With reference to a transnational corporation (TNC) of your choice, describe its spatial organisation and explain the reasons for its growth.

I will use the example of Alibaba, a Chinese e-commerce company, to show the factors involved in the growth of TNCs. 

Only 17 years after it was founded, Alibaba became the world's biggest retailer in 2016. It has 22,000 employees and operates in over 190 countries. It has become popular with the emerging middle class in Malaysia and Singapore, as well as established markets in the US, Australia and Canada. Whilst it started as an online company, it has begun to build physical shopping malls in China where customers can buy its goods directly. 

There are several factors in its growth. Firstly, the company has invested in huge infrastructural projects that allow it to deliver to customers in hard-to-reach locations. Secondly, it has partnered with foreign companies to improve its presence in these places, for example its joint venture with a digital wallet company in Hong Kong. Finally, it has built a strong brand in China using the face of its founder, Jack Ma. He delivers TED talks across the world and has become an aspirational figure for young people in China. 

Alibaba is likely to continue to grow in the future, by developing new technologies more quickly than its competitors and investing in sustainable growth. For example, it is currently pioneering AliPay where customer pay for goods online by smiling at a Webcam and has invested in a project called Ant Forest, which tracks people's carbon emissions footprints. 

CP
Answered by Charlotte P. Geography tutor

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