“An enterprise which allocates company resources without
regards to national frontiers, but is nationally based in
terms of ownership and top management”.
“ An enterprise which own or control production or service
facilities outside the country in which they are based”.
Features of MNC
1. Big size
2. Huge intellectual capital
3. Operates in many
4. Large number of
5. Large number of
6. Structured way of
Organized retail formats
The term organized retailing means to have a formal
organization to coordinate and carry out activities.
The organized retail formats are generally owned by
They may include: hyper market, super market,
convenience store, exclusive outlet, departmental store
Organized retail outlet is a place where the product
attributes in terms of quality, weight/quantity, price,
service of the providers are homogenous.
They have the advantages of economies of scale and
scope, as the purchasing is done in bulk orders.
Its now constitutes 5% of the total retail sector, is likely
to grow at a much faster pace of 45-50percent per
The movement of technology to
produce goods as well as for
communication purpose. The
introduction of technology to the
developing world can lead to
cleaner and more efficient
Capital, the means of production,
is basic need of any retailing
format. Through FDI, MNCs are
able to diffuse the much needed
resources into developing country.
Their GDP and GNP will also
reflect the growth of industry.
These changes will potentially
attract more investors in the same
The skill level of the workers
within the host country would
also increase because many MNCs
can and do educate them in the
FDI through MNCs is Far Easier:
FDI through MNCs is Far Easier to attain than national
development aid or multilateral bank lending because
there are so many firms looking for opportunities for
Reasons for Growth of MNCs in
Developing in communication technology
List of Retail Companies in India
Aditya Birla Retail Ltd.
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