what advantages are there if mnc's tie with local companies of the countries??
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There can be many reasons. The three most obvious are:
The local companies are already in business and understand the rules and laws of that country. It makes the learning curve for the out of country business shorter and easier.
It is good public relations. It is better to work with local vendors than to come in and set yourself up to compete.
It is usually much more cost effective. You aren’t investing capital in a new facility, legal compliance, hiring personnel and all the other things that go with opening a new plant.
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