Multinational companies are becoming increaseingly common indeveloping countries. What are the advantages and disadvantages of this?

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In today's globalized economy, multinational
corporations
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are increasingly establishing operations in developing nations.
While
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there are several drawbacks associated with the growing prevalence of these enterprises, I contend that the advantages they offer are far more significant. One notable disadvantage of the influx of multinational
companies
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is the potential erosion of economic sovereignty within the host country. As these
corporations
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dominate local markets, domestic businesses often struggle to compete against their formidable counterparts, leading to the closure of numerous local enterprises.
For instance
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, in Mexico, the introduction of large retail chains has precipitated a decline in small, family-owned businesses that cannot compete with the pricing and product variety offered by multinational
corporations
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.
Furthermore
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, there is a concerning trend of exploiting cheap labour and natural resources. These
corporations
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may not only underpay regional workers but
also
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engage in environmentally detrimental practices as they prioritize profit maximization. A case in point is the establishment of manufacturing facilities in China, where
companies
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often benefit from a favourable tax regime combined with low labour costs,
thus
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raising ethical questions about their operations.
Conversely
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, one of the primary benefits of the presence of multinational
corporations
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in developing countries is the significant enhancement of infrastructure that these entities can bring. By introducing advanced technologies and investing in vital physical infrastructure
such
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as roads, ports, and essential facilities, multinational
companies
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can greatly contribute to the developmental landscape of host nations.
Additionally
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, they often implement training programs aimed at skill development and knowledge transfer, which can empower the local workforce. A
further
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advantage is that these
corporations
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can catalyze economic growth in underdeveloped nations by creating substantial employment opportunities, which
subsequently
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increases income levels and boosts wealth within the local communities.
For instance
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, the establishment of manufacturing plants by multinational
companies
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in countries
such
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as Vietnam has led to a marked improvement in local employment rates and economic conditions. In conclusion,
while
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the presence of multinational
corporations
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in developing countries may bring certain disadvantages, I believe the positive implications they carry—particularly in terms of infrastructure development and economic enhancement—outweigh the drawbacks.

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task achievement
While your arguments are well-structured, you might want to ensure a balance in exploring the disadvantages and advantages. Although you've supported both sides with examples, consider giving equal weight to each to present a balanced view.
coherence cohesion
Your essay is logically structured and flows smoothly. However, using varied linking words and phrases could further enhance transitions between ideas.
coherence cohesion
The essay has a clear introduction and conclusion, which effectively frames your argument.
task achievement
You provided relevant and specific examples to support your points, which strengthened your argument.

Use a variety of complex and simple sentences

You should use complex sentences in your writing, but it does not mean that you should try to make all of our sentences complex.

‘Complex’ sentences are not actually very complex; they are just two or more simple sentences put together. Putting them together makes the essay more coherent and cohesive.

Examples:

I really want to study but I’m too tired.

I wore a warm coat because the weather was cold.

If action is not taken soon on climate change, global warming will get worse.

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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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