Social Scientist. v 18, no. 200-01 (Jan-Feb 1990) p. 64.


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64 SOCIAL SCIENTIST

marketing and managerial services are provided from abroad with a restricted spill-over effect to the employment of local/regional economies. A few skilled jobs and techniques of modernisation in consumer goods items may create conditions for proliferation of consumption, but it never trickles down as large scale employment is restricted. This not only leads to a stagnation of the economy but also towards its bi-polarisation. On space and sector, income, status pattern and consumption radiate out from the key centres along a declining curve and the existing pattern of inequality gets perpetuated.

The spatial form these corporations assume thus gets directly associated with the reorganisation of the space economy and in some cases with the aggravation of the regional unevenness. Given the existing spatial pattern of growth in India where uneven development perpetuated in both horizontal and vertical dimensions of capital accumulation23 with few developed core cities and vast impoverished peripheries, the spatial dynamics of multinational corporations calls for further indepth analysis.

NOTES

1. See S. Amin, Accumulation on a World Scale, Monthly Review Press, New York, 1974 and A. G. Frank, Dependent Accumulation and Underdevelopment, MacMillan, London, 1978.

2. While studying the spatial spread of the multinational corporations across national boundaries, Taylor and Thrift have also looked into the question of the rise in their efficiency. See M.J. Taylor and N.J. Thrift, The Geography of Multinationals, Croom Helm, London, 1981.

3. See M.K. Saini, Politics of Multinationals, Gitanjali Prakashan, New Delhi, 1981.

4. T. Christopher, The Multinationals, Penguin, 1974.

5. See S.K. Goel, 'Foreign Private Capital in India', Peace and Solidarity, Vol.

VIII(12), New Delhi, 1977. 6- Kunning has specifically discussed the different types of activities of the

multinational corporations, besides investments. See J.H. Dunning, "The

Multinational Enterprise: The Background* in J.H. Dunning ed.. The Multinational

Enterprise, Alien & Union, London, 1971.

7. R. Vernon, Sovereignty at Bay: The Multinational Spread of U.S. Enterprises, Penguin, London, 1971.

8. Seventies were the years when the multinational corporations emerged as a bulwork of power, at times, superseding the state apparatus in taking some economic decisions. Gabriel discusses elaborately about the underlying structure besides this strength. See P.P. Gabriel, 'The Multinational Corporations on the Defensive if not at Bay', Fortune, 1972.

9. Ideas of Chandler and Redlich on the levels of activities of the MNCs are not outdated yet. With a geographical perspective the concept of these levels can be further extended in studying the spatial hierarchy of centres in the host and parent countries. See A.D. Chandler and F. Redlich, 'Recent Development in American Business Administration and their Conceptualization', Business History Review, March, 1961. Also see S. Hymer 'The Multinational Corporation and the Law of Uneven Development' in J.N. Bhagwati, ed.. Economics and World Order, Orient Longman, Bombay, 1970.

10. See the 'Foreword' written by R. Khan in Politics of Multinationals by M.K. Saini, Gitanjali Prakashan,'New Delhi, 1981, in Which he refers to the circumstances that led to the subservience of the developing countries to the MNCs.

11. See S. Amin, Ibid.

12. Ibid.



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