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Are multinational corporations foreign investors or exploitative?

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The answer to this question depends on how you view multinational corporations. In one sense multinational corporations are international investors. In order to support business operations, they invest in internet and electric services in the developing world. Multinational corporations are also some of the largest employers in the developing world. The garment industry employs thousands in Southeast Asia, and many farmers in Latin America support giant American corporations such as Starbucks.

Multinational corporations are also exploitative. They take advantage of loose tax laws, lower wages, and weaker environmental protections in the developing world. While multinational corporations do invest in the developing world, much of this investment only goes to support the business. Most of the country remains underdeveloped. Multinational corporations can also influence politics through corruption. This ensures favorable treatment for the business at the expense of the people who live there.

Multinational corporations move to new areas whenever resources are tapped out, thus leaving the people poorer than before. Multinational corporations use other countries as tax havens in order to avoid paying higher Western taxes, yet many of them are able to dodge taxes in the developing country as well. Multinational corporations often do not invest back into the community in order to improve the people's basic living conditions. This ensures a constant supply of poor people desperate enough to work for low wages.

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