An Australian television manufacturer recently invested in a plant to build tuners in Mexico. This form of international business is aptly named international licensing.

Question

Quizplus · Accepted Answer

This scenario describes foreign direct investment (FDI), where a company invests in facilities to produce or manufacture goods in another country, not international licensing, which involves a company allowing a foreign company to produce its product in exchange for a fee.

An Australian Television Manufacturer Recently Invested in a Plant to Build