IELTS Essay # 8 - Some people believe that countries should invite foreign companies to open their branches, offices and factories in order to develop their economies.Others think countries should invest in their own companies instead. Discuss both views and give your own opinion.

Essay # 8

Some people believe that countries should invite foreign companies to open their branches, offices and factories in order to develop their economies.Others think countries should invest in their own companies instead. Discuss both views and give your own opinion.

Write at least 250 words.

There are many people who believe that globalisation should be promoted and a particular country should invite foreign companies to augment their business, which the people believe would help to ameliorate the country's economy. On the other hand some people are of the opinion that the government should support local companies, which indirectly bolsters the growth of a nation.

It is possible that foreign investment might bring many fruitful results. The foreign companies can give a multilingual atmosphere to the employees of the host country. So an employee can expand his horizon of knowledge and culture. Foreign companies can also play a major role by helping the host country in terms of Corporate Social Responsibility (CSR) and can improve the country's economical and social conditions.

The people of the host country get benefited by getting in touch with new products and can upgrade their lifestyles. But as advantages come with disadvantages, there are many cons to the claim of supporting foreign investment.

As there is no direct control of the government on the functioning of the foreign companies, there is a possibility that the economy might fall into a state of anarchy. Due to the presence of foreign companies, the local market may suffer a major downfall which indirectly may affect the government. So, a socio-economic imbalance might be created in the society. Now, as the company is not investing in its parent country, that country would feel a scarcity in contribution for economical welfare. The parent country also might experience a situation of unemployment.

Therefore, in my opinion, foreign investment should be done in such a way that both the parent and the host country should get benefits equally. Secondly, a supervisory agency should be formed so that it regulates the functioning of such companies.

(296 words)