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95-609: Convair began development of a medium-range commercial jet in April 1956, to compete with announced products from Boeing and Douglas . Initially the design was called the Skylark , but the name was later changed to the Golden Arrow , then Convair 600 and then finally the 880, both numbers referring to its top speed of 600 mph (970 km/h) or 880 ft/s (268 m/s). It was powered by General Electric CJ-805-3 turbojets,

190-491: A corporate citizenship program centered on charitable contributions in five areas: education, health, human services , environment , the arts , culture, and civic engagement . In February 2012, Boeing Global Corporate Citizenship partnered with the Insight Labs to develop a new model for foundations to more effectively lead the sectors they serve. The company is a member of the U.S. Global Leadership Coalition ,

285-526: A "raceway" hump on the top of the fuselage, rather than ripping apart the interiors over the wing area. The final assembly of the 880 and 990 took place at the Convair facilities in San Diego, California. The airliner never became widely used, and the production line shut down after only three years. The 880's five-abreast seating made it unattractive to airlines, while Boeing was able to outcompete it with

380-462: A Washington D.C.–based coalition of more than 400 major companies and NGOs that advocate a larger International Affairs Budget, which funds American diplomatic and development efforts abroad. A series of U.S. diplomatic cables show how U.S. diplomats and senior politicians intervene on behalf of Boeing to help boost the company's sales. In 2007 and 2008, the company benefited from over US$ 10 billion of long-term loan guarantees, helping finance

475-766: A basis in a national ethos , being ultimate without a specific nationhood, and that this lack of an ethos appears in their ways of operating as they enter into contracts with countries that have low human rights or environmental standards . In the world economy facilitated by multinational corporations, capital will increasingly be able to play workers, communities, and nations off against one another as they demand tax, regulation and wage concessions while threatening to move. In other words, increased mobility of multinational corporations benefits capital while workers and communities lose. Some negative outcomes generated by multinational corporations include increased inequality , unemployment , and wage stagnation . Raymond Vernon presents

570-692: A civilian version of the J79 which powered the Lockheed F-104 Starfighter , McDonnell Douglas F-4 Phantom , and Convair B-58 Hustler . The first example of the Model 22 FAA Type Certificate, initial production version (no prototype was built) made its maiden flight on 27 January 1959. After production started, the Federal Aviation Administration mandated additional instrumentation, which Convair added by placing

665-515: A company or group should be considered a multi-national corporation "if it derives 25% or more of its revenue from out-of-home-country operations". Most of the current largest and most influential companies are publicly traded multinational corporations, including Forbes Global 2000 companies. The history of multinational corporations began with the history of colonialism . The first multi-national corporations were founded to set up colonial "factories" or port cities. The two main examples were

760-527: A company providing commercial launch services sending satellites to geostationary orbit from floating platforms. In 2000, Boeing acquired the satellite segment of Hughes Electronics . In December 1996, Boeing announced its intention to merge with McDonnell Douglas , which, following regulatory approval, was completed on August 4, 1997. The delay was caused by objections from the European Commission , which ultimately placed three conditions on

855-508: A corporation invests in a country in which it is not domiciled, it is called foreign direct investment (FDI). Countries may place restrictions on direct investment; for example, China has historically required partnerships with local firms or special approval for certain types of investments by foreigners, although some of these restrictions were eased in 2019. Similarly, the United States Committee on Foreign Investment in

950-429: A free market system where there is little government interference. As a result, international wealth is maximized with free exchange of goods and services. To many economic liberals, multinational corporations are the vanguard of the liberal order. They are the embodiment par excellence of the liberal ideal of an interdependent world economy. They have taken the integration of national economies beyond trade and money to

1045-490: A million troops to help, and by February 1991, Iraqi forces were expelled from Kuwait. Due to the oil boycott from Kuwait and Iran, oil prices rose and quickly recovered. Saudi Arabia once again led OPEC, and thanks to assistance in defending Kuwait, new relations emerged between the USA and OPEC. Operation "Desert Storm" brought mutual dependence among the main oil producers. OPEC continued to influence global oil prices but recognized

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1140-672: A potential downgrade to junk status . On November 1, 2024, the IAM endorsed an improved contract offer which would see a 38% pay rise over four years, a $ 12,000 ratification bonus, and the reinstatement of an annual bonus scheme. On November 5, 2024, Boeing workers accepted the pay deal, ending a seven-week-long walk out. The company's three divisions are: Commercial Airplanes; Defense, Space & Security; and Global Services. In 2018 and 2019 , two Boeing 737 MAX narrow-body passenger airplanes crashed, leaving 346 people dead and no survivors. In response, aviation regulators and airlines around

