1. “Multinational companies (MNCs) must always adapt to the host country environment they are operating in”. Critically discuss this statement with reference to US MNCs in China or India.
International Framework Agreements (IFAs) are those agreements that take place between a multinational company and a global union federation to preserve high-quality standards in the working environment. Under such agreements, a multinational entity undertakes to meet a particular threshold or standard for its workers in all the countries that its operations run. The ultimate goal of IFAs is to sustain uniformity and ensure that no client base is shortchanged by having to endure working conditions of a lower quality than that which their counterparts in other countries enjoy. In the modern business landscape, commercial transactions have become more global as a consequence of significant technological advancement. Another factor that has contributed to the emergence of multinational industries is the growth of trade volumes in many countries, thus providing a surplus of income and resources that such corporate entities can invest for purposes of expanding their businesses beyond territorial borders. Even as companies grow their businesses, it is important to ensure that they do not deviate from the safety standards that they have upheld previously or those that they meet in other countries. This paper examines international framework agreements intending to establish whether they fall within the purview of corporate social responsibility or industrial relations practice.3115 words