The rate of inflation is a(n) ________ factor to be considered while selecting the location for FDI.
A) profit retention
B) market
C) infrastructural
D) human resource

Question

Quizplus · Accepted Answer

The rate of inflation is a profit retention factor because it directly affects the value of the returns on investment and the cost of operations in a foreign country. High inflation can erode profit margins, making it a crucial consideration for FDI location decisions.

The Rate of Inflation Is A(n) ________ Factor to Be