MULTINATIONAL CORPORATION AND NIGERIAN ECONOMIC DEVELOPMENT: STUDY OF SHELL PETROLEUM DEVELOPMENT COMPANY

ABSTRACT Multinational corporations (MNCs) play a significant role in the economic development of host countries, particularly in resource-rich nations like Nigeria. This study examines the impact of MNCs on Nigeria’s economic development, with a focus on Shell Petroleum Development Company. Using Stakeholder Theory as a framework, the research explores how Shell’s operations influence key economic indicators such as employment generation, foreign direct investment (FDI), and infrastructure development. Additionally, the study assesses the socio - economic and environmental consequences of Shell’s activities, particularly in the Niger Delta region. Findings reveal that while Shell has made substantial contributions to Nigeria’s economy through revenue generation and investment, its operations have also led to significant environmental degradation, social unrest, and perceived economic marginalization of host communities. The study highlights the effectiveness of government regulatory policies in managing MNC operations and ensuring sustainable development. However, gaps in policy implementation and enforcement remain major challenges. The study recommends strengthening regulatory frameworks, improving corporate social responsibility (CSR) initiatives, enforcing environmental standards, and fostering stakeholder engagement to ensure that MNCs contribute more meaningfully to Nigeria’s sustainable development. By addressing these issues, Nigeria can maximize the benefits of MNC activities while mitigating their negative impacts on local communities and the environment.