Impacts of Multinational in Nepal

Discuss the impacts of multinationals setting up factories in your country. Nepal is recognized as a LDC,i.e. Least Developed Countries which makes it a very qualified tar give-up the ghost for multinationals to set up their business with.Nepal would face various impacts of the multinational companies.Firstly, the main reason behind multinationals wanting to campaign out their businesses in a country like Nepal is to pay back a lower costs of production,that is to say,cheap labour,low input costs, avoid deduction costs.And also they would be likely to have an infuence over the political science of the country as the multinationals get a red cover welcoming since they bring with them a enourmous amount of foreign revenue. The entering of such multinationals posses various impacts.A country like ours has been facing a huge difference between number of exports of goods and services and their imports.So, the brass section of such large multinational firms could help in the commensurateness of payment(B.O.P).And also these companies generate huge employment oppotunities,which on the cardinal hand ,solves the brain drain problem and on the some other hand,provide jobs to those involved in agriculture in limp periods,making the people more than skillful and increasing their efficiency and quality.

Similarly,the multinationals set up in Nepal produce surplus amount which can be exported to other countries.Apart from this,it increases competition between local companies and multinationals which results in more consumer choices,efficiency and fixs a SURVIVAL OF THE FITTEST kind of situation.As a result companies atomic number 18 compelled to lower their prices in order to survive.Likewise,there can be a tranfer of technology i.e skill transfer.The establishment of multinationals creates localisation of industries and also enhances the infrastructural development.The multinationals create a political understanding between the companies country of subscriber line and the host country. However,the multinational companies do have their... If you want to get a full essay, order it on our website: Orderessay

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