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Advantages
- S/E: raises living standards (TNC's invest in developing economies)
- S/E: transfer of technology (e.g. South Korea- SAMSUNG have learned to design/ sell products to foreign markets)
- S/E: links with local firms boost Host Country economy
- S/E: creates regular jobs in Host Country
- P: political stability encouraged in Host Country
- P: helped build bridges between nations
- C: the exchange of knowledge about culture and tourism has stimulated native culture to stay alive
- En: raises awareness of global issues- many TNCs establishing 'green credentials'
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Disadvantages
- S/E: TNCs- tax avoidance in countries they operate in
- S/E: growing Global Wealth divide
- S/E: limited linkages, FDI doesn't always help LEDC's
- S/E: TNCs may poll operations out of an LEDC is lower wages are available
- S/E: destroys local/ national companies
- S/E: outsourcing, exploitation of cheap/child labour
- P: reliant economy in host country
- En: degredation (e.g. poisonous gas emmited from pesticide plant in India, 1984)
- responsible for large amounts of carbon emissions
- LEDC's become 'dumping ground' for the West
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