Are there any economic beneffits from global corporations ?

CultureCitizen

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Jun 1, 2013
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I am arriving to the conclusion that global corporations do not beneffit the economy at all.
They actually harm it because they tend create cross country monopolies, evade taxes and practice dumping.
But I would like to hear if someone thinks global corporations have some beneffit.

I must underscore the word global . Please notice corporations are an absolute must for every healthy economy, specially medium and small corporations.
 
I am arriving to the conclusion that global corporations do not beneffit the economy at all.
They actually harm it because they tend create cross country monopolies, evade taxes and practice dumping.
But I would like to hear if someone thinks global corporations have some beneffit.

I must underscore the word global . Please notice corporations are an absolute must for every healthy economy, specially medium and small corporations.


They actually harm it because they tend create cross country monopolies,

You'll have to explain what a cross country monopoly is.

evade taxes

Ford builds cars in the US. Ford builds cars in Mexico. Ford builds cars in Europe.
Where is the tax evasion?


and practice dumping.

Selling things too cheaply? Why is that a problem?
 
Ford builds cars in the US. Ford builds cars in Mexico. Ford builds cars in Europe.
Where is the tax evasion?

Example ( not quite the real thing , but close enough ) :
Ford USA produces parts for cars which at build at Mexico, but it does so by selling the spare parts at on over-price, decreasing the net income of cars produced by Mexico and increasing the net income of Ford USA.
Ford USA then gets services from the Corporation at Luxemburg at an overprice to compensate for the extra generated by the parts sold at an over-price.
 
Selling things too cheaply? Why is that a problem?

Since the products are being dumped ( via subsidies ) , the locals can't sustain competition.
After a couple of years they either have a very small market share or ar forced to close.
The corporation now has a monopolic position.
True , given a trial it may be split, but if this happens at all it will be after years of having a monopolic position in the market.
 
Ford builds cars in the US. Ford builds cars in Mexico. Ford builds cars in Europe.
Where is the tax evasion?

Example ( not quite the real thing , but close enough ) :
Ford USA produces parts for cars which at build at Mexico, but it does so by selling the spare parts at on over-price, decreasing the net income of cars produced by Mexico and increasing the net income of Ford USA.
Ford USA then gets services from the Corporation at Luxemburg at an overprice to compensate for the extra generated by the parts sold at an over-price.

Ford USA produces parts for cars which at build at Mexico, but it does so by selling the spare parts at on over-price

I wish we had an agency that looked at the books of a company like Ford and set up rules about inventory and purchases from subsidiaries, to assure they paid the proper amount of taxes.
We could call it the I.R.S.
 
I wish we had an agency that looked at the books of a company like Ford and set up rules about inventory and purchases from subsidiaries, to assure they paid the proper amount of taxes.
We could call it the I.R.S.
Oh , they pay VAT, but the proffit is offshored to a country with low corporate tax.
 
Selling things too cheaply? Why is that a problem?

Since the products are being dumped ( via subsidies ) , the locals can't sustain competition.
After a couple of years they either have a very small market share or ar forced to close.
The corporation now has a monopolic position.
True , given a trial it may be split, but if this happens at all it will be after years of having a monopolic position in the market.

Since the products are being dumped ( via subsidies ) ,

What subsidies?

The corporation now has a monopolic position.

So if Ford sells too cheaply, because of some imaginary subsidies, they'll drive (hehe) every other car maker out of business? Seriously?
 
I wish we had an agency that looked at the books of a company like Ford and set up rules about inventory and purchases from subsidiaries, to assure they paid the proper amount of taxes.
We could call it the I.R.S.
Oh , they pay VAT, but the proffit is offshored to a country with low corporate tax.

Ford pays no VAT here. How do you imagine Ford can "offshore" profit on a car they built and sold here?
 
Since the products are being dumped ( via subsidies ) ,

What subsidies?

The corporation now has a monopolic position.

So if Ford sells too cheaply, because of some imaginary subsidies, they'll drive (hehe) every other car maker out of business? Seriously?

