Though MNCs have long avoided entering developing countries, globalization and the new potential to initiate the creation of infrastructures finds them more frequently embracing the challenge.
The promise of receiving enormous tax revenues compels governments in developing countries to entice MNCs to do business in their territories. In addition to providing revenue, MNCs generate jobs, stimulate local economies, and create and share culture.
They also introduce previously unavailable goods and services, advanced technologies and management techniques.
Local MNCs can then take advantage of these benefits, becoming more competitive and creating their own opportunities to do business across national borders.