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136-707: BAE Systems plc is a British multinational aerospace , defence and information security company, based in London , England. It is the largest manufacturer in Britain as of 2017. It is the largest defence contractor in Europe and the seventh-largest in the world based on applicable 2021 revenues. Its largest operations are in the United Kingdom and in the United States, where its BAE Systems Inc. subsidiary

272-438: A "core business". On 18 August 2006 Saudi Arabia signed a contract worth £6 billion to £10 billion for 72 Eurofighter Typhoons, to be delivered by BAE Systems. On 10 September 2006 the company was awarded a £2.5 billion contract for the upgrade of 80 Royal Saudi Air Force Tornado IDSs. One of BAE Systems' major aims, as highlighted in the 2005 Annual Report, was the granting of increased technology transfer between

408-538: A "strategic bias" for expansion and investment in the US. The review also confirmed the attractiveness of the land systems sector and, with two acquisitions in 2004 and 2005, BAE moved from a limited land systems supplier to the second largest such company in the world. This shift in strategy was described as "remarkable" by the Financial Times . Between 2008 and early 2011 BAE acquired five cybersecurity companies in

544-413: A 20% share in the new company BAE Systems transferred ownership of its Airbus plants (known as Airbus UK ) to the new company. Despite repeated suggestions as early as 2000 that BAE Systems wished to sell its 20% share of Airbus, the possibility was denied by the company. However, on 6 April 2006 it was reported that it was indeed to sell its stake, then "conservatively valued" at £2.4 billion. Due to

680-459: A World War I bomber would be a Handley Page O/400 . Bombers include light bombers , medium bombers , heavy bombers , dive bombers , and torpedo bombers . Attack aircraft can be used to provide support for friendly ground troops. Some are able to carry conventional or nuclear weapons far behind enemy lines to strike priority ground targets. Attack helicopters attack enemy armor and provide close air support for ground troops. An example of

816-766: 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

952-508: 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

1088-569: A deal worth £800 million. The deal was significant because it was a factor in India's decision to finalise a £1 billion order for 66 Hawks in March 2004. Also in July 2003 BAE Systems and Finmeccanica announced their intention to set up three joint venture companies, to be collectively known as Eurosystems . These companies would have pooled the avionics, C4ISTAR and communications businesses of

1224-449: A difficult relationship with the MoD. This was attributed to deficient project management by the company, but also in part to the deficiencies in the terms of "fixed price contracts". CEO Mike Turner said in 2006 "We had entered into contracts under the old competition rules that frankly we shouldn't have taken". These competition rules were introduced by Lord Levene during the 1980s to shift

1360-429: 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

1496-639: A further 835 jobs would be lost at Filton, near Bristol, and at the shipyards in Govan, Rosyth, and Scotstoun in Scotland. On 9 October 2014, the company announced the loss of 440 management jobs across the country, with 286 of the job cuts in Lancashire. In July 2014 it announced the acquisition of US intelligence company Signal Innovations Group Inc. to augment imagery and data analysis technologies in its Intelligence & Security business. In August 2014, BAE

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1632-427: A greater variety of support roles, notably medical evacuation , and deployed new weapons like air-to-air rockets for use against reconnaissance balloons. Aviation technology advanced rapidly in the interwar period, and military aircraft became increasingly capable. Autogyros and helicopters were also developed at this time. During World War II, military aviation reached new heights. Decisive air battles influenced

1768-460: A high altitude, the radars on the aircraft allow the operators to distinguish between friendly and hostile aircraft hundreds of miles away. AEW&C aircraft are used for both defensive and offensive air operations, and are to the NATO and American trained or integrated air forces what the combat information center is to a naval vessel , plus a highly mobile and powerful radar platform. The system

1904-605: A historical ground-attack aircraft is the Soviet Ilyushin Il-2 . Several types of transport airplanes have been armed with sideways firing weapons as gunships for ground attack. These include the AC-47 and AC-130 gunships. An electronic warfare aircraft is a military aircraft equipped for electronic warfare , i.e. degrading the effectiveness of enemy radar and radio systems. They are generally modified versions of other preexisting aircraft. A recent example would be

2040-431: A major American defence contractor, for £830 million (about US$ 1.4 billion). The 1997 merger of American corporations Boeing and McDonnell Douglas , which followed the formation in 1995 of Lockheed Martin , the world's largest defence contractor, increased the pressure on European defence companies to consolidate. In June 1997, British Aerospace Defence managing director John Weston commented "Europe ...

