Should we buy Foreign goods, Should we buy goods produced by a Multinational Company (MNC)

This is the question that has been prompting me for several days and I know many of you too. So, Today I am posting a brief view of buying and selling of foreign views.

Favorable reasons for buying foreign goods :

 

• Certain company tend to open their branches in almost every part of the world. Some of the popular brands include Pepsi, Rolex,Coco-cola, KFC and many more. Mainly all the beverages, food manufacturing and others get their job of manufacturing and selling done by local traders. This creates large employment oppurtunities for local people. If no one will buy goods of these companies it will ruin of the employed people. Generally the companies get the trading rights from the government and sell under their company named followed by the country name. For example, A Rolex company in China will be called Rolex China and get most of their work done by the chinese people. If the company is eroded by people not buying their goods, many of its local workers will also effected.


• It takes a long time, sometimes over 200 years, to gain confidence of the people and emerge as a  huge company so as to enlarge its market to every corner of the world. We can't forget the investment they do to in production and advertisements of the products. The Tata Group, for example, didn't emerge overnight but after a long span of 150 years.


• It desperately helps in circulation of economy all around the world. Without this circulation, it would have been difficult for the growth of the economy of any country.
 
• The MNCs (Multi National Companies) bring us the goods and services that may not be available in the target country. These would help them to know what goods and new products are produced throughout the world. It helps people modernise.


•  The goods produced by MNCs are better in terms of quality.

 

But every thing has its own pros and cons :

 

•  Liberalism(removal of tax barriers) has helped the MNCs to expand their market in poor and developing countries. The goods produced by MNCs are of low cost because they get their product manufactured in different countries thereby reducing manufacturing cost. Thus they are able to sell it at low prices. This eliminates the local merchants, traders and small-scale manufactures.
  
• Some of the companies try to give false ideas about themselves by saying that they are very old and trusted but in reality they are not.  


•  In some cases the goods produced by a MNC is very expensive compared to goods produced by local manufacturers.

 

What to remember before buying a good ??

 

Experiment with the company before buying goods. Study carefully about the company from which you are going to buy the goods.

Carefully investigate if the company effects the local traders or not.

It entirely depends on yourself whether you choose to buy the foreign good or local good. You are free as both have their own pros and cons.