Question: A race-to-the-bottom process may set in as MNEs search for ever-lower-cost locations. Discuss the trade-offs between the positive effects of raising the standard of living

A “race-to-the-bottom” process may set in as MNEs search for ever-lower-cost locations. Discuss the trade-offs between the positive effects of raising the standard of living in some of the world’s poorest countries with the drawbacks of moving jobs established in one country to another. Does your perspective change in light of the recent accidents in textile factories in Bangladesh, Cambodia, and elsewhere, where the cumulative death toll was over 1,000 workers? What responsibilities do MNEs have?

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