2176-674: A military transport aircraft a "cargo plane" is inaccurate, because military transport planes are able to carry paratroopers and other personnel. An airborne early warning and control (AEW&C) system is an airborne radar system designed to detect aircraft, ships and ground vehicles at long ranges and control and command the battle space in an air engagement by directing fighter and attack aircraft strikes. AEW&C units are also used to carry out surveillance, including over ground targets and frequently perform C2BM (command and control, battle management) functions similar to an Airport Traffic Controller given military command over other forces. Used at

2312-490: 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

2448-475: A provider of vehicle and individual armour systems and survivability technologies. BAE Systems (and British Aerospace previously) was a technology partner to the McLaren Formula One team from 1996 to December 2007. The partnership originally focused on McLaren's F1 car's aerodynamics, eventually moving on to carbon fibre techniques, wireless systems and fuel management. BAE Systems' main interest in

2584-621: A remote operator. They may have varying degrees of autonomy . UCAVs are often armed with bombs , air-to-surface missiles , or other aircraft ordinance . Their uses typically include targeted killings , precision airstrikes , and air interdictions , as well as other forms of drone warfare . Non-combat roles of military aircraft include search and rescue , reconnaissance , observation/surveillance , Airborne Early Warning and Control , transport , training , and aerial refueling . Many civil aircraft, both fixed wing and rotary wing, have been produced in separate models for military use, such as

2720-429: A sharp increase in interim sales and profits. In August 2023 BAE agreed to acquire the aerospace division of US-based Ball Corporation for $ 5.6 billion in cash (approximately £4.5 billion); this was BAE's largest acquisition up until that point and was completed on 16 February 2024. In October 2023, BAE was awarded a £3.95 billion contract for development work on Aukus-class submarines up to 2028. BAE Systems plays

2856-670: A shift in strategy to take account of reduced spending by governments on "traditional defence items such as warships and tanks". In 2000 Matra Marconi Space , a joint BAE Systems/Matra company, was merged with the space division of DASA to form Astrium . On 16 June 2003 BAE sold its 25% share of Astrium for £84 million, however due to the lossmaking status of the company, BAE Systems invested an equal amount for "restructuring". BAE Systems sold its 54% majority share of BAE Systems Canada , an electronics company, in April for CA$ 310 (approx. £197 million as of December 2010). In November 2001,

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2992-635: A shock profit warning due to cost overruns of the Nimrod MRA4 maritime reconnaissance/attack aircraft and the Astute -class submarine projects. On 19 February 2003 BAE took a charge of £750 million against these projects and the Ministry of Defence (MoD) agreed to pay a further £700 million of the cost. In 2000 the company had taken a £300 million "loss charge" on the Nimrod contract which

3128-527: A significant role in the production of military equipment. In 2017, 98% of BAE Systems' total sales were military related. It plays important roles in military aircraft production. The company's Typhoon fighter is one of the main front line aircraft of the RAF. The company is a major partner in the F-35 Lightning II programme. Its Hawk advanced jet trainer aircraft has been widely exported. In July 2006,

3264-547: A single engine and require one pilot to operate, while others have two or more engines and require crews of two or more. A limited number of bombers, such as the B-2 Spirit , have stealth capabilities that keep them from being detected by enemy radar. An example of a conventional modern bomber would be the B-52 Stratofortress . An example of a World War II bomber would be a B-17 Flying Fortress . An example of

3400-688: A variety of weapons, including machine guns, autocannons, rockets , guided missiles, and bombs . Many modern fighters can attack enemy fighters from a great distance, before the enemy even sees or detects them. Examples of such fighters include the F-35 Lightning II , F-22 Raptor , F-15 Eagle , and Su-27 . Bombers are normally larger, heavier, and less maneuverable than fighter aircraft. They are capable of carrying large payloads of bombs, torpedoes or cruise missiles. Bombers are used almost exclusively for ground attacks and are not fast or agile enough to take on enemy fighters head-to-head. Some have

3536-456: A £1.6 billion contract awarded to BAE for the delivery of 55 Pilatus PC-21 and 22 BAE Systems Hawk aircraft. The Sultanate of Oman ordered Typhoon and Hawk aircraft worth £2.5 billion in December 2012. In September 2012, it was reported that BAE Systems and EADS had entered merger talks which would have seen BAE shareholders own 40% of the resulting organisation. On 10 October 2012,

3672-474: Is headquartered at the existing facility in Telford, Shropshire. In August 2020 BAE Systems completed the purchase of United Technologies ' military GPS businesses for $ 1.9 billion and Raytheon 's military airborne radios business for $ 275 million. The sale of these two business was a condition of the merger approval that saw their two parent companies merge to form Raytheon Technologies . In November 2020,

3808-430: Is included. In comparison, the second largest supplier is Babcock International Group and its subsidiaries, with a revenue of £1.1 billion from the MoD. Oxford Economic Forecasting states that in 2002 the company's UK businesses employed 111,578 people, achieved export sales of £3 billion and paid £2.6 billion in taxes. These figures exclude the contribution of Airbus UK. After its creation, BAE Systems had

