Which of the following does not constitute a form of direct foreign investment?
A) Franchising
B) International trade
C) Joint ventures
D) Acquisitions of existing operations
E) Establishment of new foreign subsidiaries

Question

Quizplus · Accepted Answer

International trade does not constitute a form of direct foreign investment as it involves the exchange of goods and services between countries but does not involve the establishment or ownership of operations in a foreign country. The other options - franchising, joint ventures, acquisitions of existing operations, and establishment of new foreign subsidiaries - all involve some form of investment in foreign operations.

Which of the Following Does Not Constitute a Form of Direct