1235-518: A profit of US$ 9.7 billion, laying off 14,862 workers since 2008, and increasing executive pay by 31% to US$ 41.9 million in 2010 for its top five executives. Boeing has been accused of unethical practices (in violation of the Procurement Integrity Act ) while attempting to submit a revised bid to NASA for their lunar landing project. The firm has been criticized for supplying and profiting from wars , including

1330-421: Is a corporate organization that owns and controls the production of goods or services in at least one country other than its home country. Control is considered an important aspect of an MNC to distinguish it from international portfolio investment organizations , such as some international mutual funds that invest in corporations abroad solely to diversify financial risks. Black's Law Dictionary suggests that

1425-504: Is an American multinational corporation that designs, manufactures, and sells airplanes , rotorcraft , rockets , satellites , and missiles worldwide. The company also provides leasing and product support services. Boeing is among the largest global aerospace manufacturers ; it is the fourth-largest defense contractor in the world based on 2022 revenue and is the largest exporter in the United States by dollar value. Boeing

1520-410: Is often handled through international arbitration . The actions of multinational corporations are strongly supported by economic liberalism and free market system in a globalized international society. According to the economic realist view, individuals act in rational ways to maximize their self-interest and therefore, when individuals act rationally, markets are created and they function best in

1615-676: Is ranked 54th on the Fortune 500 list (2020), and ranked 121st on the Fortune Global 500 list (2020). The Boeing Company started in 1916, when American lumber industrialist William E. Boeing founded Pacific Aero Products Company in Seattle, Washington. Shortly before doing so, he and Conrad Westervelt created the "B&W" seaplane . In 1917, the organization was renamed Boeing Airplane Company, with William Boeing forming Boeing Airplane & Transport Corporation in 1928. In 1929,

1710-452: Is responsible for about 11% of greenhouse gases emitted by the U.S. transportation sector. Aviation's share of the greenhouse gas emissions was poised to grow, as air travel increases and ground vehicles use more alternative fuels like ethanol and biodiesel . Boeing estimates that biofuels could reduce flight-related greenhouse-gas emissions by 60 to 80%. The solution blends algae fuels with existing jet fuel . Boeing executives said

1805-539: Is sustainable only as long as orders are good and delivery rates are increasing. From 2013 to 2019, Boeing spent over $ 60 billion on dividends and stock buybacks , twice as much as the development costs of the 787. In 2020, Boeing's second quarter revenue was $ 11.8 billion as a result of the pandemic slump. Due to higher sales in other divisions and an influx in deliveries of commercial jetliners in 2021, second quarter revenue increased by 44%, reaching nearly $ 17 billion. Revenues decreased 15 percent to $ 16.9 billion in

1900-865: Is usually a large corporation incorporated in one country that produces or sells goods or services in various countries. Two common characteristics shared by MNCs are their large size and centrally controlled worldwide activities. MNCs may gain from their global presence in a variety of ways. First of all, MNCs can benefit from the economy of scale by spreading R&D expenditures and advertising costs over their global sales, pooling global purchasing power over suppliers, and utilizing their technological and managerial experience globally with minimal additional costs. Furthermore, MNCs can use their global presence to take advantage of underpriced labor services available in certain developing countries and gain access to special R&D capabilities residing in advanced foreign countries. The problem of moral and legal constraints upon

1995-642: The Boeing 720 , which could be sold at a significantly lower price, as it was a minimal modification of the existing 707. In addition, the General Electric engines had a higher specific fuel consumption than the Boeing's Pratt & Whitney JT3Cs . General Dynamics lost around $ 185 million over the lifetime of the project, although some sources estimate much higher losses. The aircraft were involved in 17 accidents and five hijackings. A modified version of

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2090-980: The British East India Company founded in 1600 and the Dutch East India Company (VOC) founded in 1602. In addition to carrying on trade between Great Britain and its colonies, the British East India Company became a quasi-government in its own right, with local government officials and its own army in India. Other examples include the Swedish Africa Company founded in 1649 and the Hudson's Bay Company founded in 1670. These early corporations engaged in international trade and exploration and set up trading posts. The Dutch government took over

2185-485: The COVID-19 pandemic with plans for a total 10% cut of its workforce or approximately 16,000 positions. In July 2020, Boeing reported a loss of $ 2.4 billion as a result of the pandemic and the Boeing 737 MAX groundings , and that it was in response planning to make more job and production cuts. On August 18, 2020, CEO Dave Calhoun announced further job cuts; on October 28, 2020, nearly 30,000 employees were laid off, as

