NIgeria - role of transnational corporations (TNCs) in relation to industrial development - economic world
Terms in this set (16)
Trans National Corporation
a company that has operations (factories, offices, research and development, shops) in more than one country.
Country of origin of TNC
has headquarters and areas of research, development and product innovation
TNC Manufacturing takes place
in other countries (often poorer ones to take advantage of cheaper labour and environmental costs)
Money that goes into poorer countries from TNCs helping their economies
Is attractive to many TNCs because of the large market on offer and lower labour costs.
a massive TNC that operates in many countries around the world. Extracting the oil is a primary industry
Shell also refine the oil which is a secondary industry
Shell sell the finished products which is a service
The amount of the countries total petroleum production that Shell's work in Nigeria produces from more than eighty fields.
Economic positive of Shell
provide jobs in factories making supplies and in services where the products are available for sale
Economic negative of Shell
profits from the production go straight to the headquarters in the HIC
Social negative of Shell in Nigeria
accused of human rights abuses in the past. Shell have been accused of crimes against the Ogoni people in the Niger Delta.
Social positive of Shell
TNCs often have charities to help people in the country they work in. Shell has the Shell foundation to help sustainability and biodiversity and help local communities
Environmental positive of Shell
Activities have polluted the environment in the past. Shell has had many incidents involving oil spills for example.
Main area of Shell's operations in Nigeria