3944-558: Is indirectly engaged in production of nuclear weapons – through its share of MBDA it is involved with the production and support of the ASMP missile, an air-launched nuclear missile which forms part of the French nuclear deterrent . The company is also the UK's only nuclear submarine manufacturer and thus produces a key element of the United Kingdom's nuclear weapons capability. BAE has operated

4080-410: 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

4216-466: Is one of the six largest suppliers to the US Department of Defense . Its next biggest markets are Saudi Arabia, then Australia; other major markets include Canada, Japan, India, Turkey, Qatar, Oman and Sweden. The company was formed on 30 November 1999 by the £ 7.7 billion purchase of and merger of Marconi Electronic Systems (MES), the defence electronics and naval shipbuilding subsidiary of

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4352-537: Is supporting three times the number of contractors on less than half the budget of the U.S." European governments wished to see the merger of their defence manufacturers into a single entity, a "European Aerospace and Defence Company". As early as 1995, British Aerospace and the German aerospace and defence company DaimlerChrysler Aerospace (DASA) were said to be keen to create a transnational aerospace and defence company. The two companies envisaged including Aérospatiale,

4488-989: Is the name of a specific system currently used by NATO and the USAF and is often used in error to describe similar systems. Reconnaissance aircraft are primarily used to gather intelligence. They are equipped with cameras and other sensors. These aircraft may be specially designed or may be modified from a basic fighter or bomber type. This role is increasingly being filled by military satellites and unmanned aerial vehicles (UAVs). Surveillance and observation aircraft use radar and other sensors for battlefield surveillance, airspace surveillance , maritime patrol , and artillery spotting . They include modified civil aircraft designs, moored balloons and UAVs. Experimental aircraft are designed in order to test advanced aerodynamic, structural, avionic, or propulsion concepts. These are usually well instrumented, with performance data telemetered on radio-frequency data links to ground stations located at

4624-592: Is used offensively to direct fighters to their target locations, and defensively in order to counterattacks by enemy forces, both air and ground. So useful is the advantage of command and control from a high altitude, the United States Navy operates AEW&C aircraft off its Supercarriers to augment and protect its carrier combat information center (CICs). AEW&C is also known by the older terms "airborne early warning" (AEW) and "airborne warning and control system" (AWACS, /ˈeɪwæks/ ay-waks) although AWACS

4760-865: 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

4896-676: The Astute -class submarines, and the Type 26 frigates were all confirmed in the 2010 SDSR. A new generation of nuclear missile submarines, the Dreadnought -class , was ordered in 2016. BAE Systems sold the regional aircraft leasing and asset management arm of its Regional Aircraft business in May 2011. This unit leases the BAe 146 /Avro RJ family, BAe ATP , Jetstream and BAe 748 . The company retained

5032-599: The Boeing P-8 Poseidon , which is based on the Boeing 737-800 airliner. While the term maritime patrol aircraft generally refers to fixed wing aircraft, other aircraft types, such as blimps and helicopters, have also been used in the same roles. Many combat aircraft in the modern day have multirole capabilities. Normally only applied to fixed-wing aircraft, the term signifies the ability to transition between air-to-air and air-to-ground roles, sometimes even during

5168-928: 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

5304-687: The Comet , the world's first commercial jet airliner; Hawker Siddeley , manufacturer of the Harrier , the world's first VTOL attack aircraft; British Aircraft Corporation , co-manufacturer of the Concorde supersonic transport; Supermarine , manufacturer of the Spitfire ; Yarrow Shipbuilders , builder of the Royal Navy 's first destroyers ; Fairfield Shipbuilding and Engineering Company , builder of

5440-485: The Concorde supersonic airliner with Aérospatiale . British Aerospace was a civil and military aircraft manufacturer, as well as a provider of military land systems. The company had emerged from the massive consolidation of UK aircraft manufacturers since World War II. British Aerospace was formed on 29 April 1977, by the nationalisation and merger of the British Aircraft Corporation (BAC),

5576-612: The Department of Trade and Industry which prevented a reference of the merger to the Monopolies and Mergers Commission . These were largely to ensure that the integrated company would tender sub-contracts to external companies on an equal basis with its subsidiaries. Another condition was the " firewalling " of former British Aerospace and MES teams on defence projects such as the Joint Strike Fighter (JSF). In 2007

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5712-629: The EA-18G Growler , which is a modified version of the F/A-18F Super Hornet . A maritime patrol aircraft is a fixed-wing military aircraft designed to operate for long durations over water in maritime patrol roles—in particular anti-submarine , anti-ship , and search and rescue . Some patrol aircraft were designed for this purpose, like the Kawasaki P-1 . Many others are modified designs of pre-existing aircraft, such as

