Re: Multinational Cos in Pakistan
In most cases (the automobile industry being a major exception), multinationals do source materials locally. Even if raw materials are cheaper abroad, they then have to add in the cost of shipping them to Pakistan and transporting from Karachi to the factory.
In most case, this additional transportation cost makes it more expensive to use foreign raw materials than Pakistani raw materials.
Even in cases where multinationals import foreign raw materials, the presence of their factories helps the national economy by creating jobs that otherwise would not exist.