Most MNCs use direct investment exclusively because they are so big they can afford to buy companies.

Question

Quizplus · Accepted Answer

While direct investment is a common approach for MNCs, it is not the only approach. MNCs also use other entry modes such as licensing, franchising, joint ventures, and acquisitions. However, the statement that MNCs use direct investment exclusively because they are big enough to buy companies is false.

Most MNCs Use Direct Investment Exclusively Because They Are So