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"MNCs are in a position to exercise massive control on an economy." Substantiate.

Answer:

Ans.     MNCs are in a position to exercise massive control on an economy because of the following reasons:

(a) MNCs are characterised by possessing huge financial resources. These huge financial resources give them economic power in the economy. They can afford to survive even during losses as well.

(b) MNCs possess technological superiorities and are capable to conform as per international standards and quality specifications.

(c) They make use of aggressive marketing strategies for their products.

(d) They have an established brand image in the market.