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?

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These days, it is popular among international
companies
to launch their field in developing states as well as hire local people rather than their own country
hence
it provides benefits profoundly to the
companies
. I strongly believe that the statement above is more beneficial than having shortcomings. The reasons and the details in-depth will be mentioned in the following essay. To commence with, nowadays setting up a company in developing countries plays a crucial role in creating a profit for the
companies
since it can cut back on a considerable amount of costs. Because the rent and the salary standard are much cheaper in those regions,
although
they spend the same amount of money to produce their product, it will be possible to create far more items than is done in their own country.
For instance
, a plethora of clothing
companies
try
Change the verb form
tries
show examples
to make a group and take the employees from cheaper labour land. Another positive point is that the more frequently the business hire employee from a different state, the more widely opportunities the local people can work. Nowadays, unemployment is one of the significant issues in developing areas, taking as many workers as possible can result in helping the local residents to make an important income.
Besides
, the trade owner can profit remarkably.
On the other hand
, as a matter of fact, it may have a downside namely challenging to fund the cash flow to set up the factory. Take
this
,
for example
, a chocolate company desired to launch a building in Colombia, and yet it has not reached the amount of money they need.
Therefore
, the shop is still struggling with minting money. To sum up, apart from the issue
that is
pointed out above, by and large once create the factory is in a developing area, it can lead to generating benefits significantly for both the trade and the local labours. For these reasons, I reckon that the positive points overweigh the drawbacks.
Submitted by roymoko0921 on

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