foreign enterprises impact on local economy
Some people think developing countries should invite large foreign companies to open offices and factories to grow their economy others think the developing countries should keep large companies out and develop local companies instead.
In the globalization era, foreign investment is mentioned in numerous media and debate through every nation in the world, particularly in emerging countries. While some argue that it is essential for the developing countries to allow foreign enterprises to build offices and factories to boost the development of the economy, another population is interested in domestic growth firms rather than foreign ones. This essay will shed light on both arguments and demonstrate my own perspectives.
On one level, foreign investment plays an essential role in developing countries in growing the economy. The primary characteristics of developing countries, including lack of capital, unemployment ratio high, underdevelop technology... Therefore, utilizing the flow of significant capital, cutting-edge technology from foreign could be the optimal way for developing nations to improve the overall economy's performance in tandem with providing the golden opportunity for unemployed people. Besides, when the foreign enterprise invests in their country, it could boost the relationship between the government and foreign government that creates a wide variety of advantages in the long-term.
From another angle, there are several reasons why the government should protect domestic industries and interaction in the foreign enterprise's business. First and foremost, because of backward technology and lack of capital, the majority of local firms are often hard to compare with international companies. Consequently, the performance of local nations tends to reduce significantly lead to numerous companies becoming bankrupt. Second, in the long-term, the national economy depends on foreign operations if the government allows them to be widespread without control in tandem with no protection for domestic firms.
In conclusion, the government should enact policies that maintain the flow of foreign investment into the country and protect domestic firms. Moreover, the government should improve the relationship among them to develop the country to catch up with world innovation.
301 word. I know that a little bit longer than the limited words in task 2 so I could cut down the conclusion.
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