Global Business Practice
An assessment on “Nation States are dead, long live the TNC”
Nation state is dead, long live TNC
Today we live in borderless world, where states hardly matter; this is something which is also the centre claim of hyper globalizers. The increasing power of TNCs has taken away economic power from nation-state. TNCs are vital and very vital players in social and economic scenario. With the changing world and globalization, TNCs enjoy enormous power. Hyper mobility has given them dimensions which even the powerful multinational companies could not get. Nation state is affected by expanding power of TNCs and also avoided unwanted demand of state. And now after doing lot of research, I feel TNCs are most powerful actors of globalisation.
Weakening power of nation-state has made borders permeable as compared to previous years. It has reduced ability to legalize global-social relation. Nation state should legitimize phenomenon which is going out of its hand. Crises of nation-state in other word can be said to be the crises of democracy as it has put the citizens in such a state that they cannot decide even about simple affairs which is a result of inefficiency of state to regulate and control global action. My research also emphasis the contradictory relationship of TNCs with states. On one hand they put limits on state powers, TNCs also need help of states to carry out their work and get good response from various sectors of society and in capital manipulation. Nation state and TNCs work hand in hand in some situation but is limiting as it brings down the state ability to control social and economic factors, which goes in favour of TNCs. The on-going contradictory relationship between TNCs and state is most important process in globalisation. So, we can say globalisation has shrunk the scope of Nation State and has become just a representative of Transnational...