Singapore’s economy is ready to soar: 2011 looks forward to 5-7% growth
Singapore Island was found for trading purpose. As a known fact Singapore was found by Raffles in 1819. British started developing Singapore as well as Penang Islands for the purpose of trading. Due to the rapid growth Singapore soon became one of the best trading centres in the world. Due to the growth of the global shipping industries Singapore became more prosperous. Initial industries were in manufacturing sector. Gradually it became one of the most important centres of manufacturing business.
Due to this prosperity a lot of immigrants such as Indian, Chinese, Pakistani and European started settling in Singapore. Almost from entire world people started settling in Singapore and investing their money in businesses in Singapore. Singapore’s government supports and finds out various plans for new entrepreneurs. With the help of Economic Development Board (EDB), Singapore started developing new businesses. EDB tried successfully to support new entrepreneurs to grow in the market. Later on this board successfully built Singapore’s reputation as one of the best business centres for a new business. It also established the reputation of Singapore where a new business can be started very quickly and easily. In 1980 Singaporean people also faced recession. They started focusing on the knowledge intensive industries. Singapore decided to focus only on few types of industries. Gradually they started shifting their focus on services’ business. Gradually, they started focusing on various services. Singapore started focusing on innovations as well. Now Singapore works in manufacturing as well as technology businesses.
Finance Management in Multinational Companies
Operations of Multinational companies spans across many countries around the globe. The resources they deal with are enormous in volume. They manage resources to the tune of billions of dollars. Therefore, to manage such a volume of resources it is very important to have specialised people on the job. The method that multinational companies follow to manage their finances differs from businesses smaller in size compared to them. Methods of finance management also differ between various multinational companies themselves. The primary factors that multinationals has to take into account while dealing with finance is that their business spans across many countries at one time. Different countries have different laws in such regard. So they have to manage their resources keeping in mind the laws of particular countries in mind & at the same time in a manner which suits their organizational purpose the most. This is the primary area where finance management operations of MNCs differ from other businesses.
Understanding Finance Management:
Different MNCs deploy different operational procedures when it comes to managing their finances. So it is very important that both the investor, no matter how big or small, & the managers know the very basic of finance management of MNCs. Finance management of MNCs varies according to many factors which normally influences the market. Since MNCs operate in many countries at the same time they have to customise their financial practices keeping in mind the laws of those countries. MNCs also handle customers & investors from various countries.