2280-875: The Israel-Gaza war (2023-present) , demonstrations sought to block shipments of weapons for the Israel Defense Forces at Boeing facilities in St. Charles, Missouri , Tukwila, Washington , and Gresham, Oregon . Students at Florida State University , University of Washington , Saint Louis University , University of Missouri–St. Louis , and Washington University in St. Louis called for their institutions to break partnerships with Boeing. Research estimates that Boeing has made between $ 50 billion to $ 100 billion in revenue from sales to Israel. In 2024, students on hunger strike at Brown University named Boeing among

2375-583: The Simi Hills of eastern Ventura County in Southern California , had been contaminated by Rocketdyne with toxic and radioactive waste . Boeing agreed to a cleanup agreement with the EPA in 2017. Clean-up studies and lawsuits are in progress. On July 19, 2022, Boeing announced a renewed partnership with Mitsubishi to produce carbon-neutral and sustainable solutions. The airline industry

2470-485: The jatropha plant to see if it is a sustainable alternative to conventional fuel. A two-hour test flight using a 50–50 mixture of the new biofuel with Jet A-1 in a Rolls-Royce RB-211 engine of a 747–400 was completed on December 30, 2008. The engine was then removed to be studied to identify any differences between the Jatropha blend and regular Jet A1. No effects on performances were found. In 2008 and 2009, Boeing

2565-670: The 19th century, such as the Rio Tinto company founded in 1873, which started with the purchase of sulfur and copper mines from the Spanish government. Rio Tinto, now based in London and Melbourne , Australia, has made many acquisitions and expanded globally to mine aluminum , iron ore , copper , uranium , and diamonds . European mines in South Africa began opening in the late 19th century, producing gold and other minerals for

2660-557: The 880-M between 1961 and 1963. Swissair named theirs Coronado, after an island off the San Diego coast and where the first 990 landed. The design entered service with Delta Air Lines in May 1960, slightly modified as the 880-22M, having newer-version 805-3B engines. The 880s were flown by Cathay Pacific , Delta, Japan Airlines , Northeast Airlines , Swissair , TWA , and VIASA . As they left commercial service, many 880s were bought by American Jet Industries for various uses. One example

2755-548: The Boeing 737 MAX 9. The FAA announced on January 12 that it was expanding its scrutiny of Boeing, with a production audit of the 737 MAX 9. On February 6, the National Transportation Safety Board released a preliminary report indicating that four bolts used to secure the panel had been removed, and appeared not to have been replaced, at Boeing’s factory in Renton, Washington . In March 2024,

2850-551: The English language. Senior officials, although mostly still Swedish, all learned English and all major internal documents were in English, the lingua franca of multinational corporations. After the war, the number of businesses having at least one foreign country operation rose drastically from a few thousand to 78,411 in 2007. Meanwhile, 74% of parent companies are located in economically advanced countries. Developing and former communist countries such as China, India, and Brazil are

2945-575: The International Energy Agency (IEA), enabling states to coordinate policy, gather data, and monitor global oil reserves. In the 1970s, OPEC gradually nationalized the Seven Sisters. The Kingdom of Saudi Arabia, as the only largest world oil producer, could leverage this. However, Saudi Arabia opted for the correct approach and maintained consistent oil prices throughout the 1970s. In 1979, the "second oil shock" came from

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3040-612: The Justice Department opened a criminal investigation into the Alaska Airlines blowout. In March 2024, CEO Dave Calhoun and board chairman Larry Kellner both announced they would be stepping down from their positions. In 2006, the UCLA Center for Environmental Risk Reduction released a study showing that Boeing's Santa Susana Field Laboratory , a site that was a former Rocketdyne test and development site in

3135-511: The Netherlands has become a popular choice, as its company laws have fewer requirements for meetings, compensation, and audit committees, and Great Britain had advantages due to laws on withholding dividends and a double-taxation treaty with the United States. Corporations can legally engage in tax avoidance through their choice of jurisdiction but must be careful to avoid illegal tax evasion . Corporations that are broadly active across

3230-558: The OLI framework. The other theoretical dimension of the role of multinational corporations concerns the relationship between the globalization of economic engagement and the culture of national and local responses. This has a history of self-conscious cultural management going back at least to the 60s. For example: Ernest Dichter, architect, of Exxon's international campaign, writing in the Harvard Business Review in 1963,

3325-464: The Third World colonies. That changed dramatically after 1945 as investors turned to industrialized countries and invested in manufacturing (especially high-tech electronics, chemicals, drugs, and vehicles) as well as trade. Sweden's leading manufacturing concern was SKF , a leading maker of bearings for machinery. In order to expand its international business, it decided in 1966 it needed to use

