Nowadays it is common that international companies set up their business in developing countries and appointing local workers. Along with the benefit does it outweigh the drawbacks also?

A new trend of moving the production from developed countries to developing ones has become very popular amongst the most companies regardless of their capacity.
Although
this
approach, interestingly, seems to be really beneficial due to several factors,
such
as decreased cost rates for
labor
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labour
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and far less demanding attitudes of local employees, few drawbacks occur to be
unevitable
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inevitable
in some cases. It is a crystal clear fact that
,
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apply
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there are various significant reasons for experiencing an upward trend for relocating the businesses in
develping
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developing
countries and they outweigh the negative aspects of
this
tendency.
First
of all, the descending amounts of
labor
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labour
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cost seem to be charming one for these firms.
Secondly
, people living in developing
countires
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countries
being unaware of higher working standards, safer workplace conditions, better life insurance packets provided by firms, and some other fringe benefits demand none of
b
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the
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eforementioned factors. Only some leaders amongst those employees may found a trade-union and start requiring anything for strengthening their welfare as employees.
However
, there can be several basic drawbacks and some current negative consequences of
this
opinion can be observed in developing countries nowadays.
Firstly
, the companies preferring lowering the standards of environmental protection activities and safety conditions at the workplace while setting their business in
this
type of countries can be an example for it. Interestingly, another disadvantage for
this
issue can be the governments,
such
as China and Vietnam which seem to be less curious about setting higher standards for those foreign companies in order to attract them to increase the average rates of revenue
throughought
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throughout
the country. In conclusion, being accepted as one of the most efficient ways for managing the costs, changing the location of production can really be attracting. Seeing the
unawaresness
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unawareness
awareness
of local
employess
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employees
employers
, entrepreneurs should not be allowed to use the situation in
favor
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favour
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of their own interests, and
m
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the
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ain responsible side for providing these fair conditions is supposed to be governments.
Submitted by gabiba.zakir on

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