Prompt: Many small businesses are being forced to close because they cannot compete with multinational corporations; what problem does this cause, and how can those problems be solved.

The number of small businesses shutting down in the past 5 years has been massive. More than half of these businesses have shut down within the first 2 years of entering a market. It is believed that multinational corporations (MNCs) were likely the cause of the problem and that smaller enterprises were unable to compete with them due to limited financial resources. But whether or not this is the case, will be the topic this essay will delve into. Ċ Firstly, this problem creates an unemployment problem. A survey conducted by the Times of India in 2019 stated that when an enterprise goes out of work, nearly 70% of its workers will be unemployed while the rest manage to find jobs within three months. In addition, these companies don't have the resources to provide severance pay until their employee finds another job. In short, employees of start-up companies will suffer the most because they will be unemployed and will not be provided sufficient severance pay. Ċ Nonetheless, this problem can be mitigated if the government places heavy restrictions on foreign companies entering into a local market. For instance, in 2011 South Korea placed many tax restrictions on multinational corporations such as Microsoft and Apple and this prevented local brands like Samsung from shutting down. This is particularly effective as the government can earn greater revenue from MNCs and can ease its restrictions on local brands. In summary, placing heavy restrictions will benefit small businesses and the government too. Ċ In a nutshell, even though these startups lose business thanks to MNCs they can still be saved from ruin if the government provides financial support. As a result, this will improve the country's economy as well.