It explains what is multinational companies. There are some advantages and disadvantages of forming multinational business.

3. All firms become
multinational

4. Reasons
Produce goods in countries with low cost –
low wages
Extract raw materials –
from the local places
Produce goods nearer the market –
reduce transport costs
Avoid barriers to trade
Expand into different market to spread risks –
move to country where sales are rising
Remain competitive

6. Multinational Business to the country
Advantages Disadvantages
New Investment Existing Firms in Danger
More Exports Profits Flow out of Country
Fewer Import Often Only Unskilled Jobs
Created
Jobs Created Influence the Government &
Economy
More Competition Use of Scarce Resources
Taxes Paid to the Government

7. Multinational Business to the country
Advantages Disadvantages
New Investment Existing Firms in Danger
More Exports Profits Flow out of Country
Fewer Import Often Only Unskilled Jobs
Created
Jobs Created Influence the Government &
Economy
More Competition Use of Scarce Resources
Taxes Paid to the Government