In an ever more competitive marketplace, it is simply unsustainable for most companies to pay Western wages when they can pay someone a fraction of the cost to do the same job. The main reason multinationals set up shop in poorer countries is because it is much cheaper for them to get their goods manufactured there, due to comparatively lower salaries. This essay will first suggest that reduced labour costs is the primary benefit for these companies, while bad publicity because of Human Rights abuses is the main drawback. More and more transnational corporations are setting up branches and factories in less developed nations. What are the advantages and disadvantages of this?
Multinational companies are becoming increasingly common in developing countries.
