Assess the impact of TNCs (transnational corporations) on creating both winners and losers for people and environments.

Transnational Corporations (TNCs) are companies that operate across a number of different nations to provide services and products and are seen by many as the key force in globalisation.
TNCs can be seen as winners for people because the post-fordist production they use has helped to reduce prices for consumers of key good across the world, helping to raise the standard of living. An example of this is cheaper clothes as a result of the 'footloose' practices of Primark or better medical care as TNCs such as Pfizer and GSK have been able to mass produce and share knowledge to improve health such as through global vaccinations e.g. for Polio- these are both examples of TNCs creating winners for people. However, it could also be argued that TNCs create losers for people by creating a 'race for the bottom' with regard to quality, pay and workers rights. The global 'footloose' nature of production, and the power of TNCs with many such as Google or Apple being larger the the GDP of developing countries, has given them power over government and ordinary citizens. This has created poor and abusive worker conditions such as recored in Apple's iPhone factories in China (The Guardian, 2016) and global scandals by TNCs such as the milk powder scandal in South America by Nestle. TNCs have also been accused of cultural erosion by promoting a 'Western outlook' and Americanisation, especially though media companies such as Disney and Fox.
In contrast, TNCs also have create winners and losers for the environment. Many critics of TNCs and globalisation point to the sprawling and careless expansion of TNCs as a key contributor to climate change and associated issues. Examples of this include companies such as Coca-Cola that are accused of reading water supply in India as a result of their factories and the global agricultural and meat industries accused of polluting waterways through chemicals e.g. Monsanto, deforesting rainforests for cash crops such as Coffee. Oil TNCs such as Shell have also created losers for the environment through extraction and spillages such as the Exxon Valdez oil spill in 1989 in which thousands of birds were killed and marine life was severely damaged. However, some point out that TNCs can create winners for the environment if they use their power to promote corporate social responsibility and environmental friendly initiatives. Examples of these include Unilever's B-corp status and using recycled plastic in its products packaging and Starbucks which is working with its coffee producers to ensure fair trade.

Answered by Ben F. Geography tutor

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