3420-636: The U.S. applies its corporate taxation "extraterritorially", which has motivated tax inversions to change the home state. By 2019, most OECD nations, with the notable exception of the U.S., had moved to territorial tax in which only revenue inside the border was taxed; however, these nations typically scrutinize foreign income with controlled foreign corporation (CFC) rules to avoid base erosion and profit shifting . In practice, even under an extraterritorial system, taxes may be deferred until remittance, with possible repatriation tax holidays , and subject to foreign tax credits . Countries generally cannot tax

3515-541: The United States sanctions against Iran ; European companies faced with the possibility of losing access to the U.S. market by trading with Iran. International investment agreements also facilitate direct investment between two countries, such as the North American Free Trade Agreement and most favored nation status. Raymond Vernon reported in 1977 that of the largest multinationals focused on manufacturing, 250 were headquartered in

3610-506: The United States scrutinizes foreign investments. In addition, corporations may be prohibited from various business transactions by international sanctions or domestic laws. For example, Chinese domestic corporations or citizens have limitations on their ability to make foreign investments outside China, in part to reduce capital outflow . Countries can impose extraterritorial sanctions on foreign corporations even for doing business with other foreign corporations, which occurred in 2019 with

3705-614: The United States as the largest consumer and guarantor of the existing oil security order. Since the Iraq War, OPEC has had only a minor influence on oil prices, but it has expanded to 11 members, accounting for about 40 percent of total global oil production, although this is a decline from nearly 50 percent in 1974. Oil has practically become a common commodity, leading to much more volatile prices. Most OPEC members are wealthy, and most remain dependent on oil revenues, which has serious consequences, such as when OPEC members were pressured by

3800-461: The United States from 2010. The USA became the leading oil producer, creating tension with OPEC. In 2014, Saudi Arabia increased production to push new American producers out of the market, leading to lower prices. OPEC then reduced production in 2016 to raise prices, further worsening relations with the United States. By 2012, only 7% of the world's known oil reserves were in countries that allowed private international companies free rein; 65% were in

3895-629: The United States, 115 in Western Europe, 70 in Japan, and 20 in the rest of the world. The multinationals in banking numbered 20 headquartered in the United States, 13 in Europe, nine in Japan and three in Canada. Today multinationals can select from a variety of jurisdictions for various subsidiaries, but the ultimate parent company can select a single legal domicile ; The Economist suggests that

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3990-766: The VOC in 1799, and during the 19th century, other governments increasingly took over private companies, most notably in British India. During the process of decolonization , the European colonial charter companies were disbanded, with the final colonial corporation, the Mozambique Company , dissolving in 1972. Mining of gold, silver, copper, and oil was a major activity early on and remains so today. International mining companies became prominent in Britain in

4085-507: The West to the post-colonial South and invest either in foreign expenditures or ostentatious economic development projects. After 1974, most of the money from OPEC members ceased as payments for goods and services or investments in Western industry. In February 1974, the first Washington Energy Conference was convened. The most significant contribution of this conference was the establishment of

4180-587: The airplane manufacturer was increasingly losing money due to the COVID-19 pandemic. In May 2022, Boeing announced plans to move its global headquarters from Chicago to Arlington, Virginia , a suburb of Washington, D.C. The company said that this decision was made in part to concentrate on its defense work with "proximity to our customers and stakeholders". After the January 2024 Alaska Airlines Flight 1282 and other incidents, one shareholder proposed relocating

4275-401: The airplane was malfunctioning, and ultimately plummeted nose-down to the ground at terrifying speed". While the investigations into the crashes of the 737 MAX were proceeding, the Boeing 777X , the company's largest capacity twin jet and the largest ever built, made its maiden flight on January 25, 2020, but also experienced problems. Following an incident during flight testing in 2021,

4370-480: The basic 880 was the "-M" version, which incorporated four leading-edge slats per wing, Krueger leading-edge flaps between the fuselage and inboard engines, power-boosted rudder, added engine thrust, increased fuel capacity, stronger landing gear, greater adjustment to seating pitch, and a simpler overhead compartment arrangement. A more major modification to the 880 became the Convair 990 , produced in parallel with

4465-469: The behavior of multinational corporations, given that they are effectively "stateless" actors, is one of several urgent global socioeconomic problems that has emerged during the late twentieth century. Potentially, the best concept for analyzing society's governance limitations over modern corporations is the concept of "stateless corporations". Coined at least as early as 1991 in Business Week ,

4560-742: The collapse of the Shah's regime in Iran. Iran became a regional power due to oil money and American weapons. The Shah eventually abdicated and fled the country. This prompted a strike by thousands of Iranian oil workers, significantly reducing oil production in Iran. Saudi Arabia tried to cope with the crisis by increasing production, but oil prices still soared, leading to the "second oil shock." Saudi Arabia significantly reduced oil production, losing most of its revenues. In 1986, Riyadh changed course, and oil production in Saudi Arabia sharply increased, flooding

