Legal control

Cards (3)

  • How might legal control be used to control MNCs ?
    A country can introduce laws which MNCs has to follow else it will cost them money
  • Benefits of using legal control?
    Laws allow consumers to have some rights against the MNC and laws can be passed at any point in order to control their actions
  • Drawbacks of using legal control?
    The MNC may move production to a country with fewer laws and regulations
    A host nation will not want to lose the economic input of the MNC