Formation of Multinational Company

A multinational corporation is thought to be a giant business entity with operations in dozens of countries. However, the minimum requirement for a corporation to be considered multinational is that it operates at least three different countries. This is generally accomplished by means of establishing a parent corporation and then establishing subsidiary corporations in other countries that are majority or wholly owned by the parent corporation.

Multinational companies are the enterprises or organizations that manage production or offer services in more than one country. And India has been the home to a number of multinational companies. Indeed, since the financial liberalization in the country in 1991, the number of multinational companies in India has increased noticeably.

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