5848-599: The General Electric Company plc (GEC), with British Aerospace , an aircraft, munitions and naval systems manufacturer. BAE Systems is the successor to various aircraft, shipbuilding, armoured vehicle, armaments and defence electronics companies, including the Marconi Company , the first commercial company devoted to the development and use of radio; A.V. Roe and Company , one of the world's first aircraft companies; de Havilland , manufacturer of

5984-537: The Gripen fighter aircraft. In 2005 it reduced this share to 20.5% and in March 2010 announced its intention to sell the remainder. The Times stated that the decision brought "to an end its controversial relationship with the Gripen fighter aircraft". Several of the export campaigns for the aircraft were subject to allegations of bribery and corruption. The company continued its move into support services in May 2010 with

6120-624: The Hawker Siddeley Group and Scottish Aviation . Both BAC and Hawker Siddeley were themselves the result of various mergers and acquisitions. Marconi Electronic Systems was the defence subsidiary of British engineering firm the General Electric Company (GEC), dealing largely in military systems integration , as well as naval and land systems. Marconi's heritage dates back to Guglielmo Marconi 's Wireless Telegraph & Signal Company, founded in 1897. GEC purchased English Electric (which included Marconi) in 1968 and thereafter used

6256-700: The Hawker Siddeley Nimrod and the S-3 Viking that are often equipped to attack with anti-ship missiles and anti-submarine weapons . The primary role of fighters is destroying enemy aircraft in air-to-air combat, as part of both offensive and defensive counter air operations. Many fighters also possess a degree of ground attack capability, allowing them to perform surface attack and close air support missions. In addition to their counter air duties they are tasked to perform escort mission for bombers or other aircraft. Fighters are capable of carrying

6392-809: The Holston Army Ammunition Plant in Tennessee, since 1999, and the Radford Army Ammunition Plant in Radford , Virginia since 2012. BAE Systems' biggest markets are the US 44%, UK 20%, Saudi Arabia 11% and Australia 4%, as of 2022. BAE Systems is the main supplier to the UK MoD ; in 2009/2010 BAE Systems companies in the list of Top 100 suppliers to the MoD received contracts totalling £3.98 billion, with total revenue being higher when other subsidiary income

6528-603: The Italo-Turkish war , and the First Balkan War saw the first naval-air operations. Photoreconnaissance and propaganda leaflet drops followed in the Second Balkan War . Air combat was a notable component of World War I, as fighter aircraft were developed during the war, long-range strategic bombing became a possibility, and airplanes were deployed from aircraft carriers . Airplanes also took on

6664-694: The Lockheed Martin F-35 Lightning II , the Eurofighter Typhoon , the Astute -class submarine , and the Queen Elizabeth -class aircraft carriers . BAE is listed on the London Stock Exchange 's FTSE 100 Index . British Aerospace bought Marconi Electronic Systems for £7.7 billion on 30 November 1999 and merged with it to form BAE Systems. The company is the successor to many of

6800-494: The Panavia Tornado and Eurofighter Typhoon aircraft projects. Merger discussions began between British Aerospace and DASA in July 1998, just as French participation became more likely with the announcement that Aérospatiale was to merge with Matra and emerge with a diluted French government shareholding. A merger was agreed between British Aerospace chairman Richard Evans and DASA CEO Jürgen Schrempp . Meanwhile, GEC

6936-536: The TAI TF Kaan aircraft. On 10 October 2017, BAE announced that it would lay off nearly 2,000 out of its approximately 35,000 employees in Britain, mainly due to an order shortage for the Typhoon fighter. In 2019 BAE Systems sold a 55% share of its UK land business to Rheinmetall . The resultant joint venture (JV), Rheinmetall BAE Systems Land (RBSL), was established in July 2019 following regulatory approval and

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7072-551: The 1920s, the U.S. Navy acquired several non-rigid airships , the first one to see service being the K-1 in 1931. Use by the U.S. as well as other countries continued into World War II . The U.S. Navy retired its last balloons in 1963. Only a handful of lighter-than-air military aircraft were used since, such as the American Blimp MZ-3 , used for research and development by the U.S. Navy from 2006 to 2017. Soon after

7208-483: The 1970s and saw combat in the 1980s. Combat aircraft, or "warplanes", are divided broadly into fighters , bombers , attackers , electronic warfare , maritime , multirole , and unmanned aircraft. Variations exist between them, including fighter-bombers , such as the MiG-23 ground-attack aircraft and the Soviet Ilyushin Il-2 . Also included among combat aircraft are long-range maritime patrol aircraft , such as

