Responses of a Multinational Corporation to the Problem of Surplus Capacity

It is difficult to generalise about the responses of the multinational corporation (MNC) to the problems of surplus capacity. One can well conceive that the responses of, say, a multinational mining corporation could be very different from those of a multinational car manufacturer, whose responses in turn could be expected to differ very much from those of a multinational petrochemicals producer. The petrochemicals industry is the concern and field of expertise, such as it is, of the present writer, and some of the subsequent discussion will be made with the petrochemicals industry in particular in mind.