Question is in the instruction box Essay Example | Topics and Well Written Essays - 3000 words

Question is in the instruction box - Essay Example Therefore, many of MNCs have developed internal programmes, guidance and management systems, which underpin their commitment to good corporate citizenship, good practices, good business conduct and employee conduct with an aim of achieving successful business performance in the global competitive market. These guidelines employed by MNCs aims to promote the positive values and contributions such as economic, environmental and social advancement in an economy, as well as, enabling companies to achieve appropriate business conduct for efficient business operations. This has been brought forth by the numerous technological as well as operational development that have been realized in the field making the organizations more competitive in a bid to maintain a competitive edge. This research seeks to evaluate the Value and Binding Effect of Internal Codes of Conduct by Multinational Enterprises. ... Corporate codes of conducts have been established and they exist in many MNCs in order to guide the company on the way they operate; thus enabling them to achieve successful business performance in the global competitive market2.The recent study that was carried out by the OECD concluded that most MNCs codes of conduct tend to be highly specific and they deal with the peculiarities of a certain project, location or specific company3. There are different codes of conducts designed to deal with different issues such as industry-specific corporate codes and these guidelines deals with environment; thus labor issues tend to be the most common issues which is being focused under this code of conduct. For instance, many multinational companies in U.S.A such as footwear companies, hardware companies, personal beauty care companies and electronic companies have adopted corporate code of conduct in order to enable them perform their business activities successfully. Multinational companies su ch as MacDonald stores generally support the idea of codes of conduct that standardize rules of corporate behaviors across the industries because it contributes to successful business performance across the globe. Many multinational companies have developed guidelines that help them in effective business operations. OECD countries have established deliberate standards and principles that are accountable for efficient business performance in diverse key areas including industrial relation, workforce, human rights and environmental areas4. The motivation behind adopting these guidelines can be quite complex but MacDonald Inch adopts codes of conduct due to the need of carrying out effective business practices. This is because the