18.6 The activities of transnational corporations in the supply chain and global business activities
Most of the goods and services you buy and use have come from a transnational or multinational corporation (MNC). All transnational corporations have to be able to manage the supply chain and their business activities across the world. Although all transnational corporations have their own supply chain management processes, many are very complex. One way to examine supply chain management by a large organisation is through an example. One large transnational or multinational corporation that is very successful and well known is Toyota – see Research 18.2.
RESEARCH 18.2
Toyota has 52 overseas manufacturing companies in 27 different countries. Toyotas are sold in more than 160 countries. The company and its activity vary around the world depending on the country.
Using the Toyota website research, the countries Toyota operates in and the activity of each Toyota Company in these countries. Using the information you have collated, complete the following tasks:
- Define the concepts of transnational and multinational corporations.
- Explain why Toyota has so many factories around the world.
- Survey your class. How many of your family own or have owned a Toyota? Why did they purchase a Toyota?
- Go to a large transnational corporation web site such as Ford, Sony, Panasonic or Coca-Cola Amatil and examine the types of products they sell and the companies they control. This activity can be done in a table or as a Google Doc (your teacher will need to set this up).
| Corporation | Country of origin | Products | Brands and company names | Performance (e.g. sales, profit) |
|---|---|---|---|---|