Which of the following is a significant issue of the perception of transnational corporations in less developed countries?
a.
loss of local culture
b.
lack co reinvestment in the local economy
c.
small labor supply
d.
over-taxation of local residents
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Lack of investment in the local economy is a significant issue in the perception of transnational corporations in less developed countries. It is because:
- Transnational Corporations or TNCs are found to serve international economies.
- It is acquired by multinational managerial, technical, and resources and makes a splendid contribution to the economy of developing countries.
- These companies are affecting new trends in international business, global competitiveness on international markets and in the state economies.
- In TNCs, some leaders take advantage of the relaxed environmental laws in the country by causing harm to the environment.
- Moreover, employees in some of the TNC factories and plants are subjected to feel unsafe and unhealthy environments.
- Also, many TNCs are owned by foreign countries, so economic leakage occurs. Thus they send profit to foreign countries.
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