7344-670: 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

7480-520: The British government declassified the HERTI (High Endurance Rapid Technology Insertion), an Unmanned Aerial Vehicle (UAV) which can navigate autonomously. It is currently developing a sixth-generation jet fighter aircraft for the RAF marketed as the " Tempest " along with the MoD, Rolls-Royce , Leonardo and MBDA. It is intended to enter service from 2035 replacing the Typhoon aircraft in service with

7616-569: The DASA merger in favour of purchasing its British rival. The merger of British Aerospace and MES was announced on 19 January 1999. Evans stated in 2004 that his fear was that an American defence contractor would acquire MES and challenge both British Aerospace and DASA. The merger created a vertically integrated company which The Scotsman described as "[a combination of British Aerospace's] contracting and platform-building skills with Marconi's coveted electronics systems capability", for example combining

7752-489: The DIS and our profitability and the terms of trade had stayed as they were... then there had to be a question mark about our future in the UK". Lord Levene said in the balance between value for money or maintaining a viable industrial base the DIS "tries as well as it can to steer a middle course and to achieve as much as it can in both directions. ...We will never have a perfect solution." The attraction of MES to British Aerospace

7888-551: 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

8024-575: 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

8160-501: The Marconi brand for its defence businesses (as GEC-Marconi and later Marconi Electronic Systems). GEC's own defence heritage dates back to World War I, when its contribution to the war effort included radios and bulbs. World War II consolidated this position, as the company was involved in important technological advances, notably the cavity magnetron for radar . Between 1945 and 1999, GEC-Marconi/Marconi Electronic Systems became one of

8296-443: The MoD announced the award of a 20-year, £2.4 billion munitions contract to BAE. This will see BAE manufacture 39 different munitions for the UK armed forces and supersedes the 2008 MASS contract. In July 2023, BAE received a related £280 million order to address a munitions shortage caused by the supply of ammunition to Ukraine. In 2022, during the Russian invasion of Ukraine , major arms manufacturers, including BAE Systems, reported

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8432-402: The MoD published the Defence Industrial Strategy (DIS) which has been widely acknowledged to recognise BAE Systems as the UK's "national champion". The government claimed the DIS would "promote a sustainable industrial base, that retains in the UK those industrial capabilities needed to ensure national security." After the publication of the DIS BAE Systems CEO Mike Turner said "If we didn't have

8568-451: 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

8704-434: 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,

8840-495: The RAF. BAE Systems Land and Armaments manufactures the M2/M3 Bradley fighting vehicle family, the US Navy Advanced Gun System (AGS), M113 armoured personnel carrier (APC), M109 Paladin , Archer , M777 howitzer , the British Army's Challenger 2 , Warrior Tracked Armoured Vehicle , Panther Command and Liaison Vehicle , and the SA80 assault rifle . Major naval projects include the Astute -class submarines, Type 26 frigates and Dreadnought -class submarines. BAE Systems

8976-404: 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

9112-636: 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

9248-509: The UK Armed Forces' ammunition and required BAE to modernise its munitions manufacturing facilities. BAE Systems expanded its intelligence and security business with the £531 million purchase of Detica Group in July 2008. It continued this strategy with purchases of Danish cyber and intelligence company ETI for approximately $ 210 million in December 2010, and Norkom Group PLC the following month for €217 million. The latter provides counter fraud and anti-money laundering solutions to

9384-447: The UK and the US. The F-35 (JSF) programme became the focus of this effort, with British government ministers such as Lord Drayson , Minister for Defence Procurement , suggesting the UK would withdraw from the project without the transfer of technology that would allow the UK to operate and maintain F-35s independently. On 12 December 2006, Lord Drayson signed an agreement which allows "an unbroken British chain of command" for operation of

9520-450: 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

9656-506: 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

9792-614: 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

9928-461: 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

10064-576: 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

10200-711: 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

10336-507: 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

10472-412: The aircraft. On 22 December 2006 BAE received a £947 million contract to provide guaranteed availability of Royal Air Force (RAF) Tornados. In May 2007 the company announced its subsidiary BAE Systems Inc. was to purchase Armor Holdings for £2.3 billion (approx. US$ 4.5 billion c. 2007) and completed the deal on 31 July 2007. The company was a manufacturer of tactical wheeled vehicles and

10608-469: 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 ,

10744-503: The burden of risk to the contractor and were in contrast to "cost plus contracts" where a contractor was paid for the value of its product plus an agreed profit. BAE Systems was operating in "the only truly open defence market", which meant it was competing with US and European companies for British defence projects, while they were protected in their home markets. The US defence market is competitive, however largely between American firms, while foreign companies are excluded. In December 2005

