"Transnational Corporations (TNCS) only bring disadvantages to their host country" To what extent do you agree? (9)

Intro- define key terms TNCs are large corporations that operate in more than one country. A host country is defined as a country that a TNC has chosen to establish part of its operations in.Para 1- agree with statement- talk about disadvantages of TNCs for a host countryTNCs favour low income countries (LICs) for manufacturing operations as there is often less regulation around industry. This means that, when the host country is an LIC, TNCs can bring disadvantages such as long hours and poor pay as it's easy for them to exploit workers without fear of repercussions from regulations. A lack of regulation in a host country can also result in environmental disadvantages such as that seen in India where unsustainable water extraction by Coca Cola factories have caused water table levels to drop in the area. This has had knock on effects for locals by causing them to walk further to find clean water. Furthermore, another disadvantage for a host country is that the majority of profits made will go abroad to where the TNCs have their Headquarters (often in High Income Countries (HICs) who have the finance, resources and education levels needed to support such large corporations) meaning the host nation loses out economically.Para 2- balance the argument with reasons why you disagree with the statement. In other words show that TNCs aren't always bad news for the host country- they have advantages too. Nevertheless, I disagree with the statement to the extent that TNCs can bring some advantages as well. Many TNCs fund education, infrastructure and sustainability programmes within their host country. For example, Coca Cola has initiated a sustainable rainwater harvesting system in China to help the agricultural industry grow. Furthermore, TNCs bring financial advantages such as an improved local economy by increasing employment and therefore disposable income to spend within the communityConclusion- sum up all your points and answer the question- to what extent do you agree with the statement... strongly agree, agree a little, disagree or strongly disagree. Overall I disagree with the statement as TNCs do not "only bring disadvantages to their host country". TNCs bring financial advantages to host countries such as improving employment rates and funding development programmes aimed to boost aspects such as education and infrastructure. Nevertheless I agree with the statement to the extent that TNCs do also bring some disadvantages such as worker exploitation and increased pollution. Who the host country is and their level of development can play a role in the extent of the disadvantages the TNC can bring. For example it could be argued that LICs hosts (who have significantly less regulation than HICs) see TNCs having a more negative impactive as worker exploitation and pollution is likely more accepted.

Answered by Evie C. Geography tutor

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