What is FDI?
A) the work force of a TNC in the developing world
B) shipments of goods between countries at reduced costs
C) investment by foreigners in factories that are operated by the foreign owners of a TNC
D) balance of trade deficits that often result in profits being leaked back to the developed world
E) investments in technology that speed up communications in the world economy, like satellites and fiber optics

Question

Quizplus · Accepted Answer

FDI (Foreign Direct Investment) refers to investment by foreign entities in the ownership or operation of real businesses in a host country. This often takes the form of investment by a TNC (Transnational Corporation) in factories, offices, or other physical assets in a country outside of their home country.

What Is FDI