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

Nowadays, many big and popular
companies
have several
branchs
Correct your spelling
branches
branch
and firm in some poor
countries
that the number of them
are
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is
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increasing significantly. there is no doubt that
this
phenomenon has some advantages as well as disadvantages. On the one hand, When foreign firm establishes their business in the developing
countries
, plenty of job opportunities are made that noticeable financial benefits for that country's dwellers.
Also
, the
companies
has
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have
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good margins due to use
a
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apply
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labour that
work
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works
show examples
with low salary in comparison with their country's employee .
for example
, now almost 20000 Mexican people work
for
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apply
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in the Nissan factory
that is
on
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one
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of the branch of a Japanese car
company
and their wages are one-
third
of
Japanese
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the Japanese
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workforce.
On the other hand
, some domestic industries cannot flourish because of the famous and rich international
companies
that
has
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have
show examples
the detrimental impact on
economy
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the economy
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of the developing
countries
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, in addition,
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in addition
they cannot be
independent
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an independent
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nation.
For instance
, when a
company
like Apple have a
company
in Asian
countries
, some local
company
, which want to produce a smartphone, technically cannot to
competition
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compete
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with the iPhone because the final price for producing phone is so affordable for the Apple
company
and
also
people prefer to buy the known brand. to conclude, in my idea the multiple
companies
which have a branch in the poor
countries
have more benefits than the people and the government of the destination
countries
. But there is no exaggeration that most of the time these
companies
have
significant
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a significant
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percentage of income for the developing societies.
Submitted by mgolnari6 on

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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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