Empirical research shows that MNC financing decisions are affected by several factors besides cost of capital. MNC affiliates' capital structure is designed to accommodate the imperatives of tax planning, agency costs, host country political risk, the level of creditor rights protection, regulatory restrictions and capital market development in the host country. Additionally, as issuer requirements increase, there can also be [...]
The location of a business and structuring of a company's activities to take advantage of low tax opportunities, with the aim of optimizing taxes, is called tax planning. It is both a tax reduction and tax avoidance mechanism. The objective of tax planning is to reduce (rather than minimize) a group's tax burden and its effective tax rate. MNCs use [...]
Following are names of the most famous multinational companies, who have their headquarters of operational branches based in the nation: 1. IBM 2. Microsoft 3. Nokia Corporation 4. Pepsi Co 5. Ranbaxy Laboratories Limited 6. Reebok International Limited 7. Sony 8. Tata Consultancy Services 9. Vodafone 10. Tata Motors Limited. 1. IBM: IBM India Private Limited, a part of IBM [...]