Local is too small to actually deal with these behemoths. Look at what happens when these large companies play municipalities off each other to get factories and facilities built in their jurisdiction.
But if you have two desperate communities that are really looking for jobs, how do you prevent them from racing to the bottom? In some sense that is the 'correct' market solution. Government is a form of collective bargaining for citizens (amongst many other things of course).
It's our responsibility to make sure our local governments don't screw us over on that front, and that they represent our desires.