MNCs Questions with correct Answers
What are the four ways an MNC can affect local economies?
Create jobs, increase local standard of living, benefit local firms and improve infrastructure
How does creating jobs help local economies?
Creating jobs increases employment of local labour. Mor...
what are the four ways an mnc can affect local eco
how does creating jobs help local economies creat
Written for
MNC
MNC
Seller
Follow
Pogba119
Content preview
MNCs Questions with correct Answers
What are the four ways an MNC can affect local economies? - answer Create jobs,
increase local standard of living, benefit local firms and improve infrastructure
How does creating jobs help local economies? - answer Creating jobs increases
employment of local labour. More employment reduces number of people needing
welfare, which reduces government spending.
How do MNCs benefit local employment? - answer Increased local employment
benefit local standard of living as employees often have better wages and working
conditions than staff of local firms.
How do local firms benefit from MNCs? - answer Higher levels of employment and
higher wages means more money is spent in local firms. Suppliers also benefit from
MNCs operating.
How do MNCs improve infrastructure? - answer MNCs might improve infrastructure
which can benefit the local community. This also reduces spending by local
government.
What negative effects do MNCs have on local economies? - answer Increased
competition for local staff, MNCs bringing their own labour, exploitation of local workers
and creating large industrial waste.
How does increased competition for local staff impact local economy negatively? -
answer Competition for local staff could force up local wages, which local firms
cannot afford so local firms lose staff to MNCs. Local people could also buy from MNCs
which force local businesses to go under. This reduces money in the local community
as MNCs move profit out the region.
How MMCs bringing their own labour impact local economy negatively? - answer
MNC bringing its own labour could put a strain in local community and its resources.
This increases demand for resources to increase prices.
How does exploitation of local workers negatively impact the local economy? - answer
Some MNCs might employ children or exploit local workers with long hours in difficult
conditions which increases health problems and a strain on local healthcare.
How does MNCs using unsustainable natural resources impact local economy? -
answer MNCs extract large quantities of unsustainable natural resources which
might produce pollution and waste as well as not redevelop the landscape when there
are no more resources to extract. This increases government spending.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Pogba119. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for £9.68. You're not tied to anything after your purchase.
