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97-593: Mars Inc. is an American multinational manufacturer of confectionery , pet food , and other food products and a provider of animal care services, with US$ 45 billion in annual sales in 2022; that year Forbes ranked the company as the fourth-largest privately held company in the United States. Headquartered in McLean, Virginia , the company is entirely owned by the Mars family . Mars operates in four business segments around

194-766: A basis in a national ethos , being ultimate without a specific nationhood, and that this lack of an ethos appears in their ways of operating as they enter into contracts with countries that have low human rights or environmental standards . In the world economy facilitated by multinational corporations, capital will increasingly be able to play workers, communities, and nations off against one another as they demand tax, regulation and wage concessions while threatening to move. In other words, increased mobility of multinational corporations benefits capital while workers and communities lose. Some negative outcomes generated by multinational corporations include increased inequality , unemployment , and wage stagnation . Raymond Vernon presents

291-748: A chain of premium chocolate shops called Ethel M Chocolates . These shops are an outgrowth of the Ethel M premium chocolate business that Forrest Mars started in Las Vegas in 1980 when he became bored with retirement. In 2008, Mars and theBelGroup conducted a research study that resurrected the famous Mars slogan "Work, Rest & Play". Packaged and led the global launch of the Mars Refuel Sports drink. Initiated and implemented sponsorship program "The Mars Refuel Drink Fund". On April 28, 2008, Mars, Incorporated, together with Berkshire Hathaway Incorporated , announced

388-498: A corporation invests in a country in which it is not domiciled, it is called foreign direct investment (FDI). Countries may place restrictions on direct investment; for example, China has historically required partnerships with local firms or special approval for certain types of investments by foreigners, although some of these restrictions were eased in 2019. Similarly, the United States Committee on Foreign Investment in

485-610: A difference to people and the planet through performance. Encompassing themes of Health and Nutrition, Supply Chain, Operations, Products, and Working at Mars, the Principles in Action communication outlines Mars, Incorporated's targets, progress, and ongoing challenges. It also describes its businesses, including Petcare, Chocolate, Wrigley, Food, Drinks, Symbioscience. The company spent more than $ 1.8 million on lobbying during 2008, almost all of it at Patton Boggs , where it has long been one of

582-429: A free market system where there is little government interference. As a result, international wealth is maximized with free exchange of goods and services. To many economic liberals, multinational corporations are the vanguard of the liberal order. They are the embodiment par excellence of the liberal ideal of an interdependent world economy. They have taken the integration of national economies beyond trade and money to

679-458: A genetic test for dogs using cheek swabs to identify breed breakdown, trait tests and health risks in 2007 known as Wisdom Panel. In 2018, Mars Petcare acquired Genoscoper Laboratories, a Finnish animal molecular diagnostics company, "to form the basis for future practical applications in enabling precision healthcare for pets" under its genetic testing unit, Wisdom Health. Wisdom Panel DNA testing expanded to include cats in mid 2021. In Australia,

776-520: A living income to cocoa farmers and traceability/transparency. In its own scorecard on human rights and environmental credentials, Mars states that it has traced the source of their cocoa to 132,000 of the farms that supply their cocoa. A CBS television news investigation in 2023 found children as young as five years old working in the Ghana supply chain of Mars to harvest cocoa for brands such as Snickers and M&Ms. Multinational corporation Most of

873-487: A million troops to help, and by February 1991, Iraqi forces were expelled from Kuwait. Due to the oil boycott from Kuwait and Iran, oil prices rose and quickly recovered. Saudi Arabia once again led OPEC, and thanks to assistance in defending Kuwait, new relations emerged between the USA and OPEC. Operation "Desert Storm" brought mutual dependence among the main oil producers. OPEC continued to influence global oil prices but recognized

970-471: A new subsidiary, called Mars Wrigley Confectionery. In 2017, the company's confectionery segment announced a return to its roots, and opened a new office in Newark, New Jersey . In May 2020, Mars filed a lawsuit against JAB Holding over claims that Jacek Szarzynski, a former JAB Holding executive stole various confidential documents and passed them to the owner of Pret A Manger and Panera Bread . According to

1067-522: A series of chocolate lounges in the Chicago area under the name Ethel's Chocolate Lounge. The concept capitalized on a growing trend of chocolate lounges around the U.S. This was accompanied by the launch of Ethel's Chocolates, a high-end line distinct from the more affordable Ethel M brand. These chocolates, also made in Henderson, were sold online and at Ethel's Chocolate Lounges. The first Nevada-based lounge

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1164-552: Is a popular attraction. A portion of the factory interior is open to the public for free self-guided tours, with windows providing a view of the chocolate-making process. The facility also includes a retail store for the company's products, and a chocolate and wine-tasting room. As of 2011, the factory received 700,000 visitors a year. As of 2016, the factory produces approximately 8 million pieces of chocolate annually. Various fillings are also produced on-site, including peanut butter, caramel, and various fruit-based creams. It

