ust be aware of these various interests, they serve them unevenly at any given period. At one time, most gains may go to consumers; at another, to stockholders. Making necessary trade-offs isTo survive, a company must satisfy different groups, refereed as stakeholders. These include stockholders, employees, customers, and society at large. In the short term, the aims of these groups conflict. Stockholders want additional sales and increased productivity, which will result in higher profits and a higher return on investment. Employees want additional compensation. Customers want lower prices. Society at large would like to see increased corporate taxes or corporate involvement in social functions. In the long term, all of these aims must be achieved adequately or none will be attained at all because each stakeholder group is powerful enough to cause the company's demise.

Although the management teams of multinational enterprises (MNEs) must be aware of these various interests, they serve them unevenly at any given period. At one time, most gains may go to consumers; at another, to stockholders. Making necessary trade-offs is

ups conflict. Stockholders want additional sales and increased productivity, which will result in higher profits and a higher return on investment. Employees want additional compensation. Customers want lower prices. Society at large would like to see increased corporate taxes or corporate involvement in social functions. In the long term, all of these aims must be achieved adequately or none will be attained at all because each stakeholder group is powerful enough to cause the company's demise.

Although the management teams of multinational enterprises (MNEs) must be aware of these various interests, they serve them unevenly at any given period. At one time, most gains may go to consumers; at another, to stockholders. Making necessary trade-offs is

tomers want lower prices. Society at large would like to see increased corporate taxes or corporate involvement in social functions. In the long term, all of these aims must be achieved adequately or none will be attained at all because each stakeholder group is powerful enough to cause the company's demise.

Although the management teams of multinational enterprises (MNEs) must be aware of these various interests, they serve them unevenly at any given period. At one time, most gains may go to consumers; at another, to stockholders. Making necessary trade-offs is

tely or none will be attained at all because each stakeholder group is powerful enough to cause the company's demise.

Although the management teams of multinational enterprises (MNEs) must be aware of these various interests, they serve them unevenly at any given period. At one time, most gains may go to consumers; at another, to stockholders. Making necessary trade-offs is

ust be aware of these various interests, they serve them unevenly at any given period. At one time, most gains may go to consumers; at another, to stockholders. Making necessary trade-offs is always necessary at a corporation's domestic environment. However abroad, where corporate managers are relatively unfamiliar with customs and power groups such as trade unions, the problem is choosing the best alternative can be compounded; this is particularly true if dominant interests differ among countries.

The effects of MNEs on growth and employment are not a necessarily a zero-sum game among countries. Classical economists assumed production factors were at full employment; consequently, a moment of any of these factors existing abroad would result in an increase in output abroad and a decrease to that at home. Even if this assumption was true, the gains in the host country might be greater or less than the losses in the home country. Thus, t