4655-654: The companies. This occurred in 1960. Prior to the 1973 oil crisis , the Seven Sisters controlled around 85 percent of the world's petroleum reserves . In the 1970s, most countries with large reserves nationalized their reserves that had been owned by major oil companies. Since then, industry dominance has shifted to the OPEC cartel and state-owned oil and gas companies, such as Saudi Aramco , Gazprom (Russia), China National Petroleum Corporation , National Iranian Oil Company , PDVSA (Venezuela), Petrobras (Brazil), and Petronas (Malaysia). A unilateral increase in oil prices

4750-568: The company was collaborating with Brazilian biofuels maker Tecbio , Aquaflow Bionomic of New Zealand, and other fuel developers around the world. As of 2007, Boeing had tested six fuels from these companies, and expected to test 20 fuels "by the time we're done evaluating them". Boeing also joined other aviation-related members in the Algal Biomass Organization (ABO) in June 2008. Air New Zealand and Boeing are researching

4845-492: The company was renamed United Aircraft and Transport Corporation , followed by the acquisition of several aircraft makers such as Avion, Chance Vought , Sikorsky Aviation , Stearman Aircraft , Pratt & Whitney , and Hamilton Metalplane. In 1931, the group merged its four smaller airlines into United Airlines . In 1934, aircraft manufacturing was required to be separate from air transportation. Therefore, Boeing Airplane Company became one of three major groups to arise from

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4940-419: The company's hiding of information from the safety regulators: a criminal monetary penalty of $ 243.6 million, $ 1.77 billion of damages to airline customers, and a $ 500 million crash-victim beneficiaries fund. In September 2022, Boeing was ordered to pay a further $ 200 million over charges of misleading investors about safety issues related to these crashes. In March 2023, Boeing disputed in court filings that

5035-408: The company. The average salary at Boeing was $ 76,784 in 2011, as reported by former employees. In 2022, Rory Kennedy made a documentary film, Downfall: The Case Against Boeing , streamed by Netflix . She said about the 21st-century history of Boeing "There were many decades when Boeing did extraordinary things by focusing on excellence and safety and ingenuity. Those three virtues were seen as

5130-510: The conception was theoretically clarified in 1993: that an empirical strategy for defining a stateless corporation is with analytical tools at the intersection between demographic analysis and transportation research. This intersection is known as logistics management , and it describes the importance of rapidly increasing global mobility of resources. In a long history of analysis of multinational corporations, we are some quarter-century into an era of stateless corporations—corporations that meet

5225-624: The corporate headquarters back to the Seattle area in hopes of getting engineering and quality control teams on-site access to key decision-makers. Boeing's board soundly dismissed the attempt. In February 2023, Boeing announced plans for laying off approximately 2,000 of its workers from finances and human resources. In May 2023, Boeing acquired autonomous eVTOL air taxi startup Wisk Aero . In June 2024, Boeing agreed to re-acquire Spirit AeroSystems , its longtime supplier of airplane parts, which had been established in 2005 when Boeing spun-off its Wichita division to an investment firm. The deal

5320-429: The crashes through a disintegration of workplace morale . In June 2020, the Federal Aviation Administration found several 737 MAX defects that Boeing deferred to fix, in violation of regulations . In September 2020, the U.S. House of Representatives concluded its own investigation and cited numerous instances where Boeing dismissed employee concerns with a 737 MAX flight stabilizing feature ( MCAS ) that caused

5415-643: The creation of a "world customer". The idea of a global corporate village entailed the management and reconstitution of parochial attachments to one's nation. It involved not a denial of the naturalness of national attachments, but an internationalization of the way a nation defines itself. "Multinational enterprise" (MNE) is the term used by international economist and similarly defined with the multinational corporation (MNC) as an enterprise that controls and manages production establishments, known as plants located in at least two countries. The multinational enterprise (MNE) will engage in foreign direct investment (FDI) as

5510-562: The dissolution of United Aircraft and Transport; the other two entities were United Aircraft (later United Technologies ) and United Airlines. In 1960, the company bought Vertol Aircraft Corporation , which at the time, was the biggest independent manufacturer of helicopters . During the 1960s and 1970s, the company diversified into industries such as outer space travel, marine craft, agriculture, energy production and transit systems. In 1995, Boeing partnered with Russian, Ukrainian, and Anglo-Norwegian organizations to create Sea Launch ,

5605-418: The estimated first delivery of the aircraft was delayed until 2024. After further technical problems were discovered in the aircraft in 2022, the release was delayed again until 2025, six years after the original date. On January 5, 2024, on Alaska Airlines Flight 1282 , a door plug blowout occurred on a 737 MAX 9 jetliner after the plane had reached just over 16,000 feet, leaving a door-sized hole in