1261-766: Is among the most popular brands, managed by the Mars subsidiary brand Wrigley . During World War II , Wrigley was selling their eponymous gum only to soldiers, while Orbit was sold to the public. Though abandoned shortly after the war, about 30 years later, Orbit came back to America. Franklin Clarence Mars , whose mother taught him to hand dip candy, sold candy by age 19. He started the Mars Candy Factory in 1911 with Ethel V. Mars, his second wife, in Tacoma, Washington . This factory produced and sold fresh candy wholesale, but ultimately

1358-410: Is often handled through international arbitration . The actions of multinational corporations are strongly supported by economic liberalism and free market system in a globalized international society. According to the economic realist view, individuals act in rational ways to maximize their self-interest and therefore, when individuals act rationally, markets are created and they function best in

1455-572: Is susceptible to odors. Ethel M quickly became popular for its liqueur -filled chocolates, which accounted for 5 of the 24 varieties offered at the time. The liqueur candies were sold only in Nevada, one of two states allowing large quantities of liquor in candy, the other being Kentucky. This was another factor for establishing the business in Nevada. Within a few years, retail stores were opened in northern California. Ethel M soon had annual sales of $ 150 million, generated through 70 stores throughout

1552-459: Is the sole production facility for Ethel M products. From 1996 to 2003, the factory also produced seasonal candies for other brands owned by Mars Inc., including Dove , Milky Way , and Snickers . In addition, it has served as a test kitchen for new Mars candies. Mars himself had an apartment above the factory, where he lived during the 1980s while overseeing the company. The apartment was later converted into office and work space. Adjacent to

1649-865: Is usually a large corporation incorporated in one country that produces or sells goods or services in various countries. Two common characteristics shared by MNCs are their large size and centrally controlled worldwide activities. MNCs may gain from their global presence in a variety of ways. First of all, MNCs can benefit from the economy of scale by spreading R&D expenditures and advertising costs over their global sales, pooling global purchasing power over suppliers, and utilizing their technological and managerial experience globally with minimal additional costs. Furthermore, MNCs can use their global presence to take advantage of underpriced labor services available in certain developing countries and gain access to special R&D capabilities residing in advanced foreign countries. The problem of moral and legal constraints upon

1746-687: The Banfield Pet Hospital chain. In October 2015, BluePearl Veterinary Partners was acquired by Mars Petcare division. This acquisition resulted in Mars Petcare becoming the largest pet nutrition and veterinary care provider in the world. In January 2017, Mars Veterinary Health North America announced the US$ 7.7 billion acquisition of Los Angeles-based animal hospital chain VCA Inc. In June 2018, Mars Veterinary Health International and Diagnostics acquired

1843-809: The Dutch East India Company (VOC) founded in 1602. In addition to carrying on trade between Great Britain and its colonies, the British East India Company became a quasi-government in its own right, with local government officials and its own army in India. Other examples include the Swedish Africa Company founded in 1649 and the Hudson's Bay Company founded in 1670. These early corporations engaged in international trade and exploration and set up trading posts. The Dutch government took over

1940-875: The Snickers bar was previously marketed in Ireland and the United Kingdom as Marathon until 1990; in the UK, France, Germany and the Netherlands, also until 1990; Galaxy in the Middle East is known as Dove in America and worldwide. Chocolate and peanut M&M's were introduced in 1980s. Mars Drinks UK, the beverages division of Mars Limited, operates from Slough in Berkshire and specializes in office vending machines. Mars Drinks UK comprises

2037-501: The United States Supreme Court dismissed the lawsuit on the grounds that as the abuse had happened outside the United States, the group did not have standing to file such a lawsuit. Mars scored a yellow rating, the second highest of four possible scores, "Starting to implement good policies", on the 2022 Chocolate Scorecard, which rates all the large chocolate companies on their record in eliminating child labour, providing

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2134-528: The Vegetarian Society 's request for UK vegetarians to register their protests with Mars, generated extensive press and caused the company to abandon the plans shortly thereafter. Mars switched to all-vegetarian sources in the UK. In 2007, Mars came under criticism from People for the Ethical Treatment of Animals (PETA) for funding laboratory experiments on mice, rats, guinea pigs and rabbits, which

2231-650: The 19th century, such as the Rio Tinto company founded in 1873, which started with the purchase of sulfur and copper mines from the Spanish government. Rio Tinto, now based in London and Melbourne , Australia, has made many acquisitions and expanded globally to mine aluminum , iron ore , copper , uranium , and diamonds . European mines in South Africa began opening in the late 19th century, producing gold and other minerals for

2328-587: The 2021 Pennzoil 400 race in Las Vegas, and would do so again for the 2022 event. As of 2024, Ethel M has nine retail locations throughout the Las Vegas Valley, and one at the Glendale Galleria in Glendale, California . The chocolates are also sold at select businesses around the U.S. and through the company's website. The Ethel M Chocolates Factory is located at 2 Cactus Garden Drive in Henderson, and

