Activities of transnational corporations in developing countries

Abstract

In the article different approaches to formulation of the general TNC theory are considered. Such theory should allow for both the already known trends in foreign market entry by TNCs from developed countries and similarities for TNCs from developing countries. It is argued that the movement of FDI can be studied in universal terms, regardless of the home country national income. An attempt has been made to use the symbiotic approaches in accounting for the preferences of economic subjects in both home and host countries. The symbiotic use of firm-specific and country-specific advantages, including the reclassification of corporate internalization abilities, may allow TNCs based in the Third World and Russia for productive use of such research paradigm.Keywords: TNC, FDI, international capital movement theory, symbiotic methods, firmspecific advantages, country-specific advantages, consumer preferences, developing economies, Africa.