Article critique requires students to make a critical analysis of another paper, often an essay, book or journal article. Regardless of your major whether it be psychology or economics, for example, you are likely to perform this kind of assignment at some point. For students, it is a great way to explore the research process itself, interpret its results and discuss their impact.
There are several formatting styles, including the Modern Language Association (MLA) format and the American Psychological Association (APA) format, that may be applied when writing critique papers. Each of the styles has its particular rules and guidelines, and unless you follow them carefully, your chances to get low grades for the paper are rather high. In the sample article below, we will use one of the most popular and recommended by professors around the globe formats – APA style.
Article Critique. Multinational Enterprises, Development and Globalization: Some Clarifications and a Research Agenda
The involvement of multinational enterprises (MNEs) in domestic markets has become a key component of the development policy of many developing countries. MNEs can have a decisive impact on the development of countries, but the effectiveness of an FDI-based development strategy depends on a number factors. Article ‘Multinational Enterprises, Development, and Globalization: Some clarifications and a research agenda’ by R. Narula and J. Dunning published in Oxford Development Studies provides in-depth analysis on effects of economic globalization for developing countries that follow a strategy based on attracting MNE investments. The authors use analysis as well as principles of macro- and microeconomics to relate to the subject of MNEs and development, and they try to find a conclusive understanding on how to explain the success of some regions or countries in promoting economic growth, and the failure of others.
Narula and Dunning point out that the MNEs can have a decisive influence on the development of countries. This notion is entirely reasonable, and particularly true considering global imbalances. Nevertheless, though proved more effective, the involvement of such corporations is not the only development strategy that is available to developing countries. The authors do not provide an adequate explanation that only together with other forms of local involvement of MNEs, direct foreign investment can be a direct path to structural change and will help break the vicious circle of poverty and weak development.
There are also some other questionable issues that are concluded in this article. In their review of development strategies of countries, Narula and Dunning provide an example of Asian economies. The authors stress that Japan, Taiwan, and South Korea were the most effective in the involvement of MNEs after the Second World War. These countries pursued a restrictive FDI policy, identifying the priority of technology transfer, licensing and reverse engineering as mechanisms for obtaining foreign knowledge. At the same time, Narula and Dunning provide successful examples neither of other regions nor liberalized FDI policies. It is also worth mentioning that the world has changed significantly over the last three decades, which means that conducting such strategies today will not necessarily lead to the same results.
One factor not addressed in the paper is that FDI flows are not all the same with each other. The quality of FDI received by the country is as important as the quantity. The quality relates to the MNE’s investment motives, mandate, and autonomy of the branches, and this will have a direct impact on the potential of secondary effects from the MNE. Therefore, a feasible policy towards FDI should not be exclusively linked to capital investment, but also consider strengthening the local MNE’s roots.
Taking everything into account, I can conclude that Narula and Dunning give some interesting insights and well thought out on the subject of multinational enterprises’ effects on developing countries. The article provides a substantial amount of data and includes some graphic illustrations. Nonetheless, for a complete evaluation to be made, the authors should focus more on the quality of the investment flows and their secondary effects as well as determine recommendations for different types of developing countries, considering their economic, social and political systems, on the strategies towards MNEs they are to follow.
References:
Narula, R., & Dunning, J. H. (2010). Multinational Enterprises, Development and Globalization: Some Clarifications and a Research Agenda. Oxford Development Studies,38(3), 263-287. doi:10.1080/13600818.2010.505684