2425-721: The Chicago factory in 2024. The building will remain in the hands of Chicago's Galewood neighborhood residents. Throughout 2012, Mars contributed $ 376,650 to a $ 46 million political campaign known as "The Coalition Against The Costly Food Labeling Proposition, sponsored by Farmers and Food Producers". This organization was set up to oppose " Proposition 37 ", demanding mandatory labeling of foods containing genetically modified ingredients. In February 2016, Mars stated that it would no longer be using artificial colors in any of its candy products. The company announced that more than 50 of its products would be affected in commitment effort to align with

2522-546: The English language. Senior officials, although mostly still Swedish, all learned English and all major internal documents were in English, the lingua franca of multinational corporations. After the war, the number of businesses having at least one foreign country operation rose drastically from a few thousand to 78,411 in 2007. Meanwhile, 74% of parent companies are located in economically advanced countries. Developing and former communist countries such as China, India, and Brazil are

2619-766: The FLAVIA and KLIX brands which offer branded drinks such as the Starburst Orange Drink , the Maltesers Hot Chocolate and the Galaxy drinks. Mars Drinks also produces coffee and the equipment used to make it. In 1982 FLAVIA was created out of the high demand for coffee in the United Kingdom. Initially marketed as Dimension 3 until 1989, FLAVIA was introduced in France and Germany in 1986 and Japan in 1992 then brought to

2716-557: The International Energy Agency (IEA), enabling states to coordinate policy, gather data, and monitor global oil reserves. In the 1970s, OPEC gradually nationalized the Seven Sisters. The Kingdom of Saudi Arabia, as the only largest world oil producer, could leverage this. However, Saudi Arabia opted for the correct approach and maintained consistent oil prices throughout the 1970s. In 1979, the "second oil shock" came from

2813-431: The Las Vegas Valley. Retail stores were established throughout the area, and eventually in other states. The chocolates are made without preservatives, using recipes created by Ethel Mars. Because the chocolates lack preservatives, they have a short shelf-life. As such, the tourist-driven Las Vegas Valley was deemed ideal for quick product sales. Henderson was also chosen because of its lack of pollution, as chocolate

2910-666: The Linnaeus Group consolidating its position as a leading veterinary provider in the United Kingdom. In 1963, a large factory was opened in Veghel in the Netherlands . This factory has currently the biggest production volume of Mars factories and is one of the biggest chocolate factories in the world. Most confectionery products for Europe were produced in Slough and Veghel. The two factories in Slough were located on Liverpool Road and Dundee Road;

3007-451: The Netherlands has become a popular choice, as its company laws have fewer requirements for meetings, compensation, and audit committees, and Great Britain had advantages due to laws on withholding dividends and a double-taxation treaty with the United States. Corporations can legally engage in tax avoidance through their choice of jurisdiction but must be careful to avoid illegal tax evasion . Corporations that are broadly active across

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3104-545: The OLI framework. The other theoretical dimension of the role of multinational corporations concerns the relationship between the globalization of economic engagement and the culture of national and local responses. This has a history of self-conscious cultural management going back at least to the 60s. For example: Ernest Dichter, architect, of Exxon's international campaign, writing in the Harvard Business Review in 1963,

3201-458: The Third World colonies. That changed dramatically after 1945 as investors turned to industrialized countries and invested in manufacturing (especially high-tech electronics, chemicals, drugs, and vehicles) as well as trade. Sweden's leading manufacturing concern was SKF , a leading maker of bearings for machinery. In order to expand its international business, it decided in 1966 it needed to use

3298-636: The U.S. applies its corporate taxation "extraterritorially", which has motivated tax inversions to change the home state. By 2019, most OECD nations, with the notable exception of the U.S., had moved to territorial tax in which only revenue inside the border was taxed; however, these nations typically scrutinize foreign income with controlled foreign corporation (CFC) rules to avoid base erosion and profit shifting . In practice, even under an extraterritorial system, taxes may be deferred until remittance, with possible repatriation tax holidays , and subject to foreign tax credits . Countries generally cannot tax

3395-493: The United Kingdom and launched the Mars bar . Mars moved its headquarters to McLean, Virginia, in 1984. It is still a family business owned by the Mars family . The company is famous for its secrecy. A 1993 Washington Post Magazine article was a rare raising of the veil, as the reporter was able to see the "M"s being applied to the M&;M's, something that "no outsider had ever before been invited to observe". In 1999, for example,

3492-485: The United Kingdom. Mars brands manufactured for the United Kingdom market but not for the United States include Tunes . Many brands first created and sold in the United Kingdom were later introduced in the United States, including Starburst (original UK brand name Opal Fruits) and Skittles . The brands Twix and Topic were UK based. Milky Way in Europe and worldwide is known as the 3 Musketeers in America. Similarly,

