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Multinational companies are becoming increasingly common in



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Multinational companies are becoming increasingly common in 
developing countries. What are the advantages and disadvantages of 
this?
It is becoming more popular in developing nations to see multinational 
corporations. There are some benefits for this trend such as the progress 
in the economy they create in these countries and the availability of jobs, 
however, the shut down of some small local businesses and the lower 
selling rate of local products can be its drawbacks. 
The main advantage of the increasing number of these types of companies 
is the economic progress. That is to say, if multinational organizations 
operate in less-developed nations, this can bring wealth which boosts 
industries, trade, and other aspects of the economy. Moreover, more jobs 
will be available for the local people. That is because more workers and 
managers are needed to work for these companies which can be a good 
opportunity for locals to find a job. For instance, after opening a branch of 


Apple company in Dubai, many local graduates were thrilled by the good 
news of being accepted to work under this renowned company.
However, one of the main disadvantages of this trend is the drop in the 
selling rate of the local products. That is because of the good reputations 
and qualities of international items, and, thus, citizens might refrain from 
buying their local products. Another disadvantage is that some small local 
shops could be closed. That is due to the unfair competition with these 
huge strong establishments, and as a result, some might be shut down or 
go bankrupt. For example, many amateur Syrian entrepreneurs, and after 
the harsh competition they had with international textile corporation, were 
forced to close their fabric factories.
In conclusion, although the advantages of the popularity of multinational 
organizations in developing countries are the economic progress and the 
improvement in the job market, nonetheless, its downsides are the drop in 
the average selling of local products and the closure of some small 
businesses. 

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