Multinational companies are becoming increasingly common in developing countries. What are the advantages and disadvantages of this?

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Recently,there has been a world preference
of
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for
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a multinational economic
market
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.
This
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has led to
the
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an
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increase in large
business
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investments
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in developing
countries
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as a means for supporting their economy, whereas some people claim that
this
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trend has led to drastic consequences.
This
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phenomenon has its benefits and drawbacks that I will discuss in
this
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essay. On one hand, multinational
companies
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' choice to invest in poor
countries
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has several advantages. The
first
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impact appears as these organizations attempt to solve the local unemployment issue, securing a better life standard for citizens. The investment of Japanese car
companies
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,
for instance
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, in Egypt has
lead
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led
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to
the
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apply
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economic flourishment through offering jobs for Egyptians and
openning
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opening
a prominent domestic
market
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for foreign cars and
its
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their
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original utilities. Not only do these
investments
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play an important role in developing the national financial status, but
also
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they are money savers for
business
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owners to construct their
companies
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in suffering nations. Since the largest amount of human labour
exist
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exists
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in developing
countries
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,
business
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owners prefer to pay low salaries for these in favour of
high profit
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high-profit
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rates from the international
market
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.
Therefore
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, multinational organizations are pivotal to the economy of the developing
countries
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as well as the profits of the
business
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itself. 
On the other hand
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,
openning
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opening
the boarders for global businesses to be established on developing lands has its remarkable disadvantages. These drastic consequences appear in the exploitation of citizens for the sake of the financial
companies
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' goals. In Bangladesh,
for example
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, workers in foreign textile
companies
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work for more than 15 hours daily to earn low salaries in order to secure a reasonable standard of living for their families.
This
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inhumane exploitation does not only affect the workers but
also
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the society where individuals suffer fragmentation and medical issues that are hard to solve by the government.
Thus
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, it is believed that the risks
from
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of
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accepting global
investments
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in poor nations are difficult to ignore.  In conclusion, I believe that developing
countries
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should encourage the open
market
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where they welcome global
investments
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, but these governments should legislate laws to protect their citizens from being exploited and to secure reasonable wages and medical insurance for them.
Hence
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, governments should be aware of the advantages and disadvantages of having international businessmen establishing their organizations locally to protect their individuals.
Submitted by raniafarag999 on

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Word Count

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Aim for between 260 to 290 words in writing task 2. This will ensure a concise essay and will be realistic in terms of time management. You have only 40 minutes to write the essay and you need around 10 minutes of planning time, so you will not be able to write a long essay in 30 minutes.

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Topic Vocabulary:
  • Globalization
  • Multinational corporations (MNCs)
  • Foreign direct investment (FDI)
  • Developing economies
  • Infrastructure development
  • Capacity building
  • Cultural diversity
  • Sustainability
  • Corporate social responsibility (CSR)
  • Technological transfer
  • Economic disparity
  • Market saturation
  • Brain drain
  • Indigenous industries
  • Expatriate management
  • Trade imbalance
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