10880-885: The civilian Douglas DC-3 airliner, which became the military C-47 Skytrain , and British "Dakota" transport planes, and decades later, the USAF's AC-47 Spooky gunships. Even the fabric-covered two-seat Piper J-3 Cub had a military version. Gliders and balloons have also been used as military aircraft; for example, balloons were used for observation during the American Civil War and during World War I , and military gliders were used during World War II to deliver ground troops in airborne assaults . Military transport (logistics) aircraft are primarily used to transport troops and war supplies. Cargo can be attached to pallets, which are easily loaded, secured for flight, and quickly unloaded for delivery. Cargo also may be discharged from flying aircraft on parachutes , eliminating

11016-742: 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

11152-589: The companies said the merger talks had been called off. The Guardian reported that this was due to the German Government's concern about the "potential size of the French shareholding in the combined company, as well as disagreements over the location of the group's headquarters". In November 2013, BAE Systems announced that shipbuilding would cease in Portsmouth in 2014 with the loss of 940 jobs, and

11288-654: 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

11424-569: The company announced the closure of the Avro Regional Jet ( Avro RJ ) production line at Woodford and the cancellation of the Avro RJX, an advanced series of the aircraft family, as the business was "no longer viable". The final Avro RJ to be completed became the last British civil airliner. In November 2001 BAE sold its 49.9% share of Thomson Marconi Sonar to Thales for £85 million. A further step of European defence consolidation

11560-496: The company proceed with the sale. Shareholders voted in favour and the sale was completed on 13 October. This saw the end of UK-owned involvement in civil airliner production. Airbus Operations Ltd (the former Airbus UK) continued to be the Airbus "Centre of Excellence" for wing production, employing over 9,500 in 2007. In February 2010 BAE Systems announced a £592 million writedown of the former Armor Holdings business following

11696-449: The company's shares. BAE Systems' first annual report identified Airbus, support services to militaries and integrated systems for air, land and naval applications as key areas of growth. It also stated the company's desire to both expand in the US and participate in further consolidation in Europe. BAE Systems described 2001 as an "important year" for its European joint ventures, which were reorganised considerably. The company has described

11832-510: 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

11968-643: 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

12104-645: The debate from a neo-liberal perspective in Storm over the Multinationals (1977). Military aircraft A military aircraft is any fixed-wing or rotary-wing aircraft that is operated by a legal or insurrectionary military of any type. Some military aircraft engage directly in aerial warfare , while others take on support roles: In 1783, when the first practical aircraft (hot-air and hydrogen balloons) were established, they were quickly adopted for military duties. The first military balloon unit

12240-481: 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

12376-727: The first flight of the Wright Flyer , several militaries became interested in powered aircraft. In 1909 the United States Army purchased the Wright Military Flyer , a two-seat observation aircraft, for the Aeronautical Division, U.S. Signal Corps . It served until 1911, by which time powered aircraft had become an important feature in several armies around the world. Airplanes performed aerial reconnaissance and tactical bombing missions in

12512-437: The global financial services industry where its software assists institutions to comply with regulations on financial intelligence and monitoring. BAE Systems inherited British Aerospace's share of Airbus Industrie, which consisted of two factories at Broughton and Filton . These facilities manufactured wings for the Airbus family of aircraft. In 2001 Airbus was incorporated as Airbus SAS, a joint stock company . In return for

12648-560: The government announced that it had agreed to release BAE Systems from ten of the undertakings due to "a change in circumstances". BAE Systems inherited the UK government-owned "golden" share that was established when British Aerospace was privatised. This unique share prevents amendments of certain parts of the company's Articles of Association without the permission of the Secretary of State. These Articles require that no foreign person or persons acting together may hold more than 15% of

12784-416: 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

12920-576: 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

13056-415: 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

13192-538: The lack of scale of this business compared to General Dynamics, BAE Systems executives soon identified the US defence company United Defense Industries (UDI), a major competitor to General Dynamics, as a main acquisition target. On 7 March 2005 BAE announced the £2.25 billion (approx. US$ 4.2 billion c. 2005) acquisition of UDI. UDI, now BAE Systems Land and Armaments , manufactures combat vehicles, artillery systems, naval guns, missile launchers and precision guided munitions. In December 2005, BAE Systems announced

13328-460: 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)

13464-417: The latter to Finmeccanica for €400 million (approx. £270 million c. 2007) in March 2007. In May 2004, it was reported that the company was considering selling its shipbuilding divisions, BAE Systems Naval Ships and BAE Systems Submarines . It was understood that General Dynamics wished to acquire the submarine building facilities at Barrow-in-Furness , while VT Group was said to be interested in

13600-474: 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 ,

13736-478: The loss of the Family of Medium Tactical Vehicles contract in 2009. It was outbid by Oshkosh Corporation for the £2.3 billion ($ 3.7 billion) contract. Land and Armaments had been the "star performer" of BAE Systems' subsidiaries, growing from sales of £482 million in 2004 to £6.7 billion in 2009. BAE Systems inherited British Aerospace's 35% share of Saab AB , with which it produced and marketed

