Role Of Mncs As A Political Actor - 1225 Words

An adequate understanding of modern global affairs begs an extension beyond the conventional approach which emphasizes one set of actors, namely nation-states. â€Å"According to a widely cited UNCTAD data, of the 100 largest economies in the world, 51 are now global corporations, only 49 are countries1.† Furthermore, the united nations’ body estimates that multinationals account for one quarter of the worlds GDP1. While one may not accept GDP as a measure of a nation’s power, it is a prime determinant of its capabilities and limitations as a political actor. The same can be said for MNCs, which have been on the rise since World War II. This discussion focuses on the role of MNCs as a political actor within, between and sometimes even above nation states. In 1952, General Motors CEO Charles Wilson famously stated that â€Å"What is good for General Motors is good for the country1. Not surprisingly, modern multinational corporations are often viewed as an extensi on of U.S. power within and between its borders. Corporations are able to transform economic clout into political power through campaign contributions and lobbying. According to a study on the top 200 global corporations, conducted by The Institute for Policy Studies, â€Å"82 U.S. companies on the Top 200 list made contributions to 2000 election campaigns through political action committees that totaled $33,045,8321.† Furthermore the Center for Responsive Politics â€Å"found that candidates for the U.S. House of Representatives whoShow MoreRelatedThe Increasing Significance of Multinational Company1122 Words   |  5 PagesThe increasing significance of MNCs in 1950s transformed them to the dominant phenomenon in the international economic relations since then. It has triggered a strong interest among the scholars, media, and society. 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