3589-527: The United States sanctions against Iran ; European companies faced with the possibility of losing access to the U.S. market by trading with Iran. International investment agreements also facilitate direct investment between two countries, such as the North American Free Trade Agreement and most favored nation status. Raymond Vernon reported in 1977 that of the largest multinationals focused on manufacturing, 250 were headquartered in

3686-506: The United States scrutinizes foreign investments. In addition, corporations may be prohibited from various business transactions by international sanctions or domestic laws. For example, Chinese domestic corporations or citizens have limitations on their ability to make foreign investments outside China, in part to reduce capital outflow . Countries can impose extraterritorial sanctions on foreign corporations even for doing business with other foreign corporations, which occurred in 2019 with

3783-609: The United States as the largest consumer and guarantor of the existing oil security order. Since the Iraq War, OPEC has had only a minor influence on oil prices, but it has expanded to 11 members, accounting for about 40 percent of total global oil production, although this is a decline from nearly 50 percent in 1974. Oil has practically become a common commodity, leading to much more volatile prices. Most OPEC members are wealthy, and most remain dependent on oil revenues, which has serious consequences, such as when OPEC members were pressured by

3880-461: The United States from 2010. The USA became the leading oil producer, creating tension with OPEC. In 2014, Saudi Arabia increased production to push new American producers out of the market, leading to lower prices. OPEC then reduced production in 2016 to raise prices, further worsening relations with the United States. By 2012, only 7% of the world's known oil reserves were in countries that allowed private international companies free rein; 65% were in

3977-467: The United States in 1996 and to Canada in 1997. Other products such as cappuccino were introduced in 2002 and tea in 2004. In 2018, the Drinks division was sold to Lavazza . Forrest Mars started the pet food industry in Europe, and his Mars Candy Company bought Kal Kan . Forrest Mars changed the name of Kal Kan dog food to Pedigree, and Kal Kan cat food to Whiskas . As of 1991, Mars controlled 60 percent of

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4074-561: The United States, 115 in Western Europe, 70 in Japan, and 20 in the rest of the world. The multinationals in banking numbered 20 headquartered in the United States, 13 in Europe, nine in Japan and three in Canada. Today multinationals can select from a variety of jurisdictions for various subsidiaries, but the ultimate parent company can select a single legal domicile ; The Economist suggests that

4171-738: The VOC in 1799, and during the 19th century, other governments increasingly took over private companies, most notably in British India. During the process of decolonization , the European colonial charter companies were disbanded, with the final colonial corporation, the Mozambique Company , dissolving in 1972. Mining of gold, silver, copper, and oil was a major activity early on and remains so today. International mining companies became prominent in Britain in

4268-498: The West to the post-colonial South and invest either in foreign expenditures or ostentatious economic development projects. After 1974, most of the money from OPEC members ceased as payments for goods and services or investments in Western industry. In February 1974, the first Washington Energy Conference was convened. The most significant contribution of this conference was the establishment of

4365-462: The behavior of multinational corporations, given that they are effectively "stateless" actors, is one of several urgent global socioeconomic problems that has emerged during the late twentieth century. Potentially, the best concept for analyzing society's governance limitations over modern corporations is the concept of "stateless corporations". Coined at least as early as 1991 in Business Week ,

4462-502: The buyout of Wm. Wrigley Jr. Company , the world's largest chewing gum producer, for $ 23 billion in an all-cash deal. The two companies together generated sales of over $ 30 billion in 2008. The company published its Principles in Action communication in September 2011. This communication outlines the history of Mars, its legacy as a business committed to its Five Principles, and the company's goal of putting its Principles into action to make

4559-592: The changes have taken place. It has been said that the company is not likely to stop using coloring entirely, but that the use of artificial coloring will be going away. From May 1, 2007, many Mars products made in the UK became unsuitable for vegetarians . The company announced that it would be using whey made with animal rennet (material from a calf's stomach lining, and a byproduct of veal ), instead of using rennet made by microorganisms, in products including Mars, Twix, Snickers, Maltesers, Bounty, Minstrels and Milky Way. The response from many consumers, particularly

4656-399: The changing preferences of consumers. The company is among more than 12 others which have recently pledged to remove artificial colors from its products. Given the fact that the company will be replacing the artificial dyes in its products, Mars has also said that consumers should prepare themselves for the transition process in terms of special packaging and colors being used to indicate that

4753-485: The closing of the transaction. In 1932, Forrest Mars Sr. opened what was then Mars (Europe) headquarters, and remains Mars (UK) headquarters in Slough, Berkshire on the then-new Slough Trading Estate , after a disagreement with his father, Franklin Clarence Mars . In this factory, he produced the first Mars bar , based on the American Milky Way . The company branch is currently known as Mars Food UK Limited in

