The following is an analysis of transnational corporations in various developing countries. They range in different industries such as oil and gas production, steel industry, construction, telecommunications and electronics. The ranking is done in terms of financial performance in the market. This is basically the net income or profits generated by the corporations. Gazprom is an oil and gas production corporation, located in Russia. The corporation in its financial year has made profits worth 26.78. It is located in Russia where most of its shares are owned by the Russian government. It is the largest gas producer in Russia whereby it distributes its products across various regions in the world. Part of the corporation is privatized, but the majority power of the organization in terms of shares is by the government. PetroChina is another corporation which is a joint stock limited company. Much of the corporate equity is owned by the people’s republic of China. Being a limited company, the liabilities of the company lie with the company itself, but not the owners. The corporation is one of the largest oil producers in China.
Petrolbras- petroleo Brasil Corporation is a Brazilian entity whose main activity is oil and gas production. It is the largest corporation in the southern hemisphere of the country. It is the fourth largest company in the world in terms of market capitalization. Shares worth 72.8 billion dollars are sold on the BM&F Bovespa stock exchange. Orascom Construction Inds is an Egyptian corporation which operates in the construction industry. It has made a profit worth 11.83 billion dollars. The corporation is the largest corporation in the construction industry in the country. Massive construction tenders are awarded to the corporation. The shares are sold to the public, but the government owns a considerable share portion in terms of percentage. The rest corporation portrays similar characteristics in their respective countries. The corporation is formed with similar objectives or raising their countries' economic performance. This is in terms of bringing structural changes in their economy, which stimulates economic development. Considering the nature of the economic position of these countries, the federal government of the countries uses these corporations to stimulate the investment level within the countries, both local and foreign. In economic terms, investment level stimulates the interest rate within the country which in turn raises the individual’s preference of holding their cash in terms of investments rather than in liquid form. This is the basic objective of the federal authority of the countries.
The corporations can be seen as public private organizations, as some of their shares are held by the government and the public at large. This reduces instances of monopolistic influences which creates market inefficiencies, a condition which hinders economic development. From the formation time of the organization, a common trend in development is observed. This is in terms of market share increase and sales level rise. This is a clear indication that the corporation has almost similar objectives or mission goals.
Example Of Essay On Investment Report
Type of paper: Essay
Topic: Entrepreneurship, Business, Corporation, Countries, Company, Russia, Government, Commerce
Pages: 2
Words: 500
Published: 01/23/2020
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