... on capital. This is why over 90% of global FDI goes to other industrialised countries. MNE's seek out the best profit opportunities and are largely unconcerned with issues such as poverty and inequality. The table shows FDI in LDC's between 1970 and 1997, and the major 1997 recipients. MNE's carry with them styles of living, managerial philosophies, diverse business practices and advertising. They therefore engage in a number of activities non of which involve development aspirations in the country which they operate. There are two crucial characteristics of MNE's. The first is their large size and the second is their worldwide operations tend to be centrally controlled by parent companies. MNE's are a major force in the globalisation of world trade. 350 largest corporations control more than 40% of world trade and dominate production in cars, footwear, electronics, tobacco and clothing. They have in effect become global factories searching for opportunities anywhere ...

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