It is subsidy because they sell the products below they break-even price and they can operate with losses for one or two years while they get rid of the competitors. After they have secured the monopoly they rise the prices and recover the losses they got during the first two years of operations.

I have not seen this in the car industry (where it might be too expensive ) but certainly in the food sector.
 
I wish we had an agency that looked at the books of a company like Ford and set up rules about inventory and purchases from subsidiaries, to assure they paid the proper amount of taxes.
We could call it the I.R.S.
Oh , they pay VAT, but the proffit is offshored to a country with low corporate tax.

Ford pays no VAT here. How do you imagine Ford can "offshore" profit on a car they built and sold here?

That was not the example I posted, but certaily they can follow the same strategy.
They pay for services at an overprice from the corporation which is located in a tax paradise .
 
I am arriving to the conclusion that global corporations do not beneffit the economy at all.
.

dear, a liberal lacks the IQ to come to a conclusion. Global corporations exist because free people elect to buy from them; presumably because their price and quality raises their standand of living faster than any other option. We don't need a lib Nazi interfering with our freedom to improve our standard of living.
 
I am arriving to the conclusion that global corporations do not beneffit the economy at all.
They actually harm it because they tend create cross country monopolies, evade taxes and practice dumping.
But I would like to hear if someone thinks global corporations have some beneffit.

I must underscore the word global . Please notice corporations are an absolute must for every healthy economy, specially medium and small corporations.


 
The corporation now has a monopolic position.

too stupid used cars as an example of monopoly even when half the companies are on the verge of bankruptcy owning the extreme global competition have the best quality and lowest prices in the world just to survive.

Can we conclude anything other than that liberalism is based in pure ignorance?
 
Economic beneffits from global corporations?

Superb investment opportunity for John Q. Public to fatten his retirement portfolio. I've always kept a mix of domestic and off shore stock holdings. You, your broker and your financial advisor all need to keep an eye on current events and the board running these companies but that's just standard investment due diligence that I'm sure you're using to manage your investments.

Ca-Ching $$$
 
moreover the perfect idiot liberal thinks global competition will lead to monopoly more than national competition. OMG!!
 
I am arriving to the conclusion that global corporations do not beneffit the economy at all.
They actually harm it because they tend create cross country monopolies, evade taxes and practice dumping.
But I would like to hear if someone thinks global corporations have some beneffit.

I must underscore the word global . Please notice corporations are an absolute must for every healthy economy, specially medium and small corporations.



Oh, my , this is just what I wanted to avoid.
Crusader, I am not against free markets. I am trying to see if allowing global corporations in a free market yields benefits or not, as compared to having free trade with only local corporations .
 
Crusader, I am not against free markets. .
you are you just lack the IQ as a liberal to know it.

the rule is: the more with whom you trade the richer you get, the fewer with whom you trade the poorer you get.

Why not print it out and post on fridge for daily review?
 
. I am trying to see if allowing global corporations in a free market yields benefits .

OMG how utterly stupid and liberal. Its like asking if you get 10 quotes will you get better quality and price than if you get 2 quotes. Dear, can you tell us the answer?
 
Yes, of course.

This economist won the Nobel Prize in economics for his theory of when economic transactions should occur within a corporation and when they should occur without.

Oliver E. Williamson - Facts

In his theory, decisions should be made within the corporation when it is more efficient to do so.

And that includes multinational corporations.

As for the OP, almost all of the largest 1000 corporations in the world are multinational corporations. It's pretty hard to argue with a straight face that they are all trending towards monopoly. They are large because they offer products people want or need and are efficient at providing them, thus offering a tremendous boon to humanity.
 
you are you just lack the IQ as a liberal to know it.

the rule is: the more with whom you trade the richer you get, the fewer with whom you trade the poorer you get.

Why not print it out and post on fridge for daily review?
Baiamonte ,
For once please try not to answer as a complete imbecile spambot.
I am not attacking free trade , but rather the use of global corporations which try to push all the income towards a certain region.
Now , thik about the economic benefit of a global corporation vs a local one ( yes, even a local one with foreign investment) or stop spamming the thread.
 

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