5700-481: The firm makes direct investments in host country plants for equity ownership and managerial control to avoid some transaction costs . Sanjaya Lall in 1974 proposed a spectrum of scholarly analysis of multinational corporations, from the political right to the left. He put the business school how-to-do-it writers at the extreme right, followed by the liberal laissez-faire economists, and the neoliberals (they remain right of center but do allow for occasional mistakes of

5795-441: The first time since 2008. On October 12, 2024, the company announced plans to cut 17,000 jobs, about 10% of its global workforce, "to align with our financial reality". It would also delay the first deliveries of its 777X airliner by a year and recorded $ 5 billion in losses in the third quarter of the year. On October 28, Boeing initiated a significant share sale, valued at nearly $ 19 billion, to address cash-flow issues and avoid

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5890-487: The fuselage and the aircraft made an emergency landing at Portland International Airport successfully with several people onboard injured, although all had subsequently been "medically cleared". The FAA mandated immediate inspections of all 737 MAX 9s fitted with door plugs, thereby grounding 171 aircraft. United Airlines found loose bolts on jets grounded by the FAA, raising questions about possible systemic problems with

5985-416: The hands of state-owned companies that operated in one country and sold oil to multinationals such as BP, Shell, ExxonMobil and Chevron. Down through the 1930s, about 80% of the international investments by multinational corporations were concentrated in the primary sector, especially mining (especially oil) and agriculture (rubber, tobacco, sugar, palm oil , coffee, cocoa, and tropical fruits). Most went to

6080-461: The highest-ever tax breaks at the state level in 2013. Boeing's spent US$ 16.9 million on lobbying expenditures in 2009. In the 2008 presidential election , Barack Obama "was by far the biggest recipient of campaign contributions from Boeing employees and executives, hauling in US$ 197,000 – five times as much as John McCain , and more than the top eight Republicans combined". Boeing has

6175-576: The international oil market. Iran was unable to sell any of its oil. In August 1953, the then-prime minister was overthrown by a pro-American dictatorship led by the Shah, and in October 1954, the Iranian industry was denationalized. Worldwide oil consumption increased rapidly between 1949 and 1970, a period known as the 'golden age of oil'. This increase in consumption was caused not only by the growth of production by multinational oil companies but also by

6270-415: The internationalization of production. For the first time in history, production, marketing, and investment are being organized on a global scale rather than in terms of isolated national economies. International business is also a specialist field of academic research. Economic theories of the multinational corporation include internalization theory and the eclectic paradigm . The latter is also known as

6365-406: The key to profit. It could work, and beautifully. And then they were taken over by a group that decided Wall Street was the end-all, be-all." Multinational corporation A multi-national corporation ( MNC ; also called a multi-national enterprise ( MNE ), trans-national enterprise ( TNE ), trans-national corporation ( TNC ), international corporation , or state less corporation , )

6460-460: The largest recipients. However, 70% of foreign direct investment went into developed countries in the form of stocks and cash flows. The rise in the number of multinational companies could be due to a stable political environment that encourages cooperation, advances in technology that enable management of faraway regions, and favorable organizational development that encourages business expansion into other countries. A multinational corporation (MNC)

6555-472: The latter won, and that this may have contributed to the events leading up to the 737 MAX crash crisis. Boeing's corporate headquarters moved from Seattle to Chicago in 2001. In 2018, the company opened its first factory in Europe at Sheffield , UK, reinforced by a research partnership with the University of Sheffield . In May 2020, the company cut over 12,000 jobs due to the drop in air travel during

6650-474: The laws and regulations of both their domicile and the additional jurisdictions where they are engaged in business. In some cases, the jurisdiction can help to avoid burdensome laws, but regulatory statutes often target the "enterprise" with statutory language around "control". As of 1992 , the United States and most OECD countries have the donot legal authority to tax a domiciled parent corporation on its worldwide revenue, including subsidiaries. As of 2019 ,

6745-752: The list of corporations to divest from. Five protesters in solidarity with the Palestinian cause were arrested on felony charges after blocking entrances to a Boeing facility in Heath, Ohio . The student union at Washington University in St. Louis passed a resolution calling on the university to divest from Boeing. The key trends of Boeing are (as at the financial year ending December 31): Between 2010 and 2018, Boeing increased its operating cash flow from $ 3 to $ 15.3   billion, sustaining its share price, by negotiating advance payments from customers and delaying payments to its suppliers. This strategy

