What are the disadvantages of multinational companies in India?

Answer 1

Most of the multnational corporations do provide funds that are highly conditional. Thier aim is not to assist developing countries' economic growth, but to see to it that they remain dependent at the interest of the the developed world. So if Africans can come together and work tother for a common end, believe me they will realize a wonderful progress.

Answer 2

some of disadvantages are

1 supplant domestic savings by destroying competition,remove local entrepreneur,unstable industrial growth

2 cause strain to BOP ie balance of payment by repetration of profits,interests,loyalities,management fees.

3 local professional cannot access to working strategies og MNCs

4 mncs by introducing new technology cause technological unemployment. mncs adopt capital intensive technique. so machine takes place of workers.

Answer 3

Multinational Companies are companies which operate (have factories/operating branches/headquarters) in more than one country.

They have many advantages to the host country such as:

-creating employment (increase income and therefore standard of living)

-bringing new technology/ methods into the country

-providing workers with training

-paying large taxes to the government

-bringing money into the economy

However they also have disadvantages:

-exploit and possibly deplete Natural Resources

-create pollution

-destroy local businesses (by taking their customers with lower prices from economies of scale)

-profits go the the company overseas (does not promote growth within the host country's economy)

Answer 4

high prices

depletion of local products

survival is ifficult for Indian industries

profit margin