BUS061 HW11

BUS061 HW11 - intent was to bring justice to pirates on the...

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Sharon Ng Professor Diamond BUS061 24 July 2011 Chapter 11 Homework 1. Please define and explain the transnational index (TNI). In what ways might a MNC become too transnational? The transnational index is the average of three ratios: foreign assets to total assets, foreign sales to total sales, and foreign employment to total employment. An MNC can become too transnational because it has various powers; for example, they can move their foreign assets around to favor some countries at the expense of others. 2. What is the Alien Tort Claims Act? What was the original intent of this law? The Alien Tort Claims Act is a 1789 law permitting foreign citizens to litigate alleged violations of international law in federal district courts. The original
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Unformatted text preview: intent was to bring justice to pirates on the high seas. 3. What are international codes of conduct? Please provide an example of a country that is putting such a code to good use. Do these codes serve an important function in keeping MNCs honest and ethical? International codes of conduct are documents containing principles for conducting worldwide business operations in a socially responsible manner. Africa is putting this code to good use because at the time, they made a law decreeing an elaborate system of apartheid, or separation of the races, in which the civil rights of black, Indian, and mixed-race citizens were restricted. International codes of conduct are an important function in keeping MNCs honest and ethical....
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