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Multinational Companies

Definition

Multinational companies are large corporations that operate in multiple countries, with headquarters in one country and branches or subsidiaries in others. They conduct business activities on a global scale.

Related terms

Globalization: The process of increasing interconnectedness and interdependence among countries through the exchange of goods, services, information, and ideas.

Foreign Direct Investment (FDI): When a company from one country invests in another country by establishing operations or acquiring assets.

Transnational Corporations: Similar to multinational companies, transnational corporations operate across national borders but may not have a clear home base or headquarters.

"Multinational Companies" appears in:

Additional resources (1)

  • AP Comparative Government - 5.1 Impact of Global Economic and Technological Forces

Practice Questions (1)

  • What is the role of multinational companies in globalization?

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About Us

About Fiveable

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Careers

Code of Conduct

Terms of Use

Privacy Policy

CCPA Privacy Policy

Resources

Cram Mode

AP Score Calculators

Study Guides

Practice Quizzes

Glossary

Cram Events

Merch Shop

Crisis Text Line

Help Center

© 2024 Fiveable Inc. All rights reserved.

AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.