6840-494: The market with cheap oil. This caused a worldwide drop in oil prices, hence the "third oil shock" or "counter-shock." However, this shock represented something much bigger—the end of OPEC's dominance and its control over oil prices. Iraqi President Saddam Hussein decided to attack Kuwait. The invasion sparked a crisis in the Middle East, prompting Saudi Arabia to request assistance from the United States. The United States sent

6935-543: The marketplace such as externalities). Moving to the left side of the line are nationalists, who prioritize national interests over corporate profits, then the "dependencia" school in Latin America that focuses on the evils of imperialism, and on the far left the Marxists. The range is so broad that scholarly consensus is hard to discern. Anti-corporate advocates criticize multinational corporations for being without

7030-485: The merger: exclusivity agreements with three US airlines would be terminated, separate accounts would be maintained for the McDonnell-Douglas civil aircraft business, and some defense patents were to be made available to competitors. In 2020, Quartz reported that after the merger there was a "clash of corporate cultures, where Boeing's engineers and McDonnell Douglas's bean-counters went head-to-head", which

7125-560: The price collapse in 1998–1999. The United States still maintains close relations with Saudi Arabia. In 2003, U.S. forces invaded Iraq with the aim of removing the dictatorship and gaining access to Iraqi oil reserves, giving the United States greater strategic importance from 2000 to 2008. During this period, there was a constant shortage of oil, but its consumption continued to rise, maintaining high prices and leading to concerns about "peak oil". From 2005 to 2012, there were advances in oil and gas extraction, leading to increased production in

7220-630: The purchase of their commercial aircraft in countries including Brazil, Canada, Ireland, and the United Arab Emirates , from the Export-Import Bank of the United States , some 65% of the total loan guarantees the bank made in the period. In December 2011, the non-partisan organization Public Campaign criticized Boeing for spending US$ 52.29 million on lobbying and not paying taxes from 2008 to 2010, instead getting US$ 178 million in tax rebates , despite making

7315-611: The realities of the needs of source materials on a worldwide basis and to produce and customize products for individual countries. One of the first multinational business organizations, the East India Company , was established in 1601. After the East India Company came the Dutch East India Company , founded on March 20, 1603, which would become the largest company in the world for nearly 200 years. The main characteristics of multinational companies are: When

7410-519: The second quarter of 2024, compared to the same time period in 2023. The company's operating loss amounted to $ 1.39 billion and its net loss to $ 1.43 billion, while plane deliveries fell to 92 (from 136 in 2023). The company's employment totals are listed below. Approximately 1.5% of Boeing employees are in the Technical Fellowship program, a program through which Boeing's top engineers and scientists set technical direction for

7505-501: The strong influence of the United States on the global oil market. In 1959, companies lowered the price of oil due to a surplus in the market. This reduction dealt a significant blow to the finances of producers. Saudi oil minister Abdullah Tariki and Venezuela’s Juan Perez Alfonso entered into a secret agreement (the Mahdi Pact), promising that if the price of oil was lowered a second time, they would take collective action against

7600-451: The two fatal accidents, prioritized deadline and budget constraints over safety , and lacked transparency in disclosing essential information to the FAA. It further found that the assumption that simulator training would not be necessary had "diminished safety, minimized the value of pilot training , and inhibited technical design improvements". On January 7, 2021, Boeing settled to pay over $ 2.5 billion after being charged with fraud over

7695-492: The victims of Ethiopian Airlines Flight 302 (the 2019 crash) experienced any pain and suffering in the final six minutes as the plane was nosediving into the ground, citing "speed of sound" as a defence. Boeing's claim was described as "preposterous" by HuffPost : Passengers aboard the plane, the plaintiffs argued in court, "undeniably suffered horrific emotional distress, pain and suffering, and physical impact/injury while they endured extreme G-forces, braced for impact, knew

7790-493: The war in Yemen where its missiles were found to be used for indiscriminate attacks, killing many civilians. In 2017 Boeing signed a deal with Saudi Arabia which included Saudi Arabia buying military aircraft and guided missile systems. In 2023, it was reported that Boeing sent 1,000 small diameter bombs for the first week of Israeli air attacks on Gaza that were shipped from a US Air Force base by Israeli Air Force . During

7885-405: The world grounded all 737 MAX airliners. A total of 387 aircraft were grounded. Boeing's reputation, business, and financial rating suffered after the groundings, as Boeing's strategy, governance, and focus on profits and cost efficiency were questioned. In 2022, Netflix released an exposé, Downfall: The Case Against Boeing , claiming Boeing's corporate merger with McDonnell Douglas led to

7980-496: The world market, jobs for locals, and business and profits for companies. Cecil Rhodes (1853–1902) was one of the few businessmen in the era who became Prime Minister (of South Africa 1890–1896). His mining enterprises included the British South Africa Company and De Beers . The latter company practically controlled the global diamond market from its base in southern Africa. In 1945, the United States

