THE APPRAISAL OF MULTI-NATIONAL CONTRIBUTION OF COMMUNITY DEVELOPMENT
ABSTRACT
Multinational Corporation is now globally accepted business firms which have adopted various cultures and
take responsibility for her host community socially. The appraisal of multinational corporation to the
contribution of community development became necessary to evaluate the extend of exploration carried out
by multinational corporations in Nigeria. A review of related literature was carried out to give the study. The
required theoretical background, available statistics from the natural population commission indicate that
Eket community have an estimate of one thousand six hundred and ten people (101,610) and the sample size
is made up of hundred respondents (100),the method employed in collecting data was the questionnaire. (4)
Four hypotheses were formulated and tested for the study using simple percentage (%) statistical method of
data analysis, on the basis of the analyses some findings were recorded as follows: It was discovered that
the multinational corporation rather abuse human right and pollute environment instead of developing the
host community. Following the findings recorded some useful recommendation were proffered for the
resolution of the problems identified in the study. It suggested that in order to make the people fell statistical;
the firm has to provide much to the needs they want. To also widen the scope of here social responsibility to
provide employment and hasten community development. It is concluded that is the law of the land is not
properly put into use; Multinational Corporation will not contribute towards the development of her host
community.
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY:
Multinational Corporation is used by people both in the business and non business sectors, to some people
it means a Fairly big firm that has about five or six branches in a state, while others see it as a big firm that
has branches in all the states or divisions of a country. According to Prasad & Shetty, (1976) “Multinational
corporations are firms that operate effectively under different national sovereignties”. They further stress
that multinational corporations are such firms that must cope with wide variations in economic conditions,
different values and cultural systems and wide geographical separation.
This definition, multinational corporations are large firms that operate in different parts of the world, but most
of the times have one acclaimed headquarters, situated in a place it was first established. There are various
multinational corporations both in Nigeria and abroad.
However, For the purpose of this research works, the researcher is using Exxonmobil oil producing Nigeria at
Eket, Akwa-Ibom State. it is of note to
mention that multinational corporations operating in foreign hands must respect the tunes and dictates of
the host government or face expropriation. By the nature of their operation, multinational corporations must
cope not only with more complex organizational structure but with far more elaborate and sensitive
array of environment variables than domestic operations have these corporations are seen as giants
amongst economic entities and primarily because of their size, economic power, efficiency, stability,
dynamism, flexibility and quite often a technological oligopoly. Elwood (1979), said that the size and scope of
multinational corporations within many developing nations often bring about significant social changes that
disrupt or counteract social programmes and goals of host government.
Multinational corporations are known for their exploitative tendencies in developing countries. There has
been lots of accusation by concerned African countries that these corporations are only out to suck dry the
natural and human resources of poor African countries without correspondingly compensating them or
showing appreciation in return. Despite the fact that these corporations exploit these African countries and
realize huge profits from their business operations, it is difficult for saying they satisfy the yearnings and
aspiration of the communities where they operate in terms of business social responsibility.
Offlang (1980) asserts that, going by the concept of imperialism and dependency as characterized by the
exploitation of the developing countries by the west and as manifested by the infiltration of western capital
into poor African countries,
one can categorically say that the contribution of these multinational corporations to the community
development is not encouraging. This is evidenced by public out-cry for compensation by
Communities where these corporation arc operating due to the 1ct that these communities provide the
needed raw materials for that operation.