13872-552: The manufacturer of the Eurofighter with the company that provided many of the aircraft's electronic systems; British Aerospace was MES's largest customer. In contrast, DASA's response to the breakdown of the merger discussion was to merge with Aérospatiale to create the European Aeronautic Defence and Space Company ( EADS ), a horizontal integration . Seventeen undertakings were given by BAE Systems to

14008-494: 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

14144-543: 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

14280-423: The most famous British aircraft, defence electronics and warship manufacturers. Predecessor companies built the Comet , the world's first commercial jet airliner; the Harrier "jump jet", the world's first operational vertical/short take-off and landing (VTOL) aircraft; the "groundbreaking" Blue Vixen radar carried by Sea Harrier FA2s and which formed the basis of the Eurofighter's CAPTOR radar; and co-produced

14416-633: The need for landing. Also included in this category are aerial tankers ; these planes can refuel other aircraft while in flight . An example of a transport aircraft is the C-17 Globemaster III . A World War II example would be the C-47 . An example of a tanker craft would be the KC-135 Stratotanker . Transport helicopters and gliders can transport troops and supplies to areas where other aircraft would be unable to land. Calling

14552-442: The other major European aerospace company, but only after its privatisation. The first stage of this integration was seen as the transformation of Airbus from a consortium of British Aerospace, DASA, Aérospatiale and Construcciones Aeronáuticas SA into an integrated company; with this aim British Aerospace and DASA were united against the various objections of Aérospatiale. As well as Airbus, British Aerospace and DASA were partners in

14688-681: The outcome of the war, early jet aircraft flew combat missions, cruise missiles and ballistic missiles were deployed for the first time, airborne troops and cargo parachuted into battle, and the nuclear weapons that ended the war were delivered by air. In the Cold War era, aviation technology continued to advance at an extremely rapid pace. Jet aircraft exceeded Mach 1 and Mach 2, armament focus switched mainly to missiles, aircraft began carrying more sophisticated avionics, air-to-air refueling matured into practicality, and transport aircraft grew in size. Stealth aircraft entered development during

14824-666: The partnership was to learn about the high speed build and operations processes of McLaren. The company announced the acquisition of Tenix Defence , a major Australian defence contractor in January 2008. The purchase was completed on 27 June for A$ 775 million (£373 million) making BAE Systems Australia that country's largest defence contractor. The MoD awarded BAE Systems a 15-year munitions contract in August 2008 worth up to £3 billion, known as Munition Acquisition Supply Solution (MASS). The contract guaranteed supply of 80% of

14960-560: 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

15096-556: The purchase of the marine support company Atlantic Marine for $ 352 million. In September 2010 BAE Systems announced plans to sell the Platform Solutions division of BAE Systems Inc., which the Financial Times estimated could yield as much as £1.3 billion. Despite "considerable expressions of interest", the sale was abandoned in January 2011. The purchases of Queen Elizabeth -class aircraft carriers ,

15232-513: The rationale for expansion in the US; "[it] is by far the largest defence market with spend running close to twice that of the Western European nations combined. Importantly, US investment in research and development is significantly higher than in Western Europe." When Dick Olver was appointed chairman in July 2004 he ordered a review of the company's businesses which ruled out further European acquisitions or joint ventures and confirmed

15368-611: 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

15504-593: The remaining yards on the Clyde . Instead, in 2008 BAE Systems merged its Surface Fleet arm with the shipbuilding operations of VT Group to form BVT Surface Fleet , an aim central to the British Government's Defence Industrial Strategy . On 4 June 2004, BAE Systems outbid General Dynamics for Alvis Vickers , the UK's main manufacturer of armoured vehicles. Alvis Vickers was merged with the company's RO Defence unit to form BAE Systems Land Systems. Recognising

15640-491: The sale of its German naval systems subsidiary, Atlas Elektronik, to ThyssenKrupp and EADS. The Financial Times described the sale as "cut price" because French company Thales bid €300 million, but was blocked from purchasing Atlas by the German government on national security grounds. On 31 January 2006 the company announced the sale of BAE Systems Aerostructures to Spirit AeroSystems, Inc. , having said as early as 2002 that it wished to dispose of what it did not regard as

15776-707: The same mission. An example of a multirole design is the F-15E Strike Eagle , Eurofighter Typhoon , the Rafale Dassault and Panavia Tornado . A World War II example would be the P-38 Lightning . A utility helicopter could also count as a multirole aircraft and can fill roles such as close-air support , air assault , military logistics , CASEVAC , medical evacuation , command and control , and troop transport . Unmanned combat aerial vehicles (UCAV) have no crew, but are controlled by