4850-728: The collapse of the Shah's regime in Iran. Iran became a regional power due to oil money and American weapons. The Shah eventually abdicated and fled the country. This prompted a strike by thousands of Iranian oil workers, significantly reducing oil production in Iran. Saudi Arabia tried to cope with the crisis by increasing production, but oil prices still soared, leading to the "second oil shock." Saudi Arabia significantly reduced oil production, losing most of its revenues. In 1986, Riyadh changed course, and oil production in Saudi Arabia sharply increased, flooding

4947-650: The companies. This occurred in 1960. Prior to the 1973 oil crisis , the Seven Sisters controlled around 85 percent of the world's petroleum reserves . In the 1970s, most countries with large reserves nationalized their reserves that had been owned by major oil companies. Since then, industry dominance has shifted to the OPEC cartel and state-owned oil and gas companies, such as Saudi Aramco , Gazprom (Russia), China National Petroleum Corporation , National Iranian Oil Company , PDVSA (Venezuela), Petrobras (Brazil), and Petronas (Malaysia). A unilateral increase in oil prices

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5044-529: The company aided and abetted their enslavement on cocoa plantations in Ivory Coast . The suit accused Mars (along with Nestlé , Cargill , Barry Callebaut , Olam International , the Hershey Company , and Mondelez International ) of knowingly engaging in forced labor, and the plaintiffs sought damages for unjust enrichment, negligent supervision, and intentional infliction of emotional distress. In June 2021,

5141-525: The company did not acknowledge that Forrest Mars Sr. had died or that he had worked for the company. In 2001, Mars purchased the Lucas candy company. In 2004, Lucas was discontinued when high amounts of lead were found inside of their candies. Mars's purchase of Doane Petcare Company in June 2007 significantly increased Mars's position in the U.S. dry pet food category. In addition to these businesses, Mars also operates

5238-510: The conception was theoretically clarified in 1993: that an empirical strategy for defining a stateless corporation is with analytical tools at the intersection between demographic analysis and transportation research. This intersection is known as logistics management , and it describes the importance of rapidly increasing global mobility of resources. In a long history of analysis of multinational corporations, we are some quarter-century into an era of stateless corporations—corporations that meet

5335-643: The creation of a "world customer". The idea of a global corporate village entailed the management and reconstitution of parochial attachments to one's nation. It involved not a denial of the naturalness of national attachments, but an internationalization of the way a nation defines itself. "Multinational enterprise" (MNE) is the term used by international economist and similarly defined with the multinational corporation (MNC) as an enterprise that controls and manages production establishments, known as plants located in at least two countries. The multinational enterprise (MNE) will engage in foreign direct investment (FDI) as

5432-476: The current largest and most influential companies are publicly traded multinational corporations, including Forbes Global 2000 companies. The history of multinational corporations began with the history of colonialism . The first multi-national corporations were founded to set up colonial "factories" or port cities. The two main examples were the British East India Company founded in 1600 and

5529-608: The debate from a neo-liberal perspective in Storm over the Multinationals (1977). Ethel M Chocolate Factory Ethel M Chocolates is an American chocolate manufacturer and retailer, based in Henderson, Nevada . It was founded by Forrest Mars Sr. in 1981, and is named after his mother, Ethel Mars. The company produces preservative-free chocolates using her recipes. It has been owned by Mars Inc. since 1988. Ethel M Chocolates

5626-402: The display included approximately 50,000 lights. This later grew to 500,000, with the display taking two months to complete. Since 2015, the cactus garden has also been lit up for Valentine's Day with the "Lights of Love" display. In the mid-1990s, Ethel M added an on-site water treatment facility for the factory's dirty dishwater, which is re-used for landscaping. The treatment facility

5723-451: The division operates three sites that are located in Wodonga, Victoria (established in 1967 for manufacture of wet pet food); Bathurst, New South Wales (established in the 1980s for manufacture of dry pet food); and Brisbane, Queensland (for manufacture of birdcare products). Mars Petcare manufactures the 'Trill' birdseed range. In 2007, Mars, Incorporated purchased a significant stake in

5820-405: The factory is Ethel M's 3-acre (1.2 ha) Botanical Cactus Garden, also open for free self-guided tours. It includes more than 300 cactus and desert plant species. The garden opened in September 1981, and averaged 300 to 400 visitors per day during its early years. Since 1994, the cactus garden has been decorated at the end of each year with holiday lights to celebrate Christmas. Early on,

5917-424: The farm level (see below). The Washington Post noted that the commitment taken in 2001 to eradicate such practices within 4 years had not been kept, neither at the due deadline of 2005, nor within the revised deadlines of 2008 and 2010, and that the result was not likely to be achieved for 2020 either. In 2021, Mars was named in a class action lawsuit filed by eight former child slaves from Mali who alleged that

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6014-481: The firm makes direct investments in host country plants for equity ownership and managerial control to avoid some transaction costs . Sanjaya Lall in 1974 proposed a spectrum of scholarly analysis of multinational corporations, from the political right to the left. He put the business school how-to-do-it writers at the extreme right, followed by the liberal laissez-faire economists, and the neoliberals (they remain right of center but do allow for occasional mistakes of

