Multinational corporations and domestic company’s development: Evidence from Nigeria

Abstract

This research study looks at assessing, and reviewing how multinational corporations spurred up economic development, particularly in Nigeria to an extent. Multinational Corporations (MNCs) involves having operations in more than one Nation with its head office at their home country. They are subject to changes in international exchange rates, tariffs, duties, and restrictions on trade. Majority of the successful ones’ targets production points where labour is cheaper, with affordable transportation so as to deliver to their markets. The research used scholarly journals, articles, and textbooks to review the activities of MNCs in Nigeria’s economic development, as it relates to growth, technology transfers and policy issues. Based on the literature, the research discovered that multinational corporations have contributed to the Nigeria’s economic development, which varies. Meanwhile, the technology internalization as well as transfers is still a mirage. Although, some MNCs still engage in unethical business practices that soils their name, and their image of Nigeria. This research study recommends other things including that representatives of all stakeholders-employees, customers, society, government should be appointed as members of the Board of Directors of various corporations, to ensure direct representation, and as well as participation in the decision-making process. More so, polycentric model of staff selection should be imposed by government on these MNCs which will be stated under the terms of agreement with all the multinational corporations operating within Nigeria. This will improve skill acquisition as well as adequate transfer of technology.