15912-514: The slow pace of informal negotiations, BAE Systems exercised its put option which saw investment bank Rothschild appointed to give an independent valuation. Six days after this process began, Airbus announced delays to the A380 with significant effects on the value of Airbus shares. On 2 June 2006 Rothschild valued the company's share at £1.87 billion, well below its own analysts' and even EADS's expectations. The BAE Systems board recommended that

16048-501: 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

16184-470: The support and engineering activities of the business. In September 2011, BAE Systems began consultation with unions and workers over plans to cut nearly 3,000 jobs, mostly in the company's military aircraft division. In its 2012 half-year report, the company revealed a 10% decline in revenue in the six months up to 30 June due to falling demand for armaments. In May 2012 the governments of the UK and Saudi Arabia reached an agreement on an arms package which saw

16320-448: The two companies. However the difficulties of integrating the companies in this way led to a re-evaluation of the proposal; BAE Systems' 2004 Annual Report states that "recognising the complexity of the earlier proposed Eurosystems transaction with Finmeccanica we have moved to a simpler model". The main part of this deal was the dissolution of AMS and the establishment of SELEX Sensors and Airborne Systems ; BAE Systems sold its 25% share of

16456-496: 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

16592-573: 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

16728-526: The world's first battlecruiser ; and Vickers Shipbuilding and Engineering , builder of the Royal Navy's first submarines . Since its 1999 formation, BAE Systems has made a number of acquisitions, most notably of United Defense and Armor Holdings of the United States, and has sold its shares in Airbus , Astrium , AMS and Atlas Elektronik . It is involved in several major defence projects, including

16864-430: The world's most important defence contractors . GEC's major defence related acquisitions included Associated Electrical Industries in 1967, Yarrow Shipbuilders in 1985, Plessey companies in 1989, parts of Ferranti 's defence business in 1990, the rump of Ferranti when it went into receivership in 1993/1994, Vickers Shipbuilding and Engineering in 1995 and Kværner Govan in 1999. In June 1998, MES acquired Tracor ,

17000-503: 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

17136-490: Was also under pressure to participate in defence industry consolidation. Reporting the appointment of George Simpson as GEC managing director in 1996, The Independent said "some analysts believe that Mr Simpson's inside knowledge of BAe, a long-rumoured GEC bid target, was a key to his appointment. GEC favours forging a national 'champion' defence group with BAe to compete with the giant US organisations." When GEC put MES up for sale on 22 December 1998, British Aerospace abandoned

17272-639: Was awarded a £248 million contract from the British government to build three new offshore patrol vessels . In October 2014, BAE Systems won a £600 million contract from the MoD to maintain Portsmouth naval base for five years. During 2014 BAE Systems acquired US-based cybersecurity firm Silversky for $ 232.5 million. During Prime Minister Theresa May 's visit to Turkey in January 2017, BAE and TAI officials signed an agreement, worth about £100 million, for BAE to provide assistance in developing

17408-438: 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

17544-499: Was expected to cover "all the costs of completion of the current contract". The troubled Nimrod project would ultimately be cancelled as part of the 2010 Strategic Defence and Security Review (SDSR). The UK government, following a cabinet row described as "one of the most bitter Cabinet disputes over defence contracts since the Westland helicopter affair in 1985", ordered 20 BAE Hawk trainer aircraft with 24 options in July 2003 in

17680-448: 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

17816-473: Was in takeover discussions with TRW , an American aerospace, automotive and defence business. This was prompted by Northrop Grumman 's £4.1 billion (approx. US$ 6 billion c. 2002) hostile bid for TRW in February 2002. A bidding war between BAE Systems, Northrop and General Dynamics ended on 1 June when Northrop's increased bid of £5.1 billion was accepted. On 11 December 2002, BAE Systems issued

17952-546: 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

18088-475: Was largely its ownership of Tracor, a major American defence contractor. Multinational corporation 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

18224-743: Was the French Aerostatic Corps , who in 1794 flew an observation balloon during the Battle of Fleurus , the first major battle to feature aerial observation. Balloons continued to be used throughout the 19th century, including in the Napoleonic Wars and the Franco-Prussian War , for observation and propaganda distribution. During World War I , German Zeppelin airships carried out multiple air raids on British cities, as well as being used for observation. In

18360-402: Was the merger of BAE's share of Matra BAe Dynamics and the missile division of Alenia Marconi Systems (AMS) into MBDA in December. MBDA thus became the world's second largest missile manufacturer. Although EADS (now Airbus SE ) was later reported to be interested in acquiring full control of MBDA, BAE said that, unlike Airbus, MBDA is a "core business". In June 2002, BAE Systems confirmed it

18496-513: 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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