6111-504: The first Fairtrade labeled Mars product and to work together to enable farmers to have sustainable livelihoods and substantially increased productivity. The first Mars product to carry the Fairtrade mark was Maltesers, which appeared in stores in 2012 in the UK and Ireland. In 2019, Mars announced that they could not guarantee that their chocolate products were free from child slave labor, as they could trace only 24% of their purchasing back to

6208-663: The first in 23 years, was established in 2014 at a cost of $ 270 million and is situated in Topeka, Kansas . Their Canadian facilities are located in Bolton and Newmarket, Ontario . In November 2020, Mars acquired full ownership of snack food company Kind North America for $ 5 billion. Two years later in December 2022, it was announced Mars had acquired the West Valley City -headquartered whole-fruit snacking brand, Trü Frü. A further acquisition

6305-459: The group alleges are inhumane and in violation of the company's own policies prohibiting experiments on animals. One study was conducted in collaboration with the Salk Institute regarding angiogenesis and spatial memory , in which mice were given an ad-lib diet that included epicatechin , plant-derived flavonoid. One of the experiments involved groups of control and experimental animals,

6402-416: The hands of state-owned companies that operated in one country and sold oil to multinationals such as BP, Shell, ExxonMobil and Chevron. Down through the 1930s, about 80% of the international investments by multinational corporations were concentrated in the primary sector, especially mining (especially oil) and agriculture (rubber, tobacco, sugar, palm oil , coffee, cocoa, and tropical fruits). Most went to

6499-466: The international oil market. Iran was unable to sell any of its oil. In August 1953, the then-prime minister was overthrown by a pro-American dictatorship led by the Shah, and in October 1954, the Iranian industry was denationalized. Worldwide oil consumption increased rapidly between 1949 and 1970, a period known as the 'golden age of oil'. This increase in consumption was caused not only by the growth of production by multinational oil companies but also by

6596-415: The internationalization of production. For the first time in history, production, marketing, and investment are being organized on a global scale rather than in terms of isolated national economies. International business is also a specialist field of academic research. Economic theories of the multinational corporation include internalization theory and the eclectic paradigm . The latter is also known as

6693-501: The largest CPG transaction since the merger between Kraft and H.J. Heinz in 2015. The agreement has been unanimously approved by the Board of Directors of Kellanova. The transaction is subject to Kellanova shareholder approval and other customary closing conditions, including regulatory approvals, and is expected to close within the first half of 2025. The transaction agreement permits Kellanova to declare and pay quarterly dividends that are consistent with historical practice prior to

6790-408: The largest lobbying clients. Mars also spent $ 10,000 at Skadden, Arps, Slate, Meagher & Flom . In 2009, Mars also hired Ernst & Young to lobby on corporate and international tax issues, including issues related to tax changes proposed by the Obama administration . The company spent another $ 1,655,000 that year. In 2016, Mars announced the merger of its chocolate and Wrigley segments to form

6887-460: The largest recipients. However, 70% of foreign direct investment went into developed countries in the form of stocks and cash flows. The rise in the number of multinational companies could be due to a stable political environment that encourages cooperation, advances in technology that enable management of faraway regions, and favorable organizational development that encourages business expansion into other countries. A multinational corporation (MNC)

6984-468: The latter of which were housed individually in cages that included a running wheel for optional exercise for two hours a day. The former, also housed individually, did not have access to a running wheel. Another experiment was the classical spatial memory assay, the Morris water maze , in which experimenters had mice swim in water mixed with white paint that concealed the water depth. The study, which Mars contends

7081-474: The laws and regulations of both their domicile and the additional jurisdictions where they are engaged in business. In some cases, the jurisdiction can help to avoid burdensome laws, but regulatory statutes often target the "enterprise" with statutory language around "control". As of 1992 , the United States and most OECD countries have the donot legal authority to tax a domiciled parent corporation on its worldwide revenue, including subsidiaries. As of 2019 ,

7178-815: The lawsuit, over 6,000 Mars internal documents, including detailed financial results, strategic planning documents, and potential acquisition targets, were illegally downloaded. In the United States, the company has 22 manufacturing facilities in Hackettstown, New Jersey ; Albany, Georgia ; Burr Ridge, Illinois ; Minneapolis, Minnesota ; Chicago, Illinois ; and Mattoon, Illinois ; Cleveland, Tennessee ; Chattanooga, Tennessee ; Columbia, South Carolina ; Columbus, Ohio ; Elizabethtown, Pennsylvania ; Greenville, Mississippi ; Greenville and Waco, Texas ; Henderson and Reno, Nevada ; Fort Smith, Arkansas ; Joplin, Missouri ; Kansas City, Missouri; Miami, Oklahoma ; and Galena, Kansas . Their newest chocolate producing facility,

