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

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The number of foreign companies is growing in poor economic areas.

Although

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there are advantages

such

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as an increase in government revenue and a drop in the unemployment rate of multinational firms,

on the contrary

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disadvantages like environmental pollution and

also

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establishing sweat-shop, which is discussed in

this

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essay. An increase in tax revenue is one of the biggest advantages for these global institutions. The government incomes can be increased by the value addition of tax and corporate tax collection from these big corporations worldwide, which authorities can spend on the country's infrastructural development

such

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as roads and bridges.

Furthermore

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, the governments' unemployment issues can be resolved by attracting investments from these global organisations. Many nations prepared a particular area to attract foreign investments. Bangladesh,

for instance

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, is preparing 100 export processing zones to attract foreign funds, where 10 million people will be employed.

On the other hand

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, these international institutions pollute the local environment from their production waste. Disposable-waste materials related to production pollutes water and air, which increases different health-related diseases to the local community as most global organisations do not try to clean up their manufacturing procedures.

Moreover

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, establishing sweatshops where child labourers work at poor pay tarnish the brand image in local media of these global firms, which does not help the developing states either because of bad press. Bad press in local media of multinationals had resulted in withdrawals of business from poor economic areas.

For example

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, the Rana Plaza building collapse incident in Bangladesh had caused many corporations

such

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as Primark to withdraw their ties from Bangladesh, which did not help the local economy. To conclude, global organizations do help to improve the economic situation of a developing country by eliminating unemployment and lifestyles if disadvantages like environmental pollution and sweat-shop are not carefully monitored and regulated;

then

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it could hurt the interest of the developing nations.

toriqul1976Mon Nov 22 2021

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11
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meeting the goal of 7 or more
0
Word repetition
meeting the goal of 3 or fewer
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Grammar mistakes
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Overall Band Score

Coherence and Cohesion: 7.0

Logical structure

Introduction & conclusion present

Supported main points

Accurate linking words

Variety in linking words

Lexical resource: 9.0

Varied vocabulary

Accurate spelling & word formation

Grammatical Range: 9.0

Mix of complex & simple sentences

Clear and correct grammar

Task Achievement: 5.0

Complete response

Clear & comprehensive ideas

Relevant & specific examples

Appropriate word count

4 paragraphs

313 words

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

Your opinion

Some people say in order to prevent illness and disease, govenments should focus on reducing environmental pollution and housing problems. To what extend do you agree or disagree?

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