Achievements and Challenges Of Multinational Corporations In The Nigeria’s Economic Growth Process
Multinational corporations may be conceived of as the accentuation of Global capital in the establishment of business ventures across borders with its exploitative tendencies which according to the Marxist philosophy is deeply rooted in Capitalism and Imperialism with a drastic ends.
The exploitative tendencies of Multinationals in Nigeria reflects on its contributions to the ‘Capital Flight’ and the stimulation of a downturn of most Indigenous corporations in the country. The variables of Capital Flight emphasises that a non-productive and parasitic nation like Nigeria will continue to form the exploitation of those advanced nations through the influx of FDI, perpetually Multinationals will continue to take advantage of this Flight because of those unfortunate realities.
“ Multinationals are bourgeoisie in Nigeria which reflects on their exploitation’s tendency and tends to affect the well-being of the citizens who become the proletariat which according to the Marxist scholars is a crippling phenomenon basically driven and rooted in Capitalism and Imperialism with a drastic ends “
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The ruthlessness in profit maximisation is been supported by successive regimes in Nigeria with a fair bargain of interest through Political,Military and Diplomatic encouragements. In essence, Multinationals in Nigeria illustrates the paradox of the legendary Robin Hood who stole from the rich and gave to the poor. This fate can be seen through the channeling of resources flowing disproportionately from the poor to the rich.
Apparently, the influx of Multinationals in Nigeria has breezed competitions for local firms which has led income inequalities with its negative consequences, thus, the contributions of growth percentage of Multinationals in the country is quite minimal when compared to their metropolitan country.
Also, FDI poses a great challenge on domestic investment due to their advancement in technologies which gives the Economies of scale over the local industries in Nigeria thereby leading to dependency of the latter on the former. Consequently, Multinationals forms a Catalyst to development in the country but the challenge which needed to be resolved is the level of its transparency, broad and effectiveness on its environmental policies on the investment base in building the human institutional capabilities of the country.
The peripheralise position of Multinationals in Nigeria is to itself as a key drive towards development and growth which results in the operations of linking the economic structure of other parts of the world which makes the country’s activities to be integrated into the World Economies.
Nigeria is perhaps confronted with the greatest challenge which reflects in the annals of the emergence and evolution as a modern nation states. Nigeria and most importantly the Sub-Sahara African region is only peripherally significant to the Global Economy, the reason for this is not hard to find, as Nigeria suffers from both self-afflicted ailments and those caused by its interactions with other nations of the World through Foreign Direct Investment.
Paul, this is a solid thought-leadership. Well done. We need to have stakeholder capitalism if we expect all to rise: "This fate can be seen through the channeling of resources flowing disproportionately from the poor to the rich."
