Direct foreign investment is commonly considered by MNCs because it allows the MNC to:
A) attract new sources of demand.
B) enter profitable markets.
C) react to exchange rate movements.
D) react to trade restrictions.
E) all of the above

Question

Quizplus · Accepted Answer

Direct foreign investment offers various benefits, including attracting new sources of demand, entering profitable markets, reacting to exchange rate movements, and trade restrictions. Therefore, all the options mentioned in the question are correct, and the best choice is E, indicating all of the above.

Direct Foreign Investment Is Commonly Considered by MNCs Because It