non-transnational corporations?

Do you believe state sovereignty will strengthen or weaken in the decades to come? Use evidence...

Do you believe state sovereignty will strengthen or weaken in the decades to come? Use evidence from supranational institutions (including the United Nations), cross-border interactions, regional and multilateral blocs, transnational networks, refugees, and UN peacekeeping.

One operational challenge that S-corporations face is the challenge of converting from a C-corporation into an...

One operational challenge that S-corporations face is the challenge of converting from a C-corporation into an S-Corporation. We've studied the concept of corporate earnings and profits in some detail this term. If you think about it, earnings and profits and their associated tax consequences do not disappear because a corporation changes from a C-corporate form to an S-Corporate form. Rather those C-corporate earnings are tracked for decades and if they are ever distributed they are subjected to double taxation. Given...

What economic structure is conducive to foreign investments and optimizes profitability for the transnational corporations (TNCs)?

According to Max Weber's definition of a state/sovereign i.e. "Something is a state/sovereignty if and insofar...

According to Max Weber's definition of a state/sovereign i.e. "Something is a state/sovereignty if and insofar as its administrative staff successfully upholds a claim on the monopoly of the legitimate use of violence in the enforcement of its order" Would you argue that the United Nations is considered a state? what aspects of the UN would you argue don't fit Weber's framework and which do?

How do money markets fit into a corporations investment strategy? How do corporations use money markets...

How do money markets fit into a corporations investment strategy? How do corporations use money markets in their daily operations? How do the use of money markets differ between corporations and individuals?

Do S corporations have fees? If so, what are the fees by state.

examining the global elements that impact national sovereignty. Illustrate how globalization impacts sovereignty. Examine the major...

examining the global elements that impact national sovereignty. Illustrate how globalization impacts sovereignty. Examine the major drivers of globalization and their effects on national sovereignty. Define the concept of sovereignty.

1- How do the following legal principles impact MNC operations: the principle of sovereignty, the nationality...

1- How do the following legal principles impact MNC operations: the principle of sovereignty, the nationality principle, the territoriality principle, the protective principle, and the principle of comity? Give an example of each. Note: PLEASE DO NOT COPY PASTE THE TEXTBOOK SOLUTION. AN ANSWER FROM YOUR OWN POINT OF VIEW WILL BE MUCH APPRECIATED.

Question