7275-434: The market with cheap oil. This caused a worldwide drop in oil prices, hence the "third oil shock" or "counter-shock." However, this shock represented something much bigger—the end of OPEC's dominance and its control over oil prices. Iraqi President Saddam Hussein decided to attack Kuwait. The invasion sparked a crisis in the Middle East, prompting Saudi Arabia to request assistance from the United States. The United States sent

7372-531: The marketplace such as externalities). Moving to the left side of the line are nationalists, who prioritize national interests over corporate profits, then the "dependencia" school in Latin America that focuses on the evils of imperialism, and on the far left the Marxists. The range is so broad that scholarly consensus is hard to discern. Anti-corporate advocates criticize multinational corporations for being without

7469-592: The move and expressed hope that it would include a provision for fair wages for laborers and farmers. In 2010, Mars Inc. received the U.S. Secretary of State's Award for Corporate Excellence. In April 2010, Mars launched the MyCocoaPaper initiative, which claims to provide economic opportunities to women and families in Indonesia by making paper products out of cocoa bark and recycled office paper. In 2011, Mars and Fairtrade International announced an agreement to introduce

7566-714: The one on Liverpool Road closed in 2007, with Twix production moving to the Netherlands and Starburst production moving to the Czech Republic . The major production plant for Mars confectionery products in Australia is in Ballarat , Victoria. There is one factory outside of Hershey, Pennsylvania , located in Elizabethtown, Pennsylvania . The factory in Chicago, Illinois , has its own commuter rail station, simply named Mars . The company announced in early 2022 that it intends to close

7663-506: The pet food market, both in volume and value. Whiskas was the number one brand. As of 1994, Mars was the leading pet food company worldwide with $ 4 billion in sales. In February 2003, Mars acquired Aquarium Pharmaceuticals, Inc. (API, incorporated in 1964) and in 2007 it was renamed Mars Fishcare, Inc. The company manufactures and supplies home aquarium and pond products. Mars Fishcare brands include: Aquarium Pharmaceuticals (API) , RENA , AQUARIAN , and PondCare . The company introduced

7760-560: The price collapse in 1998–1999. The United States still maintains close relations with Saudi Arabia. In 2003, U.S. forces invaded Iraq with the aim of removing the dictatorship and gaining access to Iraqi oil reserves, giving the United States greater strategic importance from 2000 to 2008. During this period, there was a constant shortage of oil, but its consumption continued to rise, maintaining high prices and leading to concerns about "peak oil". From 2005 to 2012, there were advances in oil and gas extraction, leading to increased production in

7857-595: The realities of the needs of source materials on a worldwide basis and to produce and customize products for individual countries. One of the first multinational business organizations, the East India Company , was established in 1601. After the East India Company came the Dutch East India Company , founded on March 20, 1603, which would become the largest company in the world for nearly 200 years. The main characteristics of multinational companies are: When

7954-495: The strong influence of the United States on the global oil market. In 1959, companies lowered the price of oil due to a surplus in the market. This reduction dealt a significant blow to the finances of producers. Saudi oil minister Abdullah Tariki and Venezuela’s Juan Perez Alfonso entered into a secret agreement (the Mahdi Pact), promising that if the price of oil was lowered a second time, they would take collective action against

8051-517: The venture failed because there was a better established business, Brown & Haley , also operating in Tacoma. By 1920, Mars had returned to his home state, Minnesota , where the earliest incarnation of the present day Mars company was founded that year as Mar-O-Bar Co., in Minneapolis and later incorporated there as Mars, Incorporated. Forrest Mars Sr. , son of Frank and his first wife, Ethel G. Mars,

8148-483: The western United States. Ethel M was purchased by Mars Inc. in 1988, and Mars himself soon moved to Miami. By 1991, Ethel M had 50 stores across Arizona, California, and Nevada. Further states were excluded, due to the negative effects that long shipping times had on the chocolates. Ethel M had 500 workers as of 2003, and was among the largest manufacturing employers in Henderson. It had 15 retail outlets at that time, 13 of them in Nevada. In 2005, Mars Inc. debuted

8245-484: The world market, jobs for locals, and business and profits for companies. Cecil Rhodes (1853–1902) was one of the few businessmen in the era who became Prime Minister (of South Africa 1890–1896). His mining enterprises included the British South Africa Company and De Beers . The latter company practically controlled the global diamond market from its base in southern Africa. In 1945, the United States

8342-573: The world without a concentration in one area have been called stateless or "transnational" (although "transnational corporation" is also used synonymously with "multinational corporation" ), but as of 1992, a corporation must be legally domiciled in a particular country and engage in other countries through foreign direct investment and the creation of foreign subsidiaries. Geographic diversification can be measured across various domains, including ownership and control, workforce, sales, and regulation and taxation. Multinational corporations may be subject to

