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Q.

Which of the following is not a disadvantage of MNCs?


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a

They trample small manufacturers.

b

They overwork workers.

c

They do not provide job security

d

They bring in huge amounts of funds into the country. 

answer is D.

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Detailed Solution

A multinational company is a corporation that owns and controls production in various countries. An investment made by Multinational companies from foreign countries is termed a Foreign investment. It is very beneficial not only for the MNC that is investing but also for the country it is investing in. The MNCs get cheaper labour, low production costs, better human resources, and high profits. The highest number of workers comes from the agricultural sector. The country gets additional funds, more job opportunities, and an increase in industrialization. MNCs also have their disadvantages. They trample the small manufacturers as they have better funding, they overwork workers and in the name of flexible employment, take away the job security from workers.
 
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