Countries should restrict foreign companies from opening offices and factories in order to protect local businesses. Do you agree or disagree? Give reasons and specific examples to explain your answer.

They believe that for the defense of domestic businesses, countries should forbid multinational companies to operate inbound. To a certain extent, I agree that restricting foreign companies might protect domestic companies to flourish, especially in emerging markets. However, I also believe that countries may benefit more by opening borders for selected companies. On the one hand, I believe that local businesses do need protection by the government as discouraging foreign influences of multinational companies. Those foreign companies might have a big advantage of cost so the local small and medium businesses could not endure the competition. Big multinational corporations have a lot of capital, experience, employees and brand awareness so it would be unfeasible for local companies to beat them. For example, fast-food giant McDonalds has branches all over the world. Even one of the branches is in the red, other branches are far more profitable to cover it, unlike local companies. If countries’ policies on foreign companies do not encompass certain rules and tariffs one day they might lose their economic independency. On the other hand, I believe that instead of becoming a conservative nation, countries might emerge effectively by welcoming global corporations. Every company has its own culture, own vision. Local employees can learn a lot of know-how from them. But the prominent profit of the country would be foreign direct investments these companies would bring with themselves. If countries remain closed, in a long term they might be far behind global economic development. In conclusion, although countries can protect their businesses by restricting foreign factories and branches, I also believe that they might lack in globalization and economic growth doing so.