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| Topic: |
Business
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| Number of pages / Number of words: |
2 / 460 |
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When multinationals located themselves in developing countries, the incumbent firms face a tall order of having to compete with giants in the industry. Multinationals can produce at a lower average cost as they enjoy economies of scale, however the smaller incumbent firms do not possess this advantage...
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They may be forced to shut down leading to a loss of jobs.
- APIIT Sri Lanka, Business School, Business Economics, Subject Notes
- http://en.wikipedia.org/wiki/International_trade
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