8075-573: The world without a concentration in one area have been called stateless or "transnational" (although "transnational corporation" is also used synonymously with "multinational corporation" ), but as of 1992, a corporation must be legally domiciled in a particular country and engage in other countries through foreign direct investment and the creation of foreign subsidiaries. Geographic diversification can be measured across various domains, including ownership and control, workforce, sales, and regulation and taxation. Multinational corporations may be subject to

8170-503: The worldwide revenue of a foreign subsidiary, and taxation is complicated by transfer pricing arrangements with parent corporations. For small corporations, registering a foreign subsidiary can be expensive and complex, involving fees, signatures, and forms; a professional employer organization (PEO) is sometimes advertised as a cheaper and simpler alternative, but not all jurisdictions have laws accepting these types of arrangements. Disputes between corporations in different nations

8265-738: Was assigned to the Naval Air Test Center at NAS Patuxent River , Maryland, and employed in Tomahawk cruise missile testing and aircraft refueling procedures. The UC-880 was damaged in a cargo-hold explosive decompression test at NAS Patuxent River, Maryland, in 1995. The aircraft was judged to still have been controllable using backup systems had the decompression occurred in flight. (♠ = original operators ) Related development Aircraft of comparable role, configuration, and era Related lists Boeing The Boeing Company , or simply Boeing ( / ˈ b oʊ ɪ ŋ / ),

8360-456: Was converted to freighter use in 1974, and flew until 1982 with various companies. Another was used to train FAA flight examiners until it was destroyed by a minor explosion in the cargo hold in 1995. Most of the remaining examples were scrapped by 2000. The United States Navy acquired one 880-M in 1980, modifying it as an in-flight tanker. It had been purchased new from Convair by the FAA, and used for 18 years. Unofficially designated UC-880, it

8455-438: Was enabled by multinational corporations known as the 'Seven Sisters'. The "Seven Sisters" was a common term for the seven multinational companies that dominated the global petroleum industry from the mid-1940s to the mid-1970s. The nationalization of the Iranian oil industry in 1951 by Iranian Prime Minister Mohammad Mosaddegh and the subsequent boycott of Iranian oil by all companies had dramatic consequences for Iran and

8550-739: Was founded by William E. Boeing in Seattle , Washington, on July 15, 1916. The present corporation is the result of the merger of Boeing with McDonnell Douglas on August 1, 1997. As of 2023, the Boeing Company's corporate headquarters is located in the Crystal City neighborhood of Arlington County, Virginia . The company is organized into three primary divisions: Boeing Commercial Airplanes (BCA), Boeing Defense, Space & Security (BDS), and Boeing Global Services (BGS). In 2021, Boeing recorded $ 62.3   billion in sales. Boeing

8645-448: Was fully aware that the means to overcoming cultural resistance depended on an "understanding" of the countries in which a corporation operated. He observed that companies with "foresight to capitalize on international opportunities" must recognize that " cultural anthropology will be an important tool for competitive marketing". However, the projected outcome of this was not the assimilation of international firms into national cultures, but

8740-616: Was initially discussed in March of the same year before being closed on June 30 at $ 4.7 billion. On September 12, 2024, a vote was held among Boeing machinist workers who are also members of the International Association of Machinists and Aerospace Workers (IAM) labor union, with 94.6% of participating members rejected a contract offer that the union's bargaining committee had endorsed, with 96% voting to strike. At 12:01 am on September 13, Boeing workers went on strike for

8835-546: Was labeled as "the largest nonviolent transfer of wealth in human history." The OPEC sought immediate discussions regarding participation in national oil industries. Companies were not inclined to object as the price hike benefited both them and OPEC members. In 1980, the Seven Sisters were entirely displaced and replaced by national oil companies (NOCs). The rise in oil prices burdened developing countries with balance of payments deficits, leading to an energy crisis. OPEC members had to abandon their plan of redistributing wealth from

8930-420: Was second on the list of Top 100 US Federal Contractors , with contracts totaling US$ 22 billion and US$ 23 billion respectively. Between 1995 and early 2021, the company agreed to pay US$ 4.3 billion to settle 84 instances of misconduct, including US$ 615 million in 2006 in relation to illegal hiring of government officials and improper use of proprietary information. Boeing secured

9025-513: Was the world's largest oil producer. However, their reserves were declining due to high demand. Therefore, the United States turned to foreign oil sources, which had a significant impact on the recovery of the West after World War II. Most of the world's oil was found in Latin America and the Middle East, particularly in the Arab states of the Persian Gulf. This increase in non-American production

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