8439-773: The world: Mars Wrigley Confectionery (headquartered in Chicago, Illinois , with U.S. headquarters in Hackettstown and Newark, New Jersey ), Petcare ( Zaventem, Belgium ; Poncitlán, Jalisco, Mexico ; Querétaro, Mexico ), Food ( Rancho Dominguez, California ), and MARS Edge ( Germantown, Maryland ), the company's life sciences division. Mars is a company known for the confectionery items that it manufactures, such as Mars bars , 3 Musketeers , Milky Way bars , M&M's , Skittles , Snickers , Twix , and Bounty . It also produces non-confectionery snacks, such as Combos , and other foods, including Ben's Original , and pasta sauce brand Dolmio , as well as pet foods, such as Pedigree , Whiskas , Nutro and Royal Canin brands. Orbit gum

8536-503: The worldwide revenue of a foreign subsidiary, and taxation is complicated by transfer pricing arrangements with parent corporations. For small corporations, registering a foreign subsidiary can be expensive and complex, involving fees, signatures, and forms; a professional employer organization (PEO) is sometimes advertised as a cheaper and simpler alternative, but not all jurisdictions have laws accepting these types of arrangements. Disputes between corporations in different nations

8633-488: Was enabled by multinational corporations known as the 'Seven Sisters'. The "Seven Sisters" was a common term for the seven multinational companies that dominated the global petroleum industry from the mid-1940s to the mid-1970s. The nationalization of the Iranian oil industry in 1951 by Iranian Prime Minister Mohammad Mosaddegh and the subsequent boycott of Iranian oil by all companies had dramatic consequences for Iran and

8730-652: Was founded by Forrest Mars Sr. , who previously oversaw Mars Inc. , known for its candy products. Mars retired from the eponymous company in 1973, but soon grew bored. In 1979, he was planning a new candy venture named after his mother, Ethel Gale Mars (nee Kissack). Mars and his mother had moved to the Las Vegas Valley in 1975, and she lived there until her death in April 1980, at the age of 97. The company's factory began operations in March 1981, in Henderson, Nevada , part of

8827-448: Was fully aware that the means to overcoming cultural resistance depended on an "understanding" of the countries in which a corporation operated. He observed that companies with "foresight to capitalize on international opportunities" must recognize that " cultural anthropology will be an important tool for competitive marketing". However, the projected outcome of this was not the assimilation of international firms into national cultures, but

8924-561: Was inspired by a popular type of milkshake in 1923, to introduce the Milky Way bar, advertised as a "chocolate malted milk in a candy bar", which became the best-selling candy bar. In 1929, Frank moved the company to Chicago and started full production in a plant which still exists today. In 1930, Frank Mars created the Snickers bar and first sold it in US markets. In 1932, Mars introduced the 3 Musketeers bar. The same year, Forrest started Mars Limited in

9021-546: Was labeled as "the largest nonviolent transfer of wealth in human history." The OPEC sought immediate discussions regarding participation in national oil industries. Companies were not inclined to object as the price hike benefited both them and OPEC members. In 1980, the Seven Sisters were entirely displaced and replaced by national oil companies (NOCs). The rise in oil prices burdened developing countries with balance of payments deficits, leading to an energy crisis. OPEC members had to abandon their plan of redistributing wealth from

9118-577: Was legally required in order for the company to make flavonoid-related health claims, showed that the inclusion of epicatechin in the diet improved memory and angiogenesis, more so if coupled with exercise. Mars has been criticized for buying cocoa beans from West African farmers who reportedly use unpaid or poorly paid child laborers. In 2009, Mars announced that the company would work towards only purchasing cocoa from suppliers who meet environmental, labor, and production standards. TransFair USA , an organization which certifies products as Fair Trade, applauded

9215-529: Was made in November 2023 when Mars purchased the Hotel Chocolat for £534 million. On August 14, 2024, Mars Inc. and Kellanova entered into a definitive agreement under which Mars will acquire Kellanova for $ 83.50 per share in cash, for a total consideration of $ 35.9 billion, including assumed net leverage. According to the companies, this is the largest acquisition of 2024 to date, while analysts described it as

9312-812: Was opened in 2006, at the Fashion Show Mall on the Las Vegas Strip . The Chicago lounges underperformed during the Great Recession , and were closed in 2009. In 2017, Ethel M revived two chocolate bar varieties: Mars , which had been discontinued in 2002; and Forever Yours , discontinued in 1979. Ethel M partnered with the Vegas Golden Knights hockey team in 2017, a deal which included featuring its chocolate at games. Ethel M, in celebration of its 40th anniversary, also sponsored NASCAR driver Kyle Busch and his No. 18 Toyota Camry race car in

9409-503: Was the world's largest oil producer. However, their reserves were declining due to high demand. Therefore, the United States turned to foreign oil sources, which had a significant impact on the recovery of the West after World War II. Most of the world's oil was found in Latin America and the Middle East, particularly in the Arab states